Does the same investment team create value? Evidence from venture capital syndication

Bibliographic Data

ID14867725
AuthorsAxel Buchner (0000-0003-4529-3444, ESCP Business School), Pia Helbing (0000-0002-4025-3235, Adam Smith Institute, corresponding author), Abdulkadir Mohamed (University of Leeds), Hyungseok David Yoon (0000-0003-1423-9808, University of York)
Year2025
Volume65
Issue4
Pages2331-2360
Publication date2025-12-01
Peer ReviewedYes
Open AccessYes
TypeARTICLE
VenueSmall Business Economics (JOURNAL)
Journal identifiersISSN: 0921-898X • E-ISSN: 1573-0913
PublisherSpringer Science and Business Media LLC (PUBLISHER)
DOI10.1007/s11187-025-01058-7
OpenAlexW4410782461
LanguageEN
Citations received1
References cited69

We study the effect of repeated venture capital (VC) syndication on VC investment performance. We posit that repeated syndication is positively associated with stagnant investment returns but negatively associated with high investment returns. Using a large dataset from 1985 through 2017, we find support for our intuition. Additionally, our results show that periods of recession accentuate the positive (negative) relationship between repeated syndication and stagnant (high) investment returns. These findings are robust after addressing sample selection and endogeneity concerns. Our study provides nuanced insights into the performance implications of having the same investment teams in the context of VC syndications

Business · Business administration · Entrepreneurship · Industrial organization · Investment (military · Social venture capital · Value (mathematics · Venture capital · Web syndication · Computer Science · Corporate Finance and Governance · Entrepreneurship Studies and Influences · Private Equity and Venture Capital · Finance

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Open DOIOpen Access