Angel investors are wealthy individuals who have often run their own businesses and want to help other business people launch their own companies.
But the latest statistics suggest they are becoming more cautious as the economy slows.
The Young Company Finance Index shows that angel investors put $20.6 million into local companies in the first six months of the year.
That is down $5 million, or 20 percent, from the same period a year before.
Software companies attracted $8.8 million. That was 43 percent of the money invested.
That was followed by $3.4 million for pharmaceutical companies and $2.7 million for healthcare investments.
The first six months of the year saw a lot more "follow-on" investment by angel investors. More than 75 percent of their new funds went into existing investments. The angel funds are becoming more cautious because of the wider changes in the wider economy.
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