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SoftBank's Vision Fund losses trickle down

Lucinda Shen
Aug 8, 2022
Data: SoftBank earnings report; Chart: Kavya Beheraj/Axios

SoftBank's Vision Fund posted a massive $21.6 billion (2.9 trillion yen) loss for the period ending June as the tech downturn slammed into its performance. That led to the company's worst ever quarterly earnings.

Why it matters: The financial health of SoftBank is important for the fintech sector, given the amount of money it invests across the space.

  • SoftBank was the sixth most active fintech investor in the first quarter of the year, with 17 investments.
  • It's name didn't breach the top 10 in the second quarter, based on data from CBInsights.
  • SoftBank's fintech stakes include Better (currently in the process of going public via SPAC), eToro (which recently broke up with its SPAC), Uala, Opay and Nu.

Of note: SoftBank Vision Fund's policy in this downturn includes "heightened discipline for new investments" and "enhancing the value of the current portfolio."

  • Translation: Fewer checks from the mega fund and likely cuts in its portfolio companies.
  • SoftBank's Vision Funds approved some $9.6 billion worth of investments for the three months ending December. It approved about $600 million in investments for the three months ending June.
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