TIP Talk - Understanding Private Equity and Venture Capital Investment by Dr Jin Song

By Velia Ng, Wee Kim Wee School of Communication and Information

With its admissions in progress, Nanyang Technopreneurship Center (NTC) invited Dr Jin Song, industry practitioner and faculty member, to share with interested participants about Private Equity and Venture Capital (VC) investments on January 6 at the Singapore Marriott Tang Plaza Hotel.

Not only did he share his expertise, he also spoke about the programme he teaches at the Master of Science Technopreneurship and Innovation Programme (MSc TIP). The hybrid session was also broadcasted on Zoom for online viewers.

Co-founder of GM Capital Management, a Monetary Authority of Singapore (MAS) licensed Fund Management Company in Singapore, Dr. Jin is a veteran in investment and banking industries, with a vast professional network and a proven successful investment track record.

He shared an overview of the PE and VC industry by introducing the key stakeholders and terminology within the industry and the general life cycle of an investment fund.  Using an overview of a PE/VC Fund Structure, he also spoke of how investment funds are set up through General Partners (GPs) or Limited Partners (LPs), and how PE/VC fund management companies are able to earn a profit through either a fee or a carry. 

He also detailed how PE investment works through the stages of fundraising, to investing, company growth, exits, returns and re-investments and went on further to explain how investment funds can be

Dr. Jin also introduced the barbell strategy as a PE/VC investment strategy, emphasising that investments into companies are generally an early stage investment which would be cheaper but having a higher risk of failing or a late investment which would be more expensive but having a lower risk of failing.

Dr. Jin also added in his talk the various characteristics of PE/VC firms so that his audience may get a sense of being in the industry such as the number of employees in firms and the working hours.

Providing tips for those who wish to enter the industry such as the industry requirements and skills being looked out for - business knowledge, industry domain knowledge along with operation and management skills - he also suggested getting engaged and involved in communities or companies so that individuals may network and find their way into the industry. He added that working for a startup or starting one’s own and investing as the better ways to enter the industry.

Nevertheless, he also began the sharing by providing an introduction to his course, bringing attention to the unique teaching and learning experience the course provides. He also provided a breakdown of the 12 sessions and topics covered throughout the course and the course assessment components.

The talk ended with a Question and Answer segment and the Programme Director followed up after with more information about the MSc TIP. Alumni members were also invited to share their experiences.