The booming stock market has provided fertile ground for startups to notch impressive wins and generate profits for the venture capital funds that back them. But as the exuberance in the private capital markets show signs of descending into irrational euphoria, the managers behind those funds are getting worried.

According to data from Pitchbook, the value of U.S.-based venture-backed companies that were acquired or made their public debut this year through the third quarter reached US$582.5 billion, the Wall Street Journal reported. That’s sharply up from US$289 billion in 2020 and the first time the US$500-billion bar has been cleared. READ MORE