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Venture-capital funding in New York City plunges from a year ago

Following a record 2015 and a solid first quarter, venture-capital investment in the New York metro area cooled down significantly in the second quarter, a new report shows.

The biggest dropoff was in early stage, or Series A, investments, suggesting investors are growing cautious about spending on startups in a weak market for tech IPOs and acquisitions.

VC spending in New York in the April through June period totaled $1.4 billion, a 41% slide from the same period a year ago and a 19% drop from the first quarter of 2016. The total number of deals also fell, to 124 from 136 in the first quarter, according to the MoneyTree Report by PricewaterhouseCoopers and the National Venture Capital Association based on data from Thomson Reuters. The report was released Friday.

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