Canada backs VCs addressing gender imbalance

Funds-of-funds and venture capital houses with clear diversity strategies stand well-placed to be selected for a new Canadian government scheme seeking to lure global capital to the country. The Venture Capital Catalyst Initiative (VCCI) launched by Ottawa today will try and mobilise $1.5bn of late-stage funding towards Canadian start-ups. To sweeten the deal for private fund managers, the government will commit an initial $400m through the Business Development Bank of Canada (BDC): $350m (Stream 1) will be allocated to large, returns-led funds-of-funds, while the balance (Stream 2) will be earmarked for smaller fund-of-funds and VC houses.