National Development and Reform Commission: guide funds to invest in seed stage and early stage enterprises with a scale not less than 70% of the total fund size.

On December 26th, the National Entrepreneurship Investment Guiding Fund was officially launched. The National Development and Reform Commission held a special press conference. Bai Jingyu, director of the Department of Innovation and High-tech Development of the National Development and Reform Commission, stated that in the investment process, the fund will adhere to the guidance of investing early, investing in small companies, investing for the long term, and investing in hard technology, to guide and drive the development of the venture capital market. In response to the current trend of rushing into hot investment sectors, picking and choosing quickly, and seeking immediate results in the venture capital market, the guiding fund will focus on investing in early-stage and seed-stage companies, with investments in these companies accounting for no less than 70% of the total fund size. Furthermore, the fund will focus on investing in small companies, with target valuations below 500 million yuan and individual investments not exceeding 50 million yuan, to ensure that funds reach the forefront and the grassroots of various industries. The fund will have a 20-year term, breaking away from the traditional 7-10 year lifecycle of venture capital funds. This will allow for longer investment cycles, especially in areas like innovative drugs, and truly embrace a long-term perspective.