Ertan Can
Podcast appearances as guest
Episode 11 - Interview with Ertan can
In this episode, I sit down with Ertan Can, founder of Multiple capital.
On the podcast
Multiple Capital is a fund of funds investing in micro VCs with fund sizes between 5 and 50 million, around 20 million on average.
Ertan has invested in funds for 12 years and backed more than 50 funds, mostly in Europe.
About 1,000 new venture funds come to market in Europe each year; Multiple seriously reviews about 100 and invests in about 10.
Multiple rules out funds of 100 million or more, multi-stage funds, pan-European generalists and narrow regional specialists; it looks for local winners or pan-European vertical winners.
Multiple's portfolio gives exposure to about 1,000 startups, and none of its funds has been written off.
A small, early fund with one outlier can return five to ten times the fund, which has happened in Multiple's earlier portfolio.
Multiple's biggest outlier was founded in Romania and first backed by Eastern European VCs but is now counted as a US company.
A portfolio company delivered what Ertan called the largest unicorn trade-sale exit in the German ecosystem, in a weak exit year.
A diversified venture portfolio should outperform any other asset class, and a fund of funds reduces venture risk through diversification.
Moonshots are created everywhere, including Europe; the late-stage value often accrues to US investors.