The Venture Capital & Private Equity (VCPE) club launched this semester and works to create a hands-on experience for students interested in venture capital and private equity. The club aspires to partner with firms such as Softbank, KKR and H.I.G., and it hosts speaker events and live project-based work with industry professionals.
While recruiting for TPG, an elite private equity firm, Tomas Valenziano— one of the VCPE founders— realized that UM’s clubs were not providing enough experience to help students compete in high-stake environments.
Valenziano met Marcelo Gambirazio, another co-founder of VCPE, in New York while completing his program. Together they understood the importance of asset-focused clubs at universities, and came to the realization that there is no private equity club at UM.
“If we could make a club specializing in these two industries, venture capital and private equity, we could take advantage of those tailwinds that are existing in Miami and we could build something cool and unique,” Valenziano said.
Gambirazio and Valenziano stated that they are proud to be Miami Hurricanes and therefore wanted to find a way to leave their mark on campus.
In launching VCPE, they wanted to bridge what they saw as a gap in UM curriculum and give students stronger preparation for the competitive world of private equity.
“We thought it was very surprising that unfortunately the curriculum had not adapted to the current times,” Valenziano said. “We think that the mission of our club is not only to do things at the club level but really promote this adaptation at the structural level at the University level.”
Gambirazio and Valenziano stressed the importance of being located in Miami and the opportunities that location brings to the club. They say that they aspire to provide students with diverse perspectives of the venture capital world.
They say that naturally being located in Miami there is a big emphasis on the future of technology. Therefore their club has the upper hand in taking advantage of all the opportunities that Miami offers for the future of investing.
The VCPE is advised by Jason Wright, a Partner at a firm called Apax Partners, and Sarah Bradley, the Co-Founder of Kainos Capital, who are both venture capital private equity professors. Valenziano states that receiving feedback from them not only helps students at the club level but also at a University level.
“We’re differentiated in our capabilities,” Valenziano said. “Because our advisors are working at the University of Miami on a part-time basis and are currently in the field, we are doing hands-on diligence work on behalf of partner firms.”
A big part of this hands-on work stems from networking. While many of these connections come from family, friends and colleagues, Gambirazio and Valenziano stress the importance of cold calls.
“90% of the connections that we have are cold. So it’s actually a reflection of the very proactive approach that we have,” Valenziano said. “We want to take that rigorous proactive approach and that culture which is the way that it works in investment banking.”
Valenziano stressed the culture of proactiveness that the club holds its standards to. Many of these partnerships with big firms that VCPE has secured has been brought forth by being determined and making these connections.
“It’s a mix of the cold emails and leveraging our own networks to get to these big name companies,” Valenziano said “We are building a very systematic approach to these things, we’re building something much more fundamental, we are cementing partnerships.”
The club has about 20 members, with 5 people on the electoral board. Valenziano states that while they are selective, they are looking for students with real passion and drive, and from there they provide all the training and network exposure.
Because this year was their first semester they didn’t have a formal recruitment process, however next semester they are aiming to have a more structured process. This will include two weeks focused solely on recruiting members.
“If you are in [any of the schools] apply, because we love the diversity perspectives,” Valenziano said. “If you think you have a unique perspective, that you’re curious, you’re hard-working, it’s fair game.”
Valenziano said that when recruiting next year they are looking for students that possess these soft skills rather than hard skills. Additionally, Gambirazio said that in the coming semesters of recruiting they will be putting a big emphasis on a high GPA.
“If you get a 4.0 even in your electives, and you force yourself to get the A, that’s the sort of the stuff that firms look for,” Gambirazio said. “We need to have that same energy in order to make this dream of recruiting to these companies realistic.”
The co-founders said even in the first semester of VCPE they have learned so much and have formulated their club in terms of working with professionals and thinking through problems.
In the future they are planning to break up their members into sections, such as an investment team, a projects team and a corporate outreach team. These will be decided based on their interviews and experience.
The private equity industry is very competitive and selective, and it can be a huge challenge to find these opportunities and acquire them.
Valenziano explains how VCPE is a great chance for students to experience this hands-on learning experience with other passionate students. In addition, VCPE provides a space for students to leverage their network and enables opportunities in the industry.