Firsthand Technology Value Fund Inc (NASDAQ:SVVC)
 
a publicly traded investment fund that provides private technology and cleantech companies with development funding and working capital, primarily in the form of equity investments.
 

Pros:

  • Trades at a discount to NAV as of today
  • Portfolio contains difficult to acquire stakes in pre-ipo companies
  • About 130mm in cash (probably higher since FB stake likely sold)
  • Already 2 very successful investments with FB and SCTY
  • 1 million shares of common and preferred B shares of Twitter

Cons:

  • 2 and 20% fee structure
  • CEF’s typically trade at discounts to NAV
  • Management may have conflicts b/c of relationships with portfolio companies
  • NAV may not be accurate with illiquid private securities
  • Dependent on an healthy technology IPO market
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