Fidelity Raises First Fund Dedicated to Venture Capital

Fidelity Investments has raised $250 million for its first fund dedicated to venture capital investments, pushing the firm further into private assets.

Fidelity Venture Capital Fund I closed with backing from family offices, investment advisers and high-net worth individuals, the Boston-based asset manager said in a statement Wednesday. It will make direct, minority investments in mid- to late-stage private companies in various sectors, predominantly in the US.

The fund has already invested about $31 million in 10 companies, including Elon Musk’s SpaceX, cloud-based infrastructure firm CoreWeave and defense technology company Anduril, Karin Fronczke, portfolio manager and global head of private equity at Fidelity Investments, told Bloomberg News in an interview.

“Where we are in the cycle, valuations are very attractive,” Fronczke said. “We see very good companies at very reasonable valuations.”