Iconiq Capital

Iconiq Capital is a multi-family office and investment fund based in California. It was founded in 2011 and manages a significant portion of the wealth of several high-profile families globally, including Mark Zuckerberg, Sheryl Sandberg, Reid Hoffman, Jack Dorsey, Henry Davis, and David Bonderman. Initially, Iconiq primarily offered traditional wealth management and family office services, including investment allocations to other funds. However, its business model has evolved over time.

Today, Iconiq Capital directly invests in deals, expanding beyond venture capital-style investments to include buyouts of more mature technology companies. They have gained fame for their association with Mark Zuckerberg, but they also manage the wealth of other prominent individuals. The company's team consists of 23 members, and they have offices in three locations.

In terms of investment strategy, Iconiq Capital engages in various deal types, including seed capital, early venture, growth venture, late stage & IPO, listed equity, acquisition/LBO, venture debt, debt, structured capital, special or distress, hedge strategies, and fund investments. They typically invest between $5 million and $75 million in a single deal.

ICONIQ Capital is an American wealth management and investment firm based in San Francisco, California. It was founded in 2011 by Divesh Makan, Michael Anders, and Chad Boeding. The firm provides wealth management services to high-net-worth clients, including notable individuals from the technology and entertainment industries such as Mark Zuckerberg, Sheryl Sandberg, Jack Dorsey, and Jeff Weiner.

Initially, ICONIQ Capital focused on venture capital investments in startups. However, it later expanded its investment scope to include private equity and real estate. The firm operates a hybrid operational structure to reduce conflicts of interest between its wealth management and investment businesses. It ensures that only a small portion of the client's assets is allocated into its investment funds, and the allocation is always at the discretion of the clients.

The addition of Will Griffith to the team in 2012 marked a significant milestone for Iconiq Capital. Griffith, a former partner at TCV (Technology Crossover Ventures), became a founder of ICONIQ Strategic Partners, the investment arm of the firm. This expansion into the investment space allowed Iconiq Capital to deepen its involvement in the technology ecosystem and further capitalize on emerging opportunities.

One of the pivotal moments in Iconiq Capital's history came with its connection to Mark Zuckerberg, the founder of Facebook. Divesh Makan had the opportunity to work with Zuckerberg as his client while still at Morgan Stanley. This connection not only solidified their relationship but also opened doors to other key members affiliated with Facebook, such as Sheryl Sandberg and Dustin Moskovitz. The association with Zuckerberg and his inner circle further elevated Iconiq Capital's reputation and positioned them as a go-to wealth management firm for technology industry leaders.

ICONIQ Capital has served as a family office for its high-net-worth clients and has also acted as an investment firm. It manages a significant amount of assets under management (AUM), with an estimated value of $80 billion as of 2022. The firm has made notable investments in various companies, including Airbnb, Alibaba, Robinhood, Snowflake Inc., Uber, and Zoom.

In terms of its investment activities, ICONIQ Capital operates multiple investment funds under the name "ICONIQ Strategic Partners." These funds have been established in different vintage years and have attracted committed capital ranging from hundreds of millions to billions of dollars.

Today, Iconiq Capital stands as a prominent player in the wealth management and investment industry, catering to the needs of high-net-worth individuals in the technology and entertainment sectors. The firm's ability to navigate the ever-changing landscape of the technology industry and its close relationships with influential figures have been key drivers of its success. With a focus on providing tailored solutions and strategic investments, Iconiq Capital continues to play a significant role in shaping the financial futures of its esteemed clientele.

Iconiq Capital has discerning investment criteria that guide its decision-making process when selecting companies to invest in. While their criteria may evolve over time, the following factors provide insights into the types of investments that align with Iconiq Capital's investment strategy:

• Technology Focus: Iconiq Capital has a strong emphasis on technology investments. They are particularly interested in companies operating in sectors such as software, digital platforms, enterprise solutions, consumer technology, hardware, and other areas of technological innovation. Their focus on technology reflects their deep understanding of the industry and their ability to identify promising opportunities within it.
• Growth Potential: Iconiq Capital seeks investments with significant growth potential. They are attracted to companies that have demonstrated the ability to disrupt traditional industries, introduce innovative products or services, and exhibit strong growth trajectories. They prioritize companies with a clear value proposition, competitive advantages, and scalable business models that can drive long-term success.
• Strong Management Teams: The expertise and vision of a company's management team are critical factors for Iconiq Capital. They look for teams with proven track records, deep industry knowledge, and the ability to execute strategic plans effectively. Iconiq Capital values collaborative partnerships and seeks to work with founders and executives who are committed to driving the company's success.
• Market Opportunity: Iconiq Capital assesses the market potential of a company before making an investment. They analyze the target market's size, growth prospects, competitive landscape, and the company's ability to capture a significant share of that market. Iconiq Capital seeks investments in companies that operate in large addressable markets with room for sustained growth.
• Differentiation and Competitive Advantage: Iconiq Capital looks for companies with unique value propositions and competitive advantages. They seek investments in companies that have developed innovative technologies, proprietary platforms, or disruptive business models that set them apart from competitors. Iconiq Capital believes that a strong competitive advantage is essential for long-term success and market leadership.
• Financial Performance: While early-stage startups may have limited financial track records, Iconiq Capital assesses a company's financial performance based on available data and projections. More mature companies, they evaluate revenue growth, profitability, and financial stability. Iconiq Capital seeks investments in companies that demonstrate strong financial fundamentals or have the potential to achieve sustainable financial success.
• Alignment with Iconiq Capital's Values: Iconiq Capital takes into consideration its own values and principles when making investment decisions. They often prioritize investments in companies that align with their vision of social impact, sustainability, and responsible business practices. They believe in supporting companies that are not only financially successful but also contribute positively to society.

It's important to note that while these criteria provide an overview of Iconiq Capital's investment preferences, each investment decision is made on a case-by-case basis. The firm's experienced investment professionals conduct thorough due diligence and analysis to ensure that investments align with their overall investment strategy and offer the potential for attractive returns.

Iconiq Capital is guided by a set of core values that shape its approach to investing and business operations. These values reflect their commitment to excellence, integrity, collaboration, and social responsibility. Here are the key values that define Iconiq Capital:

• Excellence: Iconiq Capital strives for excellence in everything they do. They have a strong dedication to delivering superior performance and outcomes for their clients and portfolio companies. They set high standards for themselves and continuously seek to improve and innovate. By pursuing excellence, they aim to create long-term value and generate a positive impact.
• Integrity: Integrity is a fundamental value for Iconiq Capital. They operate with the highest ethical standards, transparency, and accountability. They build trust with their clients, portfolio companies, and stakeholders through honest and fair dealings. Integrity is at the core of their relationships and is essential for maintaining their reputation as a trusted partner.
• Collaboration: Collaboration is a key value at Iconiq Capital. They believe in the power of teamwork and partnerships. They actively engage with their clients, portfolio companies, and industry peers to foster collaboration, knowledge sharing, and collective success. By leveraging diverse perspectives and expertise, they aim to make better investment decisions and create value for all stakeholders.
• Long-Term Thinking: Iconiq Capital embraces a long-term perspective in its investment approach. They focus on sustainable growth and value creation over the long term, rather than pursuing short-term gains. They invest in companies with the potential for enduring success and aim to build lasting relationships with their clients and portfolio companies.
• Social Responsibility: Iconiq Capital recognizes its responsibility to contribute positively to society and the environment. They integrate environmental, social, and governance (ESG) considerations into their investment decision-making process. They actively seek out investments that align with their values of social impact, sustainability, and responsible business practices. They believe that businesses can be a force for positive change and work towards creating a more inclusive and sustainable future.
• Client-Centric Approach: Iconiq Capital places its clients at the centre of its business. They prioritize understanding their client's goals, needs, and risk profiles. They tailor their investment strategies and solutions to meet the unique requirements of each client. Client satisfaction and trust are paramount to their success, and they strive to exceed client expectations through personalized service and strong relationships.

Iconiq Capital's mission is to empower exceptional entrepreneurs and innovative companies to create lasting value and make a positive impact on the world. They are dedicated to supporting the growth and success of their portfolio companies by providing strategic guidance, capital, and access to a global network of resources. Their mission is centred around identifying and nurturing promising investment opportunities and helping them reach their full potential.

With a focus on technology and innovation, Iconiq Capital aims to drive positive change and shape the future through its investments. They actively seek out companies that have the potential to disrupt industries, transform markets, and improve people's lives. By aligning themselves with visionary entrepreneurs and breakthrough technologies, they strive to be at the forefront of innovation and contribute to the advancement of society.

Iconiq Capital has a diverse and impressive portfolio of investments across various industries, with a particular focus on technology and innovation. Their portfolio comprises both early-stage startups and more mature companies that have demonstrated significant growth potential. Here are some notable companies in Iconiq Capital's portfolio:

• Airbnb: A global online marketplace for lodging and experiences, Airbnb has revolutionized the travel and hospitality industry with its platform that connects hosts and guests.
• Epic Games: The creator of the popular video game Fortnite, Epic Games is a leading interactive entertainment company that has made a significant impact in the gaming industry.
• Robinhood: Robinhood is a commission-free investing platform that has disrupted the financial services industry by making stock trading accessible to a broader audience.
• Snowflake: Snowflake is a cloud-based data warehousing company that provides scalable and flexible solutions for data storage and analytics.
• Zoom: Zoom Video Communications offers a leading video conferencing and communication platform, which gained immense popularity during the COVID-19 pandemic.
• Pluralsight: Pluralsight is an online learning platform that provides professionals with access to a vast library of courses and training resources for technology and creative skills.
• Airbnb: A global online marketplace for lodging and experiences, Airbnb has revolutionized the travel and hospitality industry with its platform that connects hosts and guests.
• GitLab: GitLab is a web-based platform for software development that offers a complete DevOps lifecycle toolset, enabling teams to collaborate and build software more efficiently.