Evergreen Ratings has assigned a "Commended" rating to the Aura Venture Fund II, which invests in a diversified portfolio of technology-based companies via pre-seed, seeding and Series A capital rounds.
Evergreen, which specialises in alternatives investment research, says Aura Funds Management has established a strong track record with its first venture fund Aura Venture Fund I. They also commended the fund's management team.
Seed investing can be high risk, but it can also be high reward with the fund receiving a disproportionate stake in the investee company.
"Our view is that the experience and track record of the manager will allow the fund to minimise the downside on these investments," Evergreen founder Angela Ashton said.
The fund has also received unconditional registration as an Early-Stage Venture Capital Limited Partnership from the Department of Industry, Science, Energy and Resources. This provides legitimacy and also allows for favourable tax treatment for investors, including a 10% offset on invested capital and 100% tax-free income and capital gains.