Some venture capital funds are structured as segregated portfolio companies (SPCs) so limited partners can invest selectively in a circumscribed portfolio of startups. Segregated portfolio structures seek to ensure that the respective portfolios cannot be held liable for the debts or liabilities of other portfolios, creating a simple mechanism for demarcating assets. As such, investors can invest in different segregated portfolios, depending on their personal interests and valuations of the growth potential of each portfolio’s strategy.

Did this answer your question?