Under the charter, the organizational structure of the Hanoi Venture Capital Fund (HVCF) includes the Investors' Congress, the Fund Management Council, and the Fund Management Company.
The establishment of a state-backed venture capital fund in Hanoi is aimed at creating an effective financial instrument to support innovative startups, high-tech incubation, strategic technology development, and digital transformation.
The fund is expected to help enterprises overcome the difficult early stages of development, accelerate the growth of the city's innovation startup ecosystem, and contribute to realizing Hanoi's strategy for knowledge-based economic development and innovation.
HVCF will operate for 10 years from the date the Hanoi People's Committee approves its establishment.
After the first five years, the Fund Management Company will conduct a midterm review of the implementation results. At the end of the 10-year period, it will carry out a full review of the pilot model and report the findings to the Fund Management Council and the Investors' Congress.
Both the midterm and final evaluations must be completed at least 90 days before the respective review deadlines.
Based on the final assessment of the pilot implementation, the representative of the state capital portion in HVCF will report to the Hanoi People's Committee, which will then submit the matter to the Hanoi People's Council for a decision on whether the fund should continue operations or be terminated.
HVCF will operate under market principles through a contractual public-private partnership model, maximizing the guiding and catalytic role of public investment while encouraging and mobilizing capital from the private sector, foreign investors, sponsors, and international organizations.
The fund accepts investment risks while ensuring transparency, efficiency, openness and strict prevention of capital loss and waste. HVCF is authorized to carry out venture capital investment activities in any form not prohibited by law.
Based on HVCF's investment sectors specified in Article 4 of the charter and Hanoi's list of key science and technology missions, the Fund Management Council will determine the fund's investment portfolio for each period.
Regarding investment forms, HVCF may invest directly or co-invest with innovation startup funds and other venture capital funds in enterprises through the purchase of shares or capital contributions.
For startup projects, the capital contribution ratio in each enterprise must not exceed 5% of HVCF's total capital. Any investment exceeding the 5% threshold must be decided by the Investors' Congress.
Investment limits for the different development stages of innovative startup enterprises will be specified in the Business Cooperation Contract.
Specific conditions concerning HVCF's rights and obligations will be governed by individual investment agreements.