Fidelity closes $760M second venture growth fund in two months
What's the deal? Fidelity Investments has raised nearly $760 million for Fidelity Venture Growth Fund II, closing the vehicle on November 2. The money came from high-net-worth individuals, family offices, registered investment advisors, and other investors.
Why now? Fidelity raised most of the fund's capital in just two months. The pace follows its predecessor, Fidelity Venture Capital Fund I, which raised $250 million in 2024 over a four-month period and was fully invested less than two years after its final close.
What's the endgame? The fund makes direct, minority investments in mid- to late-stage private companies worldwide, with an emphasis on the US and the technology, media, and telecommunications sectors. Both funds share portfolio manager Karin Fronczke, global head of private equity investments in Fidelity's equity division.
Fronczke, who joined Fidelity in 2020, has overseen more than $24 billion in private company investments for the firm, including stakes in SpaceX, OpenAI, Anthropic, CoreWeave, Databricks, and Canva.
Fidelity's private investment team operates from hubs in Boston, Silicon Valley, London, and Hong Kong, drawing on more than 300 equity professionals for due diligence. Over nearly two decades, Fidelity funds have deployed more than $40 billion across over 400 private companies, with roughly 250 exits, mostly through IPOs.
By the numbers: Fund I made early distributions to limited partners and ranked in the top 5% of US venture funds with a 2024 vintage by internal rate of return as of June 30, 2026, per Cambridge AssociatesDealroom has a profile for this one. Try Dealroom → data cited by Fidelity.
"As private companies stay private longer and reach greater scale before going public — some even exceeding trillion-dollar valuations — this strategy provides our clients with access to some of the most compelling growth opportunities unfolding in the private markets," Fronczke said.
The signal: Fidelity's raise lands in a venture market where fundraising has rebounded but capital is concentrated. Through Q3 2026, US funds raised $108.5 billion, with nearly $80 billion going to firms raising at least $1 billion, while first-time managers face a decade-low fund count — a backdrop that favors established platforms like Fidelity over new entrants.
Read more: alternativeswatch.com
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