With IPOs on hold even longer, tariffs spell trouble for private tech investors

A VIX volatility index chart on the floor of the New York Stock Exchange (NYSE) in New York, US, on Wednesday, March 19, 2025. Federal Reserve officials held their benchmark interest rate steady for a second straight meeting, though they telegraphed expectations for slower economic growth and higher inflation. Photographer: Michael Nagle | Bloomberg | Getty Images Already under pressure amid last week's multitrillion-dollar stock market rout, the venture capital industry now faces an even tougher outlook amid ongoing uncertainty stemming from U.S. tariffs. A dearth of initial public offerings or mergers and acquisitions — coupled with the trend that startups are now staying private for longer — has put immense strain on VC funds. Venture capitalists can typically only realize gains on their investments when a company goes public or is sold, allowing them to cash out. Mere days after U.S. President Donald Trump announced plans to impose so-called reciprocal tariffs on a swathe of count ... Read full article.