SHOULD CROWDFUNDING INVESTORS RELY ON LISTS OF THE BEST PRIVATE COMPANIES?

• Published in: Corporate finance review Vol. 19; no. 6; p. 4
• Main Authors: Jensen, Marlin R H, Marshall, Beverly B, Jahera, John S
• Format: Journal Article
• Language: English
• Published: New York Thomson Reuters (Tax & Accounting) Inc 01.05.2015
• Subjects: Closely held corporations; Crowdfunding; Efficient markets; Entrepreneurial finance; Entrepreneurs; Going public; Initial public offerings; Investment policy; Investments; JOBS Act-2012; Ratings & rankings; Stock exchanges; Studies; Success; Venture capital; Venture capital companies; United States > US

The objective in this research is to consider whether firms funded via venture capital and identified as "best" are indeed good investments for individual investors and whether individual investors should be interested in investing in private venture-backed firms. The results indicate that...