Fidelity quietly shuts down VC arm, sources say

· Source: Sifted · Field: Finance & Economics — Capital Markets & Investment Management, FinTech & Digital Financial Services · Depth: Fundamental Awareness, quick

Summary

Fidelity International Strategic Ventures (FISV), the corporate venture capital arm of global investment manager Fidelity International, has reportedly been shut down. Sources indicate that FISV, which focused on fintech investments, has sold off its stakes in various startups, including Moneybox, Greenly, and other undisclosed companies. The closure follows a trend of corporate venture capital (CVC) entities reducing their activity, with Fidelity's CVC having made over a dozen investments since its inception. FISV was established following Fidelity International's separation from Fidelity Management & Research in 1991, and its shutdown reflects a broader shift in the CVC landscape.

Key takeaway

For investors tracking corporate venture capital trends, Fidelity International Strategic Ventures' shutdown signals a potential contraction or re-evaluation within the CVC landscape. You should assess your exposure to CVC-backed startups and consider the implications for future funding rounds, particularly in the fintech sector, as major players adjust their investment strategies.

Key insights

Fidelity International's CVC arm, FISV, has closed, selling off its fintech startup stakes.

Principles

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Editorial summary, takeaway, and curation by AIssential. Original article published by Sifted.