Venture Capital & Private Equity Country Attractiveness Index

The Venture Capital and Private Equity Country Attractiveness Index presents the results of a comprehensive research project measuring country attractiveness for Venture Capital (VC) and Private Equity (PE) limited partnership investors. The project is in cooperation with IESE Business School Barcelona since 2006 and has collected more than 300 different data series from various providers – dating back to 2000.

Investors in VC/PE funds provide access to finance for small and medium size entrepreneurial ventures. They are a crucial requirement for competitive entrepreneurial eco-systems and geographic clusters. However, they have a key objective: getting access to transactions whilst satisfying risk and return ratios. With a global approach to achieve these goals, investors often set their sights on emerging regions. To find prime investment opportunities, investors take a long-term strategy and focus on specific factors, such as: economic activity (GDP, inflation, and unemployment rate); size and liquidity of capital markets; taxation; investor protection and corporate governance; the human and social environment (including human capital, labor market policies, and crime); and entrepreneurial culture and opportunities (including innovation capacity, the ease of doing business, and the development of high-tech industries).

The idea of the VC/PE Country Attractiveness Index is to take these factors across different nations and determine the relative position of particular economies and regions as they stand in relation to one another with respect to their attractiveness for investments in entrepreneurial ventures. 

Constructive feedback is welcomed and will help improve future index editions. Selected data series may be discarded in future index versions and new as well as at-that-time more appropriate data series may be used as a substitute to current data. The quality of the data and the number of countries covered will increase. As a result, the index is a dynamic product that always considers the most adequate and recent information. The uniqueness lies in providing transparency about the international markets for entrepreneurial finance on such a broad scope and it is hoped that investors appreciate the available information. Politicians may utilize these findings to increase their county’s attractiveness for international risk capital investors to spur access to finance for small and medium sized corporations.

Please click here to visit the homepage of the Index.