Fund Structure
Blind Pool
A fund structure where LPs commit capital before knowing which specific investments will be made — the standard structure for most VC funds.
A blind pool is a fund structure where LPs commit capital upfront and give the GP full discretion over which investments to make. LPs are investing in the GP's judgment, not in specific pre-identified deals. The vast majority of VC funds are blind pools — LPs don't know in advance exactly which companies the fund will back. This contrasts with deal-by-deal investing (like some family offices or SPVs), where investors evaluate and approve each investment individually. Blind pools create alignment: LPs must trust the GP's strategy and judgment, incentivizing GPs to build strong track records. LPs typically have no veto power over individual investment decisions in a blind pool structure.