Switzerland-based venture capital fund Privilege Ventures has just launched its fourth fund. The Equity Fonds Privilège provides 20 million Swiss Francs (ca 21 Mio USD) to support tech startups in the digital economy, deeptech and medtech sectors. The focus is on startups that are co-founded and managed by women. The investment thesis is based on strong statistical evidence that companies led by women perform better, Lucian Wagner, founding partner of Privilège Ventures, said in the release.
Privilège-founder Ruedin Rüsch tells US magazine ‘Tech Crunch’ that statistics show that women-led companies get a better return on investment. A 5-year study by the Boston Consulting Group showed that startups founded and co-founded by women received less than half the average investment that flowed into male-led companies – this despite the fact that female-led startups would generate 10% more revenue over time.
But it’s not just about being ethical and doing good, Privilège’s Wagner adds. Global GDP would grow by 6% if rates of entrepreneurship were equal between men and women.
The new fund will be managed by Lea von Bidder in addition to Wagner and Rüsch, the statement added. Lea is co-founder of medtech startup Ava, which was sold to the U.S. this year. Cecilia Orlando, who brings experience from UBS and Credit Suisse, will lead investor relations.