On September 23, the 12th Russian Private Equity Congress and the 8th Venture Investors Forum took place in Moscow. RVC supported the event as an official partner. Representatives of development institutions, venture funds, and the regulator discussed the necessary steps for the growth of the private equity and venture capital industry in Russia, including removing barriers to entering a new class of institutional investors into the market.
In the plenary discussion, Deputy General Director — Investment Director of RVC Alexey Basov noted that changes in the venture capital market are much-needed since the divide between the venture business and private equity has disappeared.
There are many directions in which the regulator and market participants must move to restart Russia's venture capital industry. The first direction is the reform of such a most common legal form among investors as an investment partnership.
The second area of work should be the removal of constraints faced by development institutions.
The third area could be attracting funds from non-state pension funds (NSPF) to the investment market. This will mostly solve the problem of the source of capital in the domestic market. Simultaneously, we are not talking about investing pensioners' monetary funds in extremely high-risk start-ups since a balanced portfolio approach has long existed in world practice.
The Forum participants also discussed the consequences of the pandemic for the national venture capital market. The main conclusion of the discussion is that COVID-19 did not critically impact the PE&VC sector in Russia. In the spring of 2020, there was a global slowdown in investment transactions, but now all players have adjusted to the current realities.
At the same time, according to Fedotov, the effect of the global crisis has not yet fully manifested itself. Despite a large number of transactions, high investment activity, and record volumes of Dry Powder in the world and Europe, in the current environment, there is a risk that not all participants in investment processes will fully fulfill their obligations.
Anatoly Chubais, CEO of RUSNANO Management Company, Alexander Galitsky, Managing Partner of Almaz Capital Partners, Vladimir Sakovich, General Director of Skolkovo Ventures, Alexander Lupachev, Director of Russia Partners Advisers, Oleg Tenetnik, Head of the Financial Market Development Department of the Department of Strategic Development of the Financial Market of the Central Bank of the Russian Federation, managing partner of Terra VC Petr Lukyanov, investment director and head of M&A Mail.ru Group Alexey Milevsky, managing partner of LETA Capital Alexander Chachava and others took part in the Forum discussions.