Buy Copies. Since startups are often in their infancy, they may not have a proven track record or a steady stream of cash flow. This lack of information and assurance can make it difficult to accurately assess the potential return and investment risk. Additionally, it may also amplify the challenges involved in making sound investment decisions. More information https://financial-equity.com/investment/invest-in-stocks/can-you-lose-more-than-you-invest-in-stocks-understanding-risk-in-the-stock-market/ Senior investing editor. A venture capital fund is a specialized investment vehicle that pools capital from investors—known as Limited Partners (LPs)—with the aim of injecting it into promising startups. These funds typically focus on early-stage companies with disruptive technologies or innovative business models, offering financial support, mentorship, and industry connections.