Venture capital fund: Investors invest venture capital in newly established or fast-growing emerging enterprises, provide long-term equity investment and value-added services for financiers on the basis of taking huge risks, foster the rapid growth of enterprises, and recover their investment through listing, mergers and acquisitions or other equity transfer methods several years later to obtain high investment returns. Venture capital funds usually invest in companies that are in seed stage, initial stage or early stage and have business development or product development plans. Because this kind of company has not yet formed business, and the role of financial partner in general private equity investment is different, so the classification of venture capital and equity investment is often different. Well-known venture capital funds in the industry include IDG technology venture capital fund and Sequoia Capital. Typical cases such as Baidu, IDG invested $65.438+$200 million in Baidu, and then Baidu successfully landed on Nasdaq, and IDG got a return of nearly $65.438+$00 million.