SAN FRANCISCO, June 9 (Reuters) – A majority of venture capitalists are cutting back on the number of investments they have but many remain optimistic in the long term, an industry group reported.
The National Venture Capital Association, working with Deloitte Touche Tohmatsu, said that 51 percent of 725 venture capitalists surveyed are decreasing the number of companies they plan to invest in. By contrast, only 13 percent are making an increase.
At the same time, many remained optimistic about the future. More than half said that now is a good time to invest in new companies, and nearly half said they believed their future investments would be larger than now.
“Going around the country, I hear venture capitalists, by and large, think we have hit bottom and will be making our way out of this this year,” said Mark Heesen, president of the National Venture Capital Association. He spoke in a telephone interview with reporters.