Obvious Ventures lands fund five with a 360-degree view of planetary, human, economic health

Obvious Ventures, co-founded by Twitter's Evan Williams, has successfully raised its fifth investment fund, totaling an impressive $360,360,360. This figure, much like the firm's previous fundraising milestones, holds significance beyond its numerical appeal. James Joaquin, co-founder and managing director, shared that the firm has a penchant for celebrating mathematical concepts through its fund sizes. Previous funds included $123,456,789, a palindromic $191,919,191, and the notable $271,828,182, representing Euler's number. The fourth fund, announced in mid-2022, also adhered to this tradition with another palindrome, $355,111,553. The new fund size symbolizes a comprehensive approach to Obvious Ventures' investment strategy, which emphasizes three key areas: planetary health, human health, and economic health. Joaquin expressed the importance of understanding the past to inform future investment decisions, stating, "You have to be a student of the past to understand what’s worked and what hasn’t worked." Joaquin explained that the strategy of maintaining smaller fund sizes allows for individual investments to potentially return the entire fund if they succeed as public companies. He referenced the firm’s early success with Beyond Meat, which had a peak market valuation of over $14 billion following its 2019 IPO, although it has since seen a decline. Despite fluctuations in the market, Joaquin noted that Obvious Ventures has generated meaningful cash distributions to its limited partners and has seen several successful exits. One notable investment was Planet Labs, a satellite imagery company that went public through a SPAC in 2021 and is currently valued at around $8.5 billion. Additionally, its investment in Recursion Pharmaceuticals maintains a market cap exceeding $2 billion. The firm has also invested in Gusto, an HR and payroll platform valued at over $9 billion, which is on an IPO path. In a landscape where only 17% of venture capital firms manage to raise more than three funds, Obvious Ventures' latest fundraising achievement marks it as a significant player in the industry. Joaquin emphasized the importance of reaching this milestone, saying, "We made it to fund five, which is actually a big deal in the venture landscape." While the firm adopts a light-hearted approach to its fund sizes, its commitment to supporting startups that contribute positively to society is serious. Noteworthy investments include Zanskar, a startup leveraging AI for geothermal energy solutions, and Inceptive, an AI-driven platform focused on molecule development founded by a key figure in the generative AI field. In the realm of economic health, Dexterity Robotics, valued at $1.65 billion, is developing humanoid robots to assist with hazardous tasks in industrial settings. Obvious Ventures aims to execute around 10 investments each year, with funding amounts between $5 million and $12 million for Seed and Series A startups. This strategic focus underscores the firm’s dedication to fostering innovation across its targeted health sectors.