Invariantes, a venture capital firm based in Guatemala, is ready to invest in tech companies in the United States, Mexico, and other Latin American countries. Recently, they have raised $30 million that they intend to invest using a hybrid model.
Since its creation in 2015, the fund has become a key player in the startup ecosystem throughout the American continent, participating in capital funds such as 1517, Hustle Fund, Long Journey Ventures, Uncorrelated Ventures, Group 11, Prime Movers Labs, Blockchain Capital, Nazca Ventures, 500 Global LatAm, H20 Capital, NXTP Ventures, four of the most important Latin American Venture Capital firms.
Invariantes employs a hybrid investment model that evenly distributes the capital. 50% is allocated to invest in emerging Venture Capital funds, while the other half is invested in early-stage technology companies. This approach aims to optimize the risk profile associated with early-stage investments.
The Guatemalan venture capital will invest the capital in other investment funds they have already worked with and new early-stage technology startups focused on software or hardware interacting with a software layer, seeking to be drivers in their growth and expansion.
Invariantes has invested in sectors such as fintech, artificial intelligence, deeptech, HRtech, spacetech, biotech, healthtech, proptech, logistics & supply tech chain, edtech, marketplaces, or e-commerce. They are recognized for investing in companies like Luminar, Lambda Labs, Glovo, Vinovest, and Kubo Financiero.
According to data from the study Venture Capital and Growth Capital Ecosystem in Latin America published by Endeavor and Glisco Partners, 49% of the investment received by startups in 2022 came from abroad, while 51% was obtained from Latin American funds, positioning the region as one of the most attractive places for investments in technology ventures.
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Why is it relevant for other Latin American venture capital funds?
- Invariantes has proven to be a key player in the startup ecosystem in Latin America and has participated in prominent capital funds, contributing to the potential growth of technology startups.
- Investing in technology startups is a safer way to build capital, as these types of ventures are easier to scale, as highlighted by Invariantes’ strategy.
- Their approach of equitable investment, allocating 50% of the capital to emerging funds and the other 50% to early-stage startups, can reduce the risk associated with early-stage investments and provide effective portfolio diversification.
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