On Tuesday, early-stage venture capital firm A* revealed the launch of its $450 million Fund III. The firm adopts a generalist strategy, investing in a variety of sectors, including AI solutions, fintech, healthcare, and security.
The fund is expected to provide average investments ranging from $3 million to $5 million, with the goal of supporting at least 30 startups. The funds will be allocated over the coming two to three years, similar to the firm’s earlier funds. Limited partners consist of nonprofits, foundations, and endowments; among the publicly disclosed investors is Carnegie Mellon University.

Founded in 2020 by Kevin Hartz and Bennett Siegel, A* had previously secured $315 million for Fund II in 2024 and $300 million for Fund I in 2021. Hartz is a seasoned entrepreneur, renowned for co-founding Xoom, the global money-transfer service acquired by PayPal for $1.1 billion in 2015, and Eventbrite, the event-ticketing platform that became public in 2018. Siegel’s background includes rising through Boston Consulting Group and Altamont Capital Partners before spending four years as a partner at Coatue Management.

The firm has garnered attention for supporting exceptionally young founders, even as this trend has gained traction recently. Hartz mentioned to TechCrunch last autumn that nearly 20% of the firm’s existing portfolio features teenage entrepreneurs. Among its various investments, it has supported the fintech startup Ramp and the AI company Mercor.

This story was revised to specify the firm’s name.