The value of total investments from Capital Cell between 2015 and 2022 yields a multiplier of X3.19. In other words, if someone had put €1,000 into each campaign on the platform, as of today they would have €78,000 invested and the value of their portfolio would be €248,570.

This calculation considers the theoretical portfolio value, not the investors' liquid returns, and is based solely on the following capitalization events:

• New investment rounds, in which the portfolio value has been recalculated taking into account the new price per share and the accumulated dilution.
• Bankruptcies and bankruptcies, where the value has been multiplied by zero (no account is taken of any remaining value for the investor, nor of tax deductions for investments or losses).
• Sales, dividend distribution or IPO value

In cases where we do not have sufficient information we have preferred to leave the value untouched; this is the case, for example, of the Bodytrak or ORP rounds in the UK, which have had subsequent rounds with a remarkable revaluation but whose exact value is difficult to calculate due to the little information we have after the closing of Capital Cell UK.

The figures are very good and are in line both with the performance of benchmark funds in the sector and with our own expectations, although of course for the moment they have a relative value as they are illiquid assets (they cannot be exchanged for cash), and the final "picture" of the portfolio will certainly be different; in any case, we believe that these numbers are a very good indication.

A word of caution: this analysis consciously avoids giving any company names, as these could be interpreted as advice to prioritize certain investment opportunities over others. Instead, it is intended to reinforce the message that diversification is the key to a portfolio, Capital Cell wants to reinforce the message that diversification is the key to a high-performing portfolio.

As expected for a startup investment portfolio, today the distribution of appreciation is very uneven. The vast majority of investments are still worth almost exactly the same: 74% of investments are between 1 and 2 times their original value.

Of the 78 companies in the portfolio, very few have died or have returned less than 1; there are 6 "corpses" and 5 others with returns below 1.

The vast majority of portfolio investments are still "young": 55% of investments are less than 3 years old, and 74% of investments are less than 4 years old. For this type of asset (biotech startups), the expected time to profit would be between 4 and 7 years; therefore, most assets are below market maturity.

The "positives" are also few: 7 companies have multiplied their value between x2 and x10, and only two companies have multiplied above ten.

In terms of liquidity, so far investors have not yet managed to recover much capital: the cash return as of Nov. 2022 is only 0.51. This means that most investors have, for now, more money Invested than cash returns.

And be careful, because even this figure is misleading: there have only been 4 cash outflows in the entire portfolio. Therefore, those investors who have not Invested in any of these 4 companies have a liquidity, for now, of zero.

The overall multiplier of x3.19 includes all investments made in the last month. Capital Cellincluding rounds that closed last month. In addition, the majority of the Capital Cell is 3 years old or less; this means that we are including a high proportion of immature assets in the analysis, and as a consequence we have a marked tendency for the multiplier to approach 1.

If we eliminate from the analysis the companies invested after the last few years, the expected return would be as follows:

• excluding investments in 2022: multiplier of 3.72
• excluding investments in 2021: multiplier of 4.57
• excluding 2020 investments: multiplier of 5.93

The most important lesson from the analysis of the portfolio of Capital CellIf we eliminate the 3 investments with the highest appreciation, the portfolio return goes from X3.19 to X1.14 only.

To ensure a positive return, what really counts is to have some capital in the 3 or 4 companies that end up performing best. Again, a mathematical demonstration of the importance of diversification.