NEW DELHI / BENGALURU: Dinesh Pai, who leads investments at Zerodha’s startup fund Rainmatter, has revealed that the fund has deployed nearly ₹1,500 crore across more than 140 companies, while following an unconventional approach to tracking portfolio performance.
In a detailed post shared on X on Friday, Pai said Rainmatter executes 30–40 investments a year, deploying between ₹300–400 crore annually, yet avoids elaborate monitoring systems commonly used by venture capital and private equity firms.
Something interesting happened over dinner with our @ZerodhaAMC team at Olive Beach in Bengaluru (really good food), three or four in the team asked me the same question,
“How do you track all the investments at @Rainmatterin ?”
We do 30-40 investments a year, deploying… pic.twitter.com/x6JpQHYmnE
— Dinesh Pai (@dineshpaii) December 5, 2025
Instead, Pai explained, Rainmatter relies on trust-based engagement with founders, eschewing dashboards, monthly MIS reports or intrusive performance reviews.
“The truth is simpler and probably disappointing — we don’t really have to track these investments daily or monthly. We just trust the founders we back,” Pai wrote.
“We meet them when there’s something to discuss. Our mindset is on learning rather than monitoring.”
Pai added that rather than data-heavy tracking, Rainmatter uses real-world signals shared through its network to evaluate progress and help startups grow.
“These informal signals tell us more than monthly MIS reports ever could,” he said.
A Founder-First Model
Pai emphasized that constant oversight can distract founders from execution.
“Trying to track everything would require a massive operations team. We’d spend more time in spreadsheets than actually helping founders. That seems backwards,” he noted.
He argued that the Indian startup ecosystem has matured to a stage where founders know when to seek help, whether related to regulations, customer introductions, or collaboration opportunities.
Open Question for the VC Community
Pai also invited other investors to share whether structured reporting systems offer value Rainmatter may be missing.
“Maybe there’s a middle path we haven’t discovered yet. Would love to hear perspectives.”
Rainmatter, launched by Zerodha founders Nithin and Nikhil Kamath, has backed companies across fintech, climate, health, agriculture, and creator economy sectors.
