Tech Funds Are Heating Up The Financial Stock Markets - Click here http://bit.ly/nQbqf7 for full article

Tech Funds Are Heating Up The Financial Stock Markets - Click here http://bit.ly/nQbqf7 for full article

In a flashback to the late 1990s, stock brokers and market analysts are closely following the developments of social media and other Internet technologies. In the breathless days prior to the bursting of the dot-com bubble it wasn't unusual for a US fund seeking to invest in private Internet tech companies to hit the NASDAQ with an exciting initial public offering (IPO). Back then such tech funds were focused on potential venture investments in high-risk Internet companies.

The resurgence of red-hot tech on the NASDAQ is very reminiscent of the first quarter in the year 2000 when the tech-heavy electronic stock exchange boasted daily triple digit gains and reached a historical high above 5000 points, shortly before it crashed. US fund managers looking to invest in today's tech start-ups insist that times have changed and that the spectacular failures of yesteryear aren't likely to repeat themselves today.

Critics of the current tech revitalization on the NASDAQ point to social media giants such as Facebook and Twitter and their soaring valuations. Facebook is the undisputed darling of the technology world, having been valued as high as $100 billion.

Some market analysts are pretty sure that whatever valuation Facebook is given reflects the immense potential that social media has for future profits. Tech fund managers are paying attention and looking for the next Facebook to add to their portfolios.

GSV Capital is the American fund that recently valued Facebook at $70 billion. GSV now holds 225,000 shares of the social networking giant. Another tech startup on its portfolio is Kno, a software developer dedicated to the field of education. GSV capital already debuted its IPO on the NASDAQ earlier this year under the symbol GSVC.

Another US fund that has been created in order to invest in the burgeoning field of technology start-ups is Denver-based Keating Capital. A quick scan of the fund's portfolio reveals a strong focus on technology firms. The pre-IPO portfolio is tech-heavy as expected, although the fund manager has stated that they are focused on growth companies that would have gone public even without a tech label.

The few tech companies that Keating Capital has thus far added to its portfolio are rich in diversity. Some are dedicated to solar thermal energy while others are in the business of cloud computing. Keating Capital expects to debut its own IPO on the NASDAQ later this year.