Before you invest in a venture fund, Ask these five questions
Over the past few months, we have spoken to five of our LPs about why they invested in Accelerating Asia Ventures. They didn't arrive at Fund 2 from the same place. One runs a family office. Two were already active angel investors. One was making his first venture investment. Another wanted higher-growth exposure that still made sense within a balanced personal portfolio and reflected the values that mattered to her.
The useful question wasn't simply why they chose our fund. It was what they needed the investment to do for them.
Choosing a venture fund is a long-term decision. Before looking at individual companies or getting caught up in a good pitch, it helps to be clear about the problem you are trying to solve in your own portfolio. These are the five questions our conversations kept coming back to.
1. What role do you want venture to play in your portfolio?
Osman Ahmed was already making angel investments when he became an LP. Direct investing gave him the founder contact he enjoyed, but a small number of companies also concentrated his exposure. A fund gave him a position across more companies, sectors and markets than he could reasonably build one cheque at a time.
One of our other Fund 2 LPs approached the same question through her broader personal portfolio. She wanted higher-growth exposure, but she didn't want it to depend on finding and assessing a handful of companies herself.
“I'm a big believer in portfolio effects. Going out to find this myself would be impossible, both in terms of access and assessment. This solves that problem for me.”
Neither answer makes venture safe. Early-stage investing is risky, and diversification doesn't change that. It does change whether the investment depends on one company, one founder or one market. The starting question is not simply whether you want venture exposure. It is what kind of exposure you are trying to build and how that fits alongside everything else you hold.
2. Could you build the same access and screening yourself?
Finding startups online is easy. Building consistent access across South and Southeast Asia, understanding the differences between markets and reviewing enough companies to construct a portfolio is not.
For Venkat Siva and his family office, Annapurna Ventures, the constraint was bandwidth. His team wanted exposure to venture and the option to invest directly, but it wasn't going to build a sourcing and diligence operation across the region.
“We don't have the bandwidth to look at thousands of companies and make investments across them, because making an investment requires a lot of due diligence.”
Toyo came to Fund 2 as a first-time venture investor and saw the same problem from an individual investor's perspective:
“I can't do the screening for 500 startups.”
That is one of the jobs a fund should do. It should provide more than a list of companies. It should give the investor access to a portfolio built through a repeatable sourcing, selection and diligence process that would be difficult to recreate alone.
3. How involved do you want to be?
Some investors want the fund to do the work and report back. Others still want to meet founders, join the selection process or mentor companies. The choice doesn't have to be either full-time angel investor or passive capital.
Jens Wilke was already an active angel investor when he joined Fund 2. He wanted help with the sourcing, diligence, legal work and portfolio construction, but he didn't want to lose the part he enjoyed most.
“The fund is doing all the hard work. But with Accelerating Asia, I can still get involved if I want to, help with the selection process and mentor specific startups. So I have the best of both worlds.”
Osman describes the same flexibility more simply: “You're as involved as you want to be.”
For our LPs, that can mean joining Selection Week, meeting founders, mentoring a company or staying closer to a particular market. It can also mean stepping back when work or life gets busy. Investors don't need to be active for the model to work, but they should understand what access is available before they invest.
4. Do you want the option to invest directly as well?
A fund investment and direct angel investing don't have to be competing choices. For some LPs, the diversified fund position comes first, then individual companies become an opportunity to go deeper.
Annapurna Ventures uses Fund 2 this way. Venkat explains that the family office uses the companies selected by Accelerating Asia as a funnel, then decides which opportunities it wants to assess for direct investment.
Toyo's path was different, but the relationship between the two is just as clear. Fund 2 was his first venture investment. He later began investing directly in startups and, by the end of 2025, had publicly reported making nine angel investments.
“I don't think I could do it before joining Accelerating Asia. But I know now how I can assess the opportunities by myself.”
Not every LP wants to co-invest, and there is no requirement to do so. But if direct investing is part of what you want to build, it is worth asking whether the fund creates genuine access to founders and opportunities, or whether the relationship ends with the fund commitment.
5. Do you trust the people and the process for the time this takes?
Venture is not a short-term allocation. Venkat puts it plainly: “This is not an asset class where you invest today and get an exit in a year's time. You need to go in with a medium to long-term mindset.”
That makes trust more than a soft consideration. You need confidence in how the team makes decisions, how they communicate when things go wrong and whether their approach still makes sense when the market changes.
For Toyo, that started in his first conversation with Craig. He shared his concerns and background rather than sitting through a sales pitch, and left thinking, “okay, I can trust this guy.” For our anonymous LP, it was a series of smaller checks: the hard facts, meeting the team, seeing the founders and understanding how the fund worked in practice.
She also wanted the commercial opportunity and her values to sit together in the same investment.
“I wanted to find somewhere I could get the returns I want while following the values that are important to me. This was the perfect mix.”
No single meeting can answer every question about a long-term investment. But the relationship should give you enough access to test the team, the process and the fit before you commit.
The same fund can do different jobs
These five investors didn't choose Fund 2 for the same reason.
One wanted a regional venture funnel for a family office. Two wanted the infrastructure and portfolio of a fund without losing contact with founders. One used the fund as his entry into venture and went on to build his own angel portfolio. Another wanted growth, portfolio effects and values to work together.
The common thread is the infrastructure underneath the investment: sourcing across the region, a selection process, a portfolio across companies and markets, an accelerator that keeps investors close to founders and the option to go deeper where there is a fit.
Fund 2 is in final close. If you're considering investing, start by asking what you need the investment to do for you. Then review the fund and portfolio, or email team@acceleratingasia.com to talk through your questions with us.
Start with the fund deck. Choose your path at acceleratingasia.com/investors and we'll send access.
Ready to invest? Book a call here with a partner.
See the portfolio. Check out acceleratingasia.com/portfolio. Filter by country, sector, or fundraising status. Request an introduction directly to any CEO.
For investors and partners. Choose your path at acceleratingasia.com/investors. Whether you're looking to co-invest in individual startups or invest in the fund, the next step is there.
* Carta Q4 2025 VC Fund Performance. US benchmarks used as Asian fund comparables remain limited.
About Accelerating Asia Ventures
Accelerating Asia Ventures is an independent accelerator and venture capital fund investing in early-stage startups across Southeast and South Asia. Founded by operators, the organisation is committed to supporting founders with capital, credibility, and a long-term community.
For interviews, data requests, or portfolio introductions, contact: team@acceleratingasia.com
