Jan 20, 2021 - Economy

Venture capital and private equity trade groups halt political donations

Illustration of the word "no," repeated and moving along the shape of a dollar sign.

Illustration: Brendan Lynch/Axios

Trade groups representing private equity and venture capital firms have joined the trend of pausing political donations, in the wake of Jan. 6.

Driving the news: The American Investment Council has suspended political contributions from its PAC to all political candidates for an undetermined length of time.

The National Venture Capital Association has suspended contributions from its PAC to all members of Congress who voted to object to the certification of electoral votes.

  • This would include House Minority Leader Kevin McCarthy (R-Calif.), who received $10,000 from the group over the last cycle. NVCA says it's collecting feedback from members about future donations.
  • Combined, the PACs gave over $1 million during 2019-2020.

Be smart: It's easy to pause donations in January of an off-cycle year. So let's check back in 12 months.

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