VC performance improves in the first quarter

Venture performance ticked up in the first quarter of the year with returns for the one-year time period breaking 12 percent, according to Cambridge Associates.

With the IPO market heating up, performance in the United States rose across most time periods during the three months. The continued stream of offerings since then bodes well for the second quarter.

Quarterly returns as of the end of March rose to 3.96 percent, up from 2.82 percent in the fourth quarter of last year, Cambridge said. One-year returns climbed to 12.1 percent, compared with 11.08 percent in the fourth quarter.

Late and expansion-stage performance was particularly strong through March, with a quarterly IRR of 5.84 percent.

Five year-returns rose modestly to 15.71 percent and the 10-year performance advanced to 9.64 percent.

Headed in the other direction, the 20-year return fell to 21.36 percent from a 22.9 percent IRR in the fourth quarter.