Certainly the exit climate has improved of late, particularly for technology company acquisitions in the U.S. and public market exits for both healthcare and IT in Europe. However the exit opportunities are not likely to grow to the level that would be needed to see a substantial return for that remaining number of portfolio companies.

Overall, the first quarter numbers point to a positive start for the U.S. venture market in 2006. The renewed IT activity is a sign that investors are recognizing the significant potential of new information technology innovations and are supporting them once again. But investors also remain committed to existing portfolio companies as the predominance of the capital investing shows.