As venture capital has matured, growing 5x over the last 12 years to $350 billion, the scale of private holdings has never been greater. With the exit markets quiet and with both regulatory and market forces bringing uncertainty, there's an increase in pressure for exits. The VC business is predicated primarily on M&A and IPOs to produce returns. Still, given the economic volatility, VC firms will need to access the secondary market to thrive in this next economic era.

Venture capital buys shares in a company and holds them, typically for eight to 12 years. At some point, however, the firm must sell its shares. Sometimes, that occurs when a strategic acquirer buys them or when a company goes public and public market investors buy them. READ MORE