Financial Performance - Investment income for Q1 2024 was $32,045, a decrease from $191,262 in Q1 2023, primarily due to a decline in accrued interest on current notes [150][151]. - Operating expenses for Q1 2024 totaled approximately $(2,783,427), significantly higher than $389,351 in Q1 2023, mainly due to a management fee expense waiver of $(3,000,000) [152][153]. - Net investment income for Q1 2024 was $2,815,472, compared to a loss of $(198,089) in Q1 2023, attributed to the management fee waiver [154][161]. - The net decrease in net assets resulting from operations for Q1 2024 was $(1,092,451), an improvement from $(4,742,224) in Q1 2023 [160][161]. Investment Portfolio - The fair value of the investment portfolio decreased to approximately $4.7 million as of March 31, 2024, down from approximately $8.7 million as of December 31, 2023 [144]. - The net unrealized depreciation on portfolio investments as of March 31, 2024, was $(129,141,664), compared to $(99,347,163) as of March 31, 2023 [156][158]. - The portfolio composition as of March 31, 2024, included 74.7% in Medical Devices and 1880.9% in Aerospace, reflecting significant sector shifts [146]. - The company invests at least 80% of net assets in technology companies, with a focus on those deriving at least 50% of revenues from the information technology or cleantech sectors [142]. - The company invests in small companies, which are considered speculative and may be subject to legal or contractual restrictions on resale [180]. - Valuation of investments in privately-held companies is determined in good faith by the Board of Directors, potentially differing from market values due to lack of public market [176]. - Changes in valuation of investments in privately-held companies may be volatile, with potential for significant value loss or gain [178]. - There have been no material events related to the company's portfolio of investments since the close of the fiscal quarter on March 31, 2024 [173]. Cash and Distributions - As of March 31, 2024, a portion of the company's assets was invested in cash and/or cash equivalents, which are expected to earn low yields [181]. - The company is required to distribute substantially all of its net realized gains to stockholders on an annual basis, holding proceeds of liquidated investments in cash pending distribution [183]. - The board of directors will determine the timing and amount of distributions, with no minimum distribution requirements [162]. Internal Controls and Procedures - The company evaluates its disclosure controls and procedures, concluding they are effective in ensuring timely and accurate reporting [185]. - No changes in internal control over financial reporting occurred during the fiscal quarter that materially affected the company's reporting [185]. Economic Factors - Inflation has not significantly affected the company's results of operations, although portfolio companies may experience its impacts [172]. Other Information - The company has no contractual obligations or off-balance sheet arrangements that require disclosure [163][164]. - The company holds cash reserves to avoid dilution in future financings and to support additional investments in portfolio companies [182].

[Part I: Business and Risk Factors](index=4&type=section&id=Part%20I) [Business Overview](index=4&type=section&id=Item%201.%20Business) Firsthand Technology Value Fund (SVVC) is an externally managed BDC investing in technology and cleantech for long-term capital growth, with a $8.7 million portfolio as of December 31, 2023, and a plan to liquidate - The Company is a BDC focused on long-term capital growth, investing at least **80% of assets in technology and cleantech** and **70% in private or micro-cap public companies**[15](index=15&type=chunk)[18](index=18&type=chunk) Portfolio Composition as of December 31, 2023 | Investment | Business Description | Fair Value (USD) | | :-------------------------- | :------------------------ | :--------------- | | Hera Systems, Inc. | Aerospace | $4.20 million | | Revasum, Inc. | Semiconductor Equipment | $3.86 million | | UCT Coatings, Inc. | Advanced Materials | $0.30 million | | EQX Capital, Inc. | Equipment Leasing | $0.11 million | | Kyma, Inc. | Advanced Materials | $0.10 million | | IntraOp Medical Corp. | Medical Devices | $0.09 million | | Fidelity Money Market | Investment Company | $0.07 million | | Lyncean Technologies, Inc. | Semiconductor Equipment | $0 | | Wrightspeed, Inc. | Automotive | $0 | - The Investment Adviser, FCM, charges a **2.00% base management fee** on gross assets and a **20% incentive fee** on cumulative realized capital gains, net of losses and depreciation[99](index=99&type=chunk)[102](index=102&type=chunk) - On October 13, 2023, the Fund announced a plan to seek shareholder approval to withdraw its BDC election and pursue liquidation[312](index=312&type=chunk) [Risk Factors](index=18&type=section&id=Item%201A.%20Risk%20Factors) The company faces significant risks including dependence on key personnel, intense competition, regulatory constraints, and valuation uncertainties from its illiquid, non-diversified, and speculative private and micro-cap portfolio - The Company is highly dependent on FCM's management, particularly Mr. Landis, and the loss of key personnel could significantly impair investment objectives[108](index=108&type=chunk)[109](index=109&type=chunk) - As a non-diversified investment company, the fund's concentration in a small number of issuers increases volatility and susceptibility to specific economic or regulatory events[121](index=121&type=chunk) - A large percentage of the portfolio consists of non-publicly traded securities whose fair value, determined by the Board, is inherently uncertain and may differ materially from realized values[123](index=123&type=chunk) - The incentive fee structure may induce FCM to make riskier or more speculative investments for higher returns, potentially misaligning with shareholder interests[129](index=129&type=chunk) [Cybersecurity](index=25&type=section&id=Item%201C.%20Cybersecurity) The Board oversees the cybersecurity risk management program, implemented daily by the Investment Adviser, which has not materially affected the company's business, operations, or financial condition - The Board oversees cybersecurity risk, with the Investment Adviser managing daily implementation of policies covering threat identification, technical safeguards, incident response, and third-party risk[152](index=152&type=chunk)[153](index=153&type=chunk)[154](index=154&type=chunk) - The Company concluded that cybersecurity threats have not materially affected and are not reasonably likely to materially affect its business strategy, results of operations, or financial condition[155](index=155&type=chunk) [Part II: Market and Financial Information](index=26&type=section&id=Part%20II) [Market for Common Equity and Shareholder Matters](index=26&type=section&id=Item%205.%20Market%20for%20Registrant's%20Common%20Equity%2C%20Related%20Stockholder%20Matters%2C%20and%20Issuer%20Purchases%20of%20Equity%20Securities) SVVC common stock traded on Nasdaq, with its price declining significantly in 2023, no distributions made, and cumulative total return substantially underperforming major indices since inception 2023 Quarterly Stock Price Range | Quarter Ending | Low | High | | :------------- | :----- | :----- | | March 31 | $0.92 | $1.15 | | June 30 | $0.61 | $0.98 | | September 30 | $0.42 | $0.69 | | December 31 | $0.18 | $0.42 | - No distributions were made to shareholders during **2023**[164](index=164&type=chunk) - The company's performance since its 2011 inception has significantly underperformed the S&P 500 and NASDAQ Composite indices, attributed to its private company portfolio not appreciating during the public market bull run[166](index=166&type=chunk)[168](index=168&type=chunk) [Management's Discussion and Analysis (MD&A)](index=30&type=section&id=Item%207.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) In 2023, the fund's net assets decreased by **$29.3 million** to **$1.3 million** ($0.18/share), driven by **$22.6 million** in net unrealized depreciation and a **$7.9 million** net realized loss, significantly straining liquidity Results of Operations (2021-2023) | Metric | 2023 (USD) | 2022 (USD) | 2021 (USD) | | :--------------------------------------- | :---------------- | :----------------- | :--------------- | | Total Investment Income | $0.12 million | ($10.01 million) | $6.32 million | | Total Net Expenses | ($0.96 million) | $2.44 million | $3.26 million | | Net Realized and Unrealized Loss | ($30.43 million) | ($51.70 million) | ($10.45 million) | | **Net Decrease in Net Assets** | **($29.35 million)**| **($64.15 million)** | **($7.39 million)**| | **Net Decrease in Net Assets Per Share** | **($4.26)** | **($9.31)** | **($1.07)** | - Net unrealized depreciation on investments increased by **$22.6 million** in 2023, primarily due to decreases in the value of IntraOp Medical and Wrightspeed[203](index=203&type=chunk) - The company's financial condition significantly deteriorated, with net assets falling to **$1.3 million** ($0.18/share) at year-end 2023 from **$30.6 million** ($4.44/share) at year-end 2022[219](index=219&type=chunk) - Since June 2018, the company has been taxed as a C corporation after failing to meet RIC diversification requirements, primarily due to the increased value of its holding in Pivotal Systems Corp at the time[208](index=208&type=chunk) [Market Risk Disclosures](index=40&type=section&id=Item%207A.%20Quantitative%20And%20Qualitative%20Disclosures%20About%20Market%20Risk) The company's principal market risks are valuation risk from illiquid, privately-held securities and small company investment risk from speculative, immature businesses with high loss potential - The primary market risk is valuation risk, as the portfolio is heavily weighted towards illiquid private company securities whose values, determined by the Board, may differ significantly from realizable values[246](index=246&type=chunk)[247](index=247&type=chunk) - The fund faces significant risk from investments in small, speculative companies, which are often subject to resale restrictions and have a higher risk of loss compared to traditional investments[251](index=251&type=chunk) [Financial Statements and Supplementary Data](index=41&type=section&id=Item%208.%20Financial%20Statements%20and%20Supplementary%20Data) Audited financial statements confirm a severe decline in 2023, with net assets plummeting to **$1.3 million** ($0.18/share), auditor highlighting Level 3 investment valuation as a Critical Audit Matter and the liquidation plan, and subsequent suspension of Revasum, Inc. securities - The independent auditor's report identifies Level 3 investment valuation as a **Critical Audit Matter** and includes an Emphasis of Matter paragraph highlighting the company's plan to withdraw its BDC election and pursue liquidation[261](index=261&type=chunk)[264](index=264&type=chunk) Consolidated Statement of Assets and Liabilities Highlights | Metric | Dec 31, 2023 (USD) | Dec 31, 2022 (USD) | | :-------------------------- | :----------------- | :----------------- | | Total Investments (Market) | $8.73 million | $40.12 million | | Total Assets | $8.81 million | $40.20 million | | Total Liabilities | $7.55 million | $9.59 million | | **Net Assets** | **$1.26 million** | **$30.61 million** | | **Net Asset Value Per Share** | **$0.18** | **$4.44** | - As of December 31, 2023, Level 3 investments were valued at **$4.8 million**, representing **381% of total net assets** of **$1.3 million**, indicating extreme concentration and valuation risk[261](index=261&type=chunk)[355](index=355&type=chunk) - Subsequent to year-end, in February and March 2024, portfolio company Revasum, Inc. had its securities suspended from quotation on the Australian Securities Exchange (ASX)[420](index=420&type=chunk)[421](index=421&type=chunk) - The company has significant tax loss carryforwards, including **$12.4 million** in net operating losses and **$32.7 million** in net capital losses, but has placed a full valuation allowance on its deferred tax assets, indicating unlikelihood of realization[385](index=385&type=chunk)[390](index=390&type=chunk) [Controls and Procedures](index=94&type=section&id=Item%209A.%20Controls%20and%20Procedures) Management, including the CEO and CFO, concluded that disclosure controls and procedures and internal control over financial reporting were effective as of December 31, 2023, with no material changes reported - Management, including the CEO and CFO, concluded that the company's disclosure controls and procedures were effective as of December 31, 2023[422](index=422&type=chunk) - Management concluded that the company's internal control over financial reporting was effective as of December 31, 2023, based on the COSO framework[424](index=424&type=chunk) [Part III: Corporate Governance and Compensation](index=95&type=section&id=Part%20III) [Directors, Executive Compensation, and Related Matters](index=95&type=section&id=Item%2010%2C%2011%2C%2012%2C%2013%2C%2014) Information regarding directors, executive compensation, corporate governance, security ownership, and principal accountant fees is incorporated by reference from the forthcoming 2024 Proxy Statement - Detailed information for Items 10 through 14 is incorporated by reference from the forthcoming 2024 Proxy Statement[429](index=429&type=chunk)[433](index=433&type=chunk)[434](index=434&type=chunk)[435](index=435&type=chunk)[436](index=436&type=chunk)

Financial Performance - As of September 30, 2023, total assets decreased to $8,138,811 from $40,203,857 as of December 31, 2022, representing a decline of approximately 79.8%[9] - Total liabilities decreased to $7,458,115 from $9,594,266, a reduction of about 22.2%[9] - Net assets significantly decreased to $680,696 from $30,609,591, indicating a drop of approximately 97.8%[9] - For the three months ended September 30, 2023, net investment income was $1,865,387 compared to a loss of $8,843,969 for the same period in 2022[12] - The net decrease in net assets resulting from operations for the nine months ended September 30, 2023, was $29,928,895, compared to $56,319,999 for the same period in 2022[12] - Total investment income for the three months ended September 30, 2023, was $(234,126), a significant decline from $(8,300,245) in the same period last year[12] - The net realized and unrealized loss on investments for the nine months ended September 30, 2023, was $(31,289,090), compared to $(44,186,398) for the same period in 2022[12] - The net asset value per share dropped to $0.10 from $4.44, reflecting a decrease of approximately 97.8%[9] - The company reported a net cash used in operating activities of $(94) for the three months ended September 30, 2023, compared to a net cash provided of $3,198 for the same period in 2022[15] - Net asset value at the beginning of the period was $4.44, down from $13.75 in the previous year, representing a decline of 67.7%[18] - Total return based on net asset value for the nine months ended September 30, 2023, was (97.75)%, significantly lower than (67.71)% in the previous year[18] Investment Strategy and Portfolio - The company has made significant investments in companies like Hera Systems, Inc., with a convertible note valued at $5,359,791, indicating a focus on aerospace and medical devices sectors[22] - The company holds convertible notes from Intraop Medical Corp. maturing in December 2023 with an interest rate of 15%, totaling $15,000,000 across multiple issuances[24] - The total value of investments in Intraop Medical Corp. is reported at $168,647, with a cost basis of $168,647[25] - The company has a significant investment in Revasum, Inc., with a value of $39,774,889 and a cost basis of $9,268,219, reflecting a substantial gain[26] - The investment in Kyma, Inc. represents 14.7% of the portfolio, with a convertible note maturing in March 2024 valued at $100,000[25] - The company has invested in UCT Coatings, Inc. with a common stock value of $1,500,000 and a cost basis of $662,235, indicating a potential for growth[26] - The preferred stock investment in Lyncean Technologies, Inc. shows a cost basis of $1,000,000 but currently holds no value[26] - The company has a term note investment maturing in December 2023 with an interest rate of 8%, totaling $5,000,000 across two issuances[25] - The total value of the portfolio as of September 30, 2023, is not explicitly stated but includes multiple investments across various sectors[24][25][26] - The company is focused on advanced materials and semiconductor equipment sectors, indicating a strategic emphasis on high-growth industries[26] Financial Position and Liabilities - Total investments amount to $134,199,707, representing 1191.1% of net assets[29] - Net assets stand at $680,696, with liabilities exceeding other assets by 1091.1%[29] - The company holds $4,569,453 in restricted securities, accounting for 671.3% of net assets[30] - The company’s total liabilities are reported at $(7,427,021)[29] - The company’s liabilities exceeded other assets by 31.1%, resulting in net assets of $30,609,591[44] Management and Fees - The base management fee is set at an annual rate of 2.00% of gross assets, payable quarterly[76] - A fee waiver agreement has been established, waiving $2.5 million of accrued but unpaid base management fees prior to September 30, 2023[78] - The incentive fee is 20% of realized capital gains, with no adjustments for the three months ended September 30, 2023[77] - A waiver of management fees of $2,500,000 was approved by the Board for the quarter ended September 30, 2023[168] Market and Economic Conditions - The company faces significant risks from market disruptions and geopolitical events, including the ongoing impacts of COVID-19 and the Russia-Ukraine conflict[134] - The overall performance of the fund's investments reflects a challenging market environment, with several positions showing significant unrealized losses[37] Valuation and Fair Value - The company relies primarily on the market approach for fair value measurement, considering income and asset-based approaches as necessary[87] - The valuation of privately-held companies is subject to significant estimates and judgments, which may lead to volatility in reported values[72] - The total fair value of the Company's investments as of September 30, 2023, includes $305,539 in Level 1 assets, $3,132,725 in Level 2 assets, and $4,669,453 in Level 3 assets[93] - The company has established a full valuation allowance on its net deferred tax assets, indicating a low likelihood of realizing these assets[111] Shareholder Actions and Corporate Governance - The company plans to seek stockholder approval to withdraw its BDC election and pursue liquidation, as announced on October 13, 2023[137] - The company’s shares were listed on the NASDAQ Global Market under the symbol "SVVC" but intended to voluntarily delist on October 6, 2023[47] - As of September 30, 2023, eligible directors have deferred 50% of their compensation, with payments due at the earlier of January 1, 2025, or their separation from the Fund[68] Investment Performance and Losses - The company recognized net realized losses of approximately $(7,864,982) from the sale of investments during the nine months ended September 30, 2023[176] - For the nine months ended September 30, 2023, the net unrealized depreciation on total investments increased by $23,424,108, primarily due to decreases in valuations of Wrightspeed, Hera Systems, and IntraOp Medical holdings [177] - The company reported a gross unrealized depreciation of $(126,091,990) as of September 30, 2023[106]

Financial Performance - As of June 30, 2023, total assets decreased to $20,942,221 from $40,203,857 as of December 31, 2022, representing a decline of approximately 48.1%[10] - Total market value of investments dropped to $20,612,957 from $40,121,924, a decrease of about 48.7%[10] - For the three months ended June 30, 2023, total investment income was $131,676, compared to a loss of $3,812,911 for the same period in 2022[13] - Net investment loss for the six months ended June 30, 2023, was $(505,192), compared to $(3,289,632) for the same period in 2022[13] - The net decrease in net assets resulting from operations for the three months ended June 30, 2023, was $(14,768,311), compared to $(37,608,487) for the same period in 2022[13] - The net asset value per share decreased to $1.61 as of June 30, 2023, down from $4.44 as of December 31, 2022[10] - The company reported net realized and unrealized losses on investments of $(14,461,208) for the three months ended June 30, 2023[13] - The net decrease in net assets resulting from operations for the six months ended June 30, 2023, was $(19,510,535), an improvement from $(44,958,429) in the same period of 2022[174] Investment Portfolio - The company holds significant investments in HERA SYSTEMS, INC. (68.7% of net assets) and INTRAOP MEDICAL CORP. (45.4% of net assets) as of June 30, 2023[25] - Firsthand Technology Value Fund holds a significant investment in Revasum, Inc., valued at $39,774,889, representing 33.4% of net assets[28] - The fund's investment in Intraop Medical Corp. includes multiple convertible notes maturing in December 2023, with a total value of $10,961,129 and a cost basis of $10,961,129[26] - The fund has invested $2,000,000 in a term note maturing in December 2023 with an interest rate of 8%[27] - The total value of the investment in UCT Coatings, Inc. is $1,500,000, with a cost basis of $662,235, representing 2.4% of net assets[28] - The company has a diverse portfolio with investments across various sectors, including aerospace, medical devices, and advanced materials[36] - The total value of controlled investments as of June 30, 2023, is $39,349,502, with a realized loss of $7,864,997[126] Financial Ratios and Metrics - The ratio of total expenses to average net assets increased to 7.16% for the six months ended June 30, 2023, compared to 4.11% for the year ended December 31, 2022[19] - Net investment income (loss) ratio to average net assets was (4.37)% for the six months ended June 30, 2023, compared to (20.96)% for the year ended December 31, 2022[19] - The total fair value of the Company's net assets as of June 30, 2023, is $20,612,957, which includes $4,276,596 in Level 1 assets and $16,336,361 in Level 3 assets[89] - The net unrealized depreciation on total investments increased by $11,140,362 during the six months ended June 30, 2023[170] Investment Strategy - The company has a policy to invest at least 80% of its assets in technology companies, which derive at least 50% of their revenues from the information technology or cleantech sectors[47] - The company’s investment strategy includes a focus on convertible notes and preferred stocks, indicating a preference for hybrid securities[31] - The company’s investment strategy includes a focus on privately held companies and public companies with market capitalizations less than $250 million[47] - The company expects a pipeline of potential exit opportunities through IPOs or acquisitions as portfolio companies mature[140] Cash and Liquidity - Cash and foreign currency at the end of the period was $2,703, down from $3,404 at the beginning of the period[15] - The company intends to distribute at least 90% of its ordinary income and realized net short-term capital gains annually to qualify as a RIC[177] - As of June 30, 2023, a portion of the company's assets was held in cash and cash equivalents, which are expected to earn low yields, potentially leading to losses if operating expenses exceed interest income[197] Valuation and Reporting - The Company utilizes a multi-step valuation process for investments without readily available market quotations[73] - The independent valuation firm assists the Board in determining the fair value of select portfolio investments each quarter[71] - The valuation of privately-held companies is subject to significant estimates and judgments, which may lead to volatility in reported values[70] - The fair value hierarchy includes Level 1, Level 2, and Level 3 measurements, with Level 3 requiring the most judgment in valuation[87] Legal and Compliance - The company is not involved in any material pending legal proceedings[204] - There have been no material changes in risk factors since the last Form 10-K filing[205] - There were no unregistered sales of equity securities during the reporting period[206] - The company has not experienced any defaults upon senior securities[207]

U.S. SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q ☑ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period of March 31, 2023 or ☐ TRANSITION QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File Number 333-168195 FIRSTHAND TECHNOLOGY VALUE FUND, INC. (Exact Name of Registrant as Specified in Charter) MARYLAND (State or Other Jurisdiction of Incorporation or Organization) 150 Alm ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Form 10-K (Mark One) [X] ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2022 or [ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ______ to ______ Commission file number: 814-00830 Firsthand Technology Value Fund, Inc. (Exact name of registrant as specified in its charter) Maryland (State ...