Good day, ladies and gentlemen and thank you for standing by. And welcome to the GSV Capital's First Quarter 2016 Earnings Conference Call. During today’s presentation, all participants will be in a listen-only mode. Following the presentation, the conference will be opened for questions. This call is being recorded today Monday, May 09, 2016. I will now turn the conference over to Nicholas Franco, who is Vice President of GSV Capital. Please go ahead sir.

Thank you for joining us on today's call. I'm joined today by GSV Chairman and CEO, Michael Moe, and Chief Financial Officer, William Tanona. Please note that a slide presentation that corresponds to today's prepared remarks by management is available on our website at www.gsvcap.com under Investors, Events & Presentations. Today's call is being recorded and broadcast live on our website, gsvcap.com. Replay information is included in our press release issued earlier today. This call is the property of GSV Capital Corporation, and the unauthorized reproduction of this call in any form is strictly prohibited. I'd also like to call your attention to customary disclosures in today's earnings press release regarding forward-looking information. Statements made in today's conference call and webcast may constitute forward-looking statements, which relate to future events or future performance or financial condition. These statements are not guarantees of our future performance or future financial condition or results, and involve a number of risks, estimates, and uncertainties. Actual results may differ materially from those in the forward-looking statements as a result of a number of factors including, but not limited to those described from time-to-time in the Company's filings with the SEC. Management does not undertake to update such forward-looking statements unless required to do so by law. To obtain copies of GSV Capital's latest SEC filings, please visit our website at gsvcap.com or the SEC's website at sec.gov. Now I'd like to turn the call over to Michael Moe

Thank you Nick, and good afternoon. We are pleased to share the results of GSV Capital’s first quarter 2016. First I will review our portfolio as of March 31, 2106 and then highlight some recent developments and update you on several investments. I will then turn over to our Chief Financial Officer Bill Tanona, who will provide a brief financial overview and lastly open it up for some questions. Let us start with Slide 3. As of March 31, 2016 our net assets were approximately $243.1 million or $10.96 per share. As mentioned last quarter we made a distribution of $2.76 per share comprised of approximately 50% cash and 50% common stock which was paid on December 31. 2015. The overall market environment has been volatile with NASDAQ dropping nearly 10% from January 01 to February 11 before ending up approximately flat at the end of the quarter. We have also seen markdowns across the board for private companies. The good news is that this dynamics enabled us to acquire shares and Spotify last quarter and approximately a 25% discount to the Company’s Series G financing in December 2015. Also good news is the fundamentals of vast majority of our portfolio of companies remains quite strong. The bad news is that we have been recorded some near term mark-downs to the portfolio as a result of these dynamics. Another example of the volatility in the private markets is a Snapchat, and example is Snapchat, which we’re proud to announce today that we acquired shares of Snapchat. We’re now a shareholder of Snapchat, at GSV Capital. But just to put some context in terms of what’s been taking place last fall Fidelity Investments marked down its position in the company by 25% from $16 billion, to approximately $12 billion. In December…

Thank you, Michael. Today, I will briefly provide a financial overview following an update on our current liquidity position. Now turn to Slide 11 for the financials as of March 31, 2016. We ended the quarter with an NAV per share of $10.96 per share, as you can see in the Slide 11 a quarter-over-quarter breakdown on the change in NAV has shown that is consistent with our financial reporting. In sum, the $12 per share decline in NAV was driven by an increase of $0.02 per share of net investment income primarily due to the reversal of incentive fees, net realized losses of $0.27 per share, and a net change in unrealized depreciation of investments of $0.87 per share. Notable highlights from GSV’s portfolio activity include the monetization of a portion of our precision in left at an average net price of $25 per share, recognizing approximately $1 million of net realized gains, resulting in a 62% IRR. We also exited our position in Bloom Energy at an average net price of $14.75 per share generating approximately $3 million of proceeds and approximately $900,000 in net realized losses. In January 2016, Gilt Groupe sold for $250 million to Hudson's Bay Company, the parent of Saks Fifth Avenue. We exited our position in Gilt Groupe at an average net price of $1.72 per share, resulting in approximately $400,000 of proceeds and approximately $6 million of net realized losses. Subsequent to quarter end, we made another partial monetization of Lyft at an average net price of $24 per share, recognized approximately $400,000 of net realized gains. Our liquid asset ended the quarter at approximately $41 million consisting of $4.4 million of cash, $18 million of unused borrowings under the credit facility and $18.7 million of public securities not subject to lock-up agreements, approximately $134,000 of which are subject to periodic sales restrictions. Please turn to Slide 12. We look forward to hosting our Annual Share Meeting and Investor Day on June 1, 2016 at GSVlabs in Redwood City, California. Our Investor Day will provide insight into GSV Capitals’s investment strategy and performance as well as emerging themes in the global growth economy. Senior executives from our portfolio companies Coursera, PayNearMe, Enjoy, Lytro, OZY, JAMF, GSVlabs, Upwork and Curious have all confirmed as presenters. We appreciate our stockholders support in GSV Capital and we would continue to strive to add value to our stockholders. That concludes my comments, so we’d like to thank you for your interest. I’ll now turn the call over to the operator to start the Q&A session.

Thank you. [Operator Instructions] We’ll now go to Merrill Ross with Wunderlich.

Hi, good evening, good afternoon. I’m wondering as you look at your portfolio what you think is the most miss-priced security that you own? Well, maybe the top two or three – looking to isolate just one, and I’m just trying to get an idea of where you think the markets’ got it wrong?

Well, first of all, I mean what’s reflect in our NAV is a process of we go through to have each security in the portfolio priced at the fair value. And it’s a process that we go through at end of every quarter and I’ll just describe it real quickly that’s a very rigorous process that we at GSV go through every security. We have a process that we go through systematically that are either delectus looks at and believe it’s the appropriate process also Independent Board, then as I heard the outside evaluation firm Andreessen tax, it also goes with through its own process. And so looks at each security when there is a major discrepancy, ultimately the Independent Board makes the decision what appropriate way to reflect the balance sheet. That said, and then that’s all – the answer is whether if I heard your question what’s in our portfolio, what’s the price, we think we’ve priced everything appropriately according to the process in the way that we do it. That said, I believe that growth investor could arguably look at a number of our positions and see the growth and the future cash flows discount back to day and say, these are positions at they would pay higher price for. And again, I think the mark down that you saw in the quarter primarily in positions where there is secondary trades being made, that make the overall point that it’s definitely a buyer’s market. I think it started in last fall and uses the variety of factors here, you’ve seen softness in terms of both buying and pricing in the private marketplace. And so that’s in positions like Palantir and Dropbox, these are companies that we think have great fundamentals, but there were trades – we done…

We’ll now take our next question from Jon Hickman with Ladenburg.

Hi Mike. Couple of questions. The Snapchat was that, that wasn't a financing, you did that in the secondary market place?

Correct.

Okay.

I mean, I’ll take that back.

It was a...

I’ll answer it correctly.

It was a primary investment in the Series F Jon.

Okay. So it was primary investment, okay. Then tell me, I want to follow-up on your comments about GSVlabs. So how do you plan to – what’s the strategy overtime to monetize that? I mean how are you going to make money there, off the equity investments that you are supporting or what? Can you talk about that?

So GSVlabs let's kind of go through the quick business model. So it’s an innovation center. Large center 70,000 square feet based in the heart of Silicon Valley. Different revenue sources the startup is paid a fee to locate there think that’s like kind of a WeWork’s model and if you familiar with WeWork’s instead of how to grow this business we have corporate sponsorships that basically want to get access to innovation. Some are based in GSVlabs Center sponsors so, for example, Intel resides there, JetBlue airlines we mentioned has an office there and others. A number of corporate sponsors that's another revenue source. There's advance in other kind of educational programs that go on. So ReBoot was mentioned which is basically helping women that primarily left the workforce to raise kids that came back that's been a really successful program, that's an educational program. And the last piece of the model which is frankly the most exciting piece is getting equity in the businesses that house there. And that is something that we think we’ll just first phase we had to fill the billing, but I think increasingly that would be an important opportunity at lottery tickets in those businesses that our GSVlabs as I mentioned is over 150 of them today. In addition to that we have interest to create to partner and put GSVlabs all over the United States and all over the world and so we are – so we think that there is going to be tremendous opportunity to put GSVlabs in places like India and I think we’ll – we’re very soon going to be announcing more about that. China, another parts of United States and so, both at same mile that we just talked about in terms of the different revenue sources the equity lottery ticket upside and a grow strategy where I think you could see this be a pretty important. If we execute I would have told you about GSVlabs, I think it’s the opportunities is very open ended. And things are coming out as are incredible and so for us the most important thing as we do is we execute and part of that execution is the startups that we bring in we really help them bring to life, we help provide the kind of knowledge resources and so forth, so they are successful. Because if we’re able to prove that up and there is no stop in and I think the opportunity to monetize our investment GSVlabs whether it is to take GSVlabs public or sale, or to other groups that we’re having interest in the those type of cash flows and upside and I think there is a lot of different ways to monetize our investment.

We’ll now take a question from Brian Murphy with Meridian Capital.

Hi, thanks for taking my question. Mike, you alluded to a gap between some negative sentiments and in many cases strong fundamentals. I know you marked on a Palantir position based on secondary trades, but I’m wondering hoping to get your view on Palantir’s fundamentals and specifically you could comment on the recent buzzfeed piece, because I’m wondering how to parse that information the reporter seem to focus on a few customer barking at the high price point of the technology, which would be a concern, but they are actually very positive data points in that piece, which you can really was derived from internal documents one reference to deal with BP where as $1.2 billion over 10 years. I’m just wondering, how do you feel about that and what is a deal like that imply for the value of their platform.

Yes. So first of all, I've always found it to be a mistake to comment on what reporters write, Joe Lonsdale who is a Founder of Palantir and successful venture capitalist. I thought he wrote very eloquent response to the buzzfeed article. From our advantage point, we have a nice relationship with the company and we think we couldn’t be more pleased with how the company is doing. One of the key, there is a couple of points I just make reference to, one is this kind of reference to losing people so forth. And we think that by the way where talents growing is what the graph indicate us in terms of what companies have it going on and what companies might be losing some momentum. We haven’t seen anything that would indicate the Palantir is not still one of the premier places in Silicon Valley to work. I mean the tracks incredibly talented people. Secondly this reference to non-paying customers, I think is reference to [indiscernible] some of this is like only foundational work. But their core business is doing exceptionally well – it’s an incredibly well positioned business, data science and big data, security, there couldn’t be three more important themes in terms of what businesses are looking for and the solution that Palantir has been able to provide is exceptional. So, again, Palantir is our largest position, but we think the fundamentals would grow value and we think the fundamentals of Palantir are spectacular. So that’s our position.

[Operator Instructions] We will go now to Ed Woo with Ascendiant Capital.

Yes, thanks for taking my question. Mike being in a heart of silicon valley, what are you seeing, what’s the pulse of everybody now, do you guys optimistic as they were six months ago, or do you think people kind of just holding down the floor?

Yes, I mean, I think the optimism in Silicon Valley remains very high. And I think it’s high because despite some of the skepticism of others, the innovation economy is flourishing if anything you’re seeing to accelerate. And so, there is no question that you’re going to see pauses in terms of new capital coming to opportunities and valuations and such. But we’re seeing just extraordinary activity in terms of true innovation and really exciting new technologies addressing both critical issues as well as areas that that society is going to brace. So, for example, we haven’t talked much about, we talked about something that was in the SnapChat and the social media, but it’s really transforming entertainment, but now you’re looking at sort of this next wave of virtual reality. So virtuality has been something that people have been looking for, for twenty years, but now you’re actually seeing it took place where you’re going to start to see it and commercialized in really excited way. So, I made reference in my comments to the company called Lytro, which we have made two investments in, but the technology that Lytro is bringing to the virtual reality party is really, really compelling. And again, I think you’re seeing the optimism and enthusiasm about these technologies to be great. You didn’t say it, but maybe many, many contrast this a little bit with when the dot-com bubble burst in 2000, so 15 years ago. At that time, you have sort of a gold rush mentality and essentially you saw these businesses that were nothing more than a business plan being valued at very high prices overnight. What’s going on today is radically different than that. And over the last 20 years, you’ve had a digital tracks have been laid, you’ve got 3.1 billion people on the Internet, you have got 2.6 billion smartphones, you’ve got an app economy that’s robust. You got the cloud, which allows young businesses to scale very rapidly, very expensively. You’re seeing Moore's Law continuing to create an amazing opportunities to advance technologies. And so, you put this on the mix and it’s really excited. So as well you see kind of headlines and so forth that you say gosh are people getting not as bullish. I think on the ground, people are as bullish as we’ve ever been. So, I think it’s – and we are too.

We will now take a question from Joseph Garner with Emerald Advisers.

Good afternoon, Michael.

Hey, Joe.

Hi. I had the privilege of being able to attend the Education Innovation Summit that you mentioned earlier on your prepared remarks and I’ve got to say it’s a third year I’ve been there. And it’s – I have learned a tremendous amount each time I’m there. And you certainly see a lot of the innovation that you just referenced that’s going on in the education space and there is a little bit of drinking from the firehose. And just wondering from your perspective as somebody who’s followed this company for quite sometime, what you kind of look at as your major takeaways from that event and some of the more compelling opportunities that you see in the education technology space?

Yes, thanks, Joe. And I very much appreciate you attending the event as you have last three years. And we do think it’s a great thing for our shareholders to get a window to both what we’re doing, but also the opportunities that we see in the marketplace. It’s exciting to me. And one of the reasons why education technology is a core focus of ours and one of our kind of key – five key themes. As you start to see for the first time what I call weapons of mass instruction. Businesses that going – are going from an idea to reach a millions and tens and millions of people at breadth taking speeds. So companies - and so as I have made comments, there is 350 education technology companies that presented at the summit, which is drinking from a firehose, but you are seeing some common themes. One of those kind of key themes that you’re seeing is the opportunity and life long learning. And the effect of what we call [indiscernible] so no long longer you’re going to fill up your knowledge tank at the age of 25 and drive off through life. You can continually need to replenish that with ongoing education, part of that just the dynamic world that we’re in, part of that is the fact that millennials are going to have 15 careers between the times they graduate from college, from the time they retire, but so companies like Coursera, which we referenced earlier, is our fourth largest holding. Coursera, we think is a monster in terms what’s going on there and the ways that they’re going to be able to create enormous value for shareholders. Today, the primary was they monetizing the network of nearly 20 million students with sort of…

[Operator Instructions] And I am showing there are no additional questions in the queue at this time.

Thank you very much again. We’re very excited about what we see going on in the marketplace. We believe that our portfolio is doing well. And again, we think over time, the success of the portfolio, and the growth of the portfolio will translate into stock price. And so, we’re going to work very hard at optimizing both for our shareholders and we appreciate your interest and look forward to following up with any questions you have post call. Thank you.

This concludes today’s call. Thank you for your participation. You may now disconnect.