Benchmark’s Partners Say They’re Keeping Their Investment Pace

At TechCrunch Disrupt, Benchmark’s five general partners described a close-knit partnership that plans to keep investing at its usual pace, even as the venture market speeds up.

The firm announced $2 billion across two funds this summer. Its core fund, which Peter Fenton said had stayed at $500 million for 20 years, has grown to reflect the current economy. Benchmark has also added a growth fund. Fenton said the firm’s early-stage focus had previously limited it from pursuing some opportunities that could have returned 10 to 1,000 times its investment.

Fenton said the $1.25 billion growth fund could make four to six investments, or perhaps seven to eight. He said that if the fund succeeds, one or two investments could generate 90% of its returns. The firm’s partners said they still make only two or three new investments per year each.

Partners described their Monday meetings as ongoing conversations without a fixed agenda. Eric Vishria said the group discusses companies it is meeting, what has caught their interest, and what they are seeing in board meetings. Chethan Puttagunta said the lack of an agenda leaves room to respond to events.

New partner Jack Altman said he joined because he valued the group’s focus on founders and its small-partnership approach. The article notes that some comments were edited for length and clarity.