Survival of the fittest

Question: How is the IPO market expected to perform this year?

Jordan Stuart: In 2021, there was a record IPO market. More than 700 IPOs went public, raising hundreds of billions of dollars. In 2022, we saw only 70 IPOs go public, raising less than 10 billion dollars. We think that this year, you should start to see a recovery in the IPO market, but it'll take some time. This is the process in which we think is healthy for the IPO market in the sense that this churn happens. Think of 1998, how many dot coms went public and how many survived? This is healthy for any modern economy that develops new ideas, ideas that solve society's problems with profitable solutions. This is the churning process where good companies with really good ideas need to have durable business models, and those business models are going to be tested throughout this process. In this year, we expect a similar, probably quiet year, while the market absorbs the 2021 year, and we expect things to start to turn up, as we've seen in the past, in either nine to 12 months after the market bottoms.