Because Genentech is a leading developer of cancer therapies, some doctors also fear that the company's pricing plans for Avastin - around $8,800 a month - may encourage other companies to charge more for their own oncology drugs.

Whatever the potential pitfalls, banks are increasingly enthusiastic about venture capital, particularly in new companies with strong prospects in fields like health care and technology.

Accounting rules give financial institutions flexibility about when they choose to recognize venture capital profits.

Alex Berenson Quotes