Tiger Global reported an “active year with positive progress” across its venture capital PIP business. Throughout the year, the firm identified high-conviction new investments, especially in artificial intelligence. Tiger Global also concentrated its VC portfolio via follow-on investments in outperforming holdings and by slashing exposure to lower-conviction companies.
Gains in PIP funds
According to Tiger Global’s 2024 letter on its PIP funds, which was obtained by Hedge Fund Alpha, the PIP funds generated gains on the back of rising valuations in their largest holdings. The Tiger Global team said they “feel uniquely positioned to access next-up winners and capitalize on the multi-decade value creation cycle just beginning in AI.”
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Since they proactively began to value their PIP companies “in line with market realities” in 2022 and 2023, the Tiger Global team has begun to see recovery and upside amid improving company performance and a better environment.
The PIP funds’ 20 largest holdings represent 40% of their fair value, and they increased by about 35% in 2024. Almost 50 portfolio companies saw their valuations rise more than 50%.
Top drivers
VC drivers for Tiger Global in 2024 included Stripe, in PIP 11; OpenAI, in PIP 15
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