Why our access is improving
And why our product benefits seed managers
With our index-like strategy of systematically investing in premier Series Bs, the only question that matters is whether we can partner with seed managers who are backing the full distribution of breakout Series Bs.
This is particularly important in a power law environment where the vast majority of returns reside within a tiny subset of the companies. The ability to consistently support these companies at Series B is critical not just to our returns, but to helping seed investors fully capture the upside of their best picks.
The good news is that our access continues to improve. Figure 1 shows the top 10 ranked Series Bs per vintage per our models. The companies we invested in are in green, while companies we saw but did not invest in are in pink and companies we did not see are blank. We invested in two of the top 10 companies last year (Anrok & Bounce).
Figure 1. SignalRank’s access to top 10 ranked qualifying Series Bs in 2023 & 2024
Source: SignalRank
In 2025 to date, we have invested in two of the top 10 ranked Series Bs, including the #1 ranked company on our model for this year so far (Together AI, see Figure 2). We are seeing our access continue to improve (Figure 2). But we know we’re not seeing everything yet. That’s why expanding our partner network is a priority.
Figure 2. SignalRank’s access to top 10 ranked qualifying Series Bs in 2025 (Jan-Mar 2025)
Source: SignalRank
So why is our access improving?
It could be because we have been in market for longer, with higher brand awareness and stronger relationships with a larger network of seed managers. This would be the feel good answer.
Structural reasons are more likely:
Larger round sizes allow for more pro rata
AI companies with high execution velocity are able to attract ever more capital, and may need to raise more capital still to keep ahead of their competition. A $2bn pre-money valuation allows for a $100m Series B with just ~5% dilution. Larger rounds leave more space for existing investors to fill their pro rata.
Opportunity funds are out of vogue
NextView’s Rob Go asked the question of whether we are seeing the end of seed investing as we know it, driven by the trifecta of Y Combinator attracting top talent (to the detriment of non-YC seed investors), mega-funds investing at seed (thereby squeezing out seed VCs) and AI being too capital intensive for seed investors.
He may be overstating the case somewhat, but it is clear that seed investors are fighting harder for every dollar being raised. A corollary has been the number of opportunity funds closing has ground to a halt. Seed investors are therefore left with the options of enduring dilution, trying to spin up an SPV with their LPs, or partnering with SignalRank (with full 20% deal by deal carry).
Pre-IPO SPV opportunities favored
Mid-stage SPVs (at Series B / Series C) have become harder to fill for managers seeking to take advantage of their pro rata directly with their LPs. Liquidity is the focus for these types of LPs, preferring to pile into household pre-IPO names (SpaceX, Stripe, Anduril, etc) than backing higher growth Series Bs with unknown liquidity timeframes.
We are now working with 200+ seed managers who are sharing 100+ post Series A / pre Series B opportunities with SignalRank per month. This is enabling us to see a high proportion of all qualifying Series Bs on our model.
By supporting our managers, we are not replacing seed investors’ own capital strategies, but offering a complementary product: our capital allows seed investors to preserve ownership in their best companies, with instant execution (without spinning up a separate SPV), and aligned interests (with our partners enjoying full 20% carry).
We’ve made a strong start. But to fully deliver on our mission, we know we must continue to earn the trust of the seed community. That’s how we’ll achieve the kind of consistent access required to execute fully on our strategy.