(Yicai) Sept. 23 -- The Shanghai Future-Oriented Industries Fund will mainly invest early in cutting-edge tech projects and nurture early-stage startups at the forefront of innovation, according to the person in charge of preparing the CNY10 billion (USD1.4 billion) fund.

“Early stage is a major trait of the fund,” Wei Fanjie said at an event for scientists, entrepreneurs, and investors on Sept. 20 during the fourth Shanghai Talent Summit. “Most of the invested projects will be concentrated in the first two rounds, which is our basic plan.”

The new fund was unveiled at the Pujiang Innovation Forum two weeks ago and is fully financed by the Shanghai government. It will focus on hard tech and future industry projects still in the early stages of concept verification and pilot production, with the aim of speeding up the commercialization process and building a long-term investment ecosystem for innovative projects.

The Shanghai Future-Oriented Industries Fund intends to replicate successful overseas incubation models, combined with “Chinese characteristics,” Wei said. 

“Is it possible to make investments earlier than an angel fundraiser?,” he asked, pointing out that there are successful precedents in the United States. The fund will explore this type of investment, he said. “We support young people, young scientists, entrepreneurs, and investors,” he added.

Because the fund will invest in pioneering projects and startups, it will need smart fund managers who are up on emerging technologies, Wei noted.

A strategic advisory committee has been formed, consisting of scientists with strong interdisciplinary backgrounds in academic fields and across roles, with some also being top-notch entrepreneurs, Wei said.

Wei expressed the hope that the fund can find such investors and scientists to serve as advisors, helping incubate startups in cutting-edge and interdisciplinary fields.

Editors: Tang Shihua, Martin Kadiev