Over the past decade, significant fortunes have been made through startup investments. With startups from Silicon Valley, New York, Israel and other tech hubs popping like daises, there are a plethora of exciting companies out there, many of them seeking funding to help them change the world. Israel in particular has seen some impressive numbers in the last few years with more Israeli companies listed on the NASDAQ than any other country outside the US.
Some recent noteworthy acquisitions include Google’s acquisition of Waze for $1 billion, IBM’s acquisition of Trusteer for $1 billion and Rakuten’s acquisition of Viber for $900 million. Investing in a technology startup that you believe in can be exciting as you watch the company grow and achieve milestones. Though investments can vary in size, a diversified portfolio of startups can help you manage the risks wisely. There are two main ways that this is done. The default method for private investors to get involved with startups is with angel investing, which typically involves personal or business relationships with the stakeholders of the startups. This limits investing to those with strong ties to startup communities.