Benchmark's five general partners used a TechCrunch Disrupt appearance this week to describe a firm that is investing at its traditional pace, even after raising $2 billion across two funds this summer. The firm said the raise marked only the second time in its 31-year history that it had moved away from a far smaller vehicle.
Peter Fenton said the core fund had been held at $500 million for 20 years and had been increased to keep pace with inflation, which he described as correcting a tactical error. He said the firm still makes two or three new bets per partner each year, and that its Monday partner meetings have no agenda.
Fenton said the new $1.25 billion growth fund expands Benchmark's mandate beyond early-stage investing. He said a successful fund would likely see one or two investments generate 90% of returns, and estimated the fund could make four to six, or perhaps seven to eight, investments.
Jack Altman, who joined in February, said he was drawn by the partners' focus on founders and concentration. Chethan Puttagunta said the lack of an agenda gives the five partners room to react when a founder needs help, while Eric Vishria described the Monday meetings as an ongoing conversation rather than a formal process.