The Silicon Valley Venture Capitalist Confidence Index rose sharply in the third quarter with investors excited about technology shifts they see ahead.
The index climbed to 3.88 on a scale of 1 to 5 from 3.6 a quarter ago. It is compiled by Professor Mark Cannice at the University of San Francisco and was drawn from interviews with 32 venture capitalists.
The increase comes as exit markets remain soft and investing itself slumped in the third quarter. It reflects what many investors see as an attractive period for backing startups with trends such as cloud computing, big data, artificial intelligence and autonomous driving bearing fruit or beginning to bear fruit.
It also parallels a bit of a thawing in the domestic IPO market during the quarter.