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A Better Way to Invest in Early Stage Technology CompaniesMany investors are attracted to the potentially higher returns available from investing early in technology companies. Some even make their own "angel," or early-stage investments - often in companies where they have friends or family. While solo angel investing can occasionally lead to some spectacular returns, on average we believe a vehicle like FTII is a better choice for most investors. How We are DifferentFundamental Technologies II is different from direct angel investments, mutual funds, venture capital funds and other investment vehicles in four important ways: 1. Active Portfolio ManagementWe spend a lot of time working with the companies we invest in - almost always by taking a seat on the board, or advisory board, and assisting with subsequent financings and exit transactions. We never just make an investment, we always work actively with our companies. 2. Low CostsFTII doesn't pay management salaries, management fees or sales fees. We are committed to minimizing costs for our investors. 3. Optimized Capital AllocationWe limit the size of our capital base and the number of companies we are actively involved with to optimize returns. 4. DiversificationIf the returns from professionally managed venture portfolios are analyzed, it's often just one investment that makes the difference between mediocre and spectacular returns. Unless an investor wants to make this type of investing a full time job, it's very difficult to be adequately, and safely, diversified. One Component of a Balanced PortfolioEarly-stage venture investing is one component in building a balanced portfolio. For the vast majority of investors, it should only be a small percentage of their portfolio. Even with a small allocation, the early-stage component is often the most interesting and rewarding. FTII offers accredited investors a way to participate in this exciting asset class, with diversification, active management and very low costs.
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