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What is the difference between an SPV and a fund, and why can't we operate as an SPV structure?

I got a question from a potential LP: what's the difference between SPV and a fund and why we can't work as an SPV structure? I'm confused what to answer :slightly_smiling_face:
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An SPV is a non-blind vehicle that contains one deal. A venture fund is a blind pool, the limited partners do not know what deals are going to be invested in, that contains a diversified set of portfolio companies, usually 10 to 25. The fees are normally much smaller for SPVs, which make then attractive to limited partners. SPVs end up being a distraction to venture capitalists looking to set up a venture capital firm, since they are not real venture funds and since the economics are small.

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