Q&A with Josh Lumer, principal, Allstate Strategic Ventures
Tarik Galijasevic, managing director of Allstate Strategic Ventures (ASV), US-based property and casualty insurer Allstate’s corporate venture capital (CVC) unit, said of Josh Lumer, a principal at the unit: “Josh Lumer joined Allstate Strategic Ventures in 2019 after five years in investment banking at BMO Capital Markets. Since joining the team, Josh has learned the venture capital business very quickly and has taken on more and more responsibilities over time. Just this year, he has co-led two investments and supported the team on several others.
“Josh has worked closely with Allstate’s innovation and business teams to develop strategies for both electric and autonomous vehicles. Today, Josh is the team’s point person on New Mobility Models, Connected Home, Connected Vehicle and Alternative Distribution. In just two years, Josh has built a tremendous network in the entrepreneurial community bringing us significant deal flow in the spaces he focuses on.
“Josh is a tireless worker who works long hours, including evenings and weekends when necessary, and consistently delivers very high-quality work. In recognition of his efforts, Josh was promoted from Senior Associate to Principal earlier this year – he is a major asset to ASV.”
Lumer focuses on early-stage investments in mobility, the internet of things (IoT) and the sharing and gig economy. He is fascinated with the role new transportation models, connected devices and economic incentives play in influencing human behaviour and reshaping our physical environments.
A native of Los Angeles, Lumer moved to the US east coast to study and play football at Villanova University, where he earned a bachelor of business administration in finance. Prior to joining Allstate, he served as an investment banking associate at BMO Capital Markets in New York City, executing mergers and acquisitions (M&A) transactions and capital raises for a range of industrial clients. He practises Brazilian jujitsu and enjoys travelling, weightlifting, snowboarding, film and photography.
1. Give us a quick overview of who you work for, what you do, and how long you have been doing it.
I work alongside a mighty team at ASV. I joined the CVC unit in 2019 as a senior associate before ascending to principal. At ASV, I source and diligence early-stage investments across a variety of verticals and themes including the evolution of mobility, financial product access & distribution, future of work, and IoT.
2. What attracted you to CVC?
Soon after beginning my exploration into the world of venture capital I quickly realised that CVC offered a unique platform that would allow me to learn from some of the world’s brightest entrepreneurs and shape corporate strategies to influence the evolution of markets and drive societal impact. With capital more readily available than ever, CVCs like Allstate have never been better positioned to offer differentiated value to portfolio companies as key commercial and distribution partners with deep domain expertise, providing early-stage companies with the competitive advantage they need to win at the next level.
3. What have been your greatest successes at your unit?
I am pleased to be able to say that I have had the chance to lead investments in early-stage companies that have not only resulted in strong financial returns for ASV and commercial relationships with our parent company but also seek to protect consumers’ data and privacy in our increasingly connected world. I have been especially proud to support our portfolio companies in raising follow-on rounds and developing strategies to emerge from the pandemic with more resilient business models while maintaining rapid growth. I have also been fortunate to become a trusted strategic partner across Allstate’s businesses and have directly supported the development of strategies and product roadmaps for several teams now. Lastly, I would note that our portfolio continues to provide top-tier financial returns in addition to the substantial strategic value in the form of meaningful cost savings, increased revenue, and elevated technological capabilities.
4. What have been your biggest challenges?
We are always working to make commercial engagement more efficient and break down information silos between business units. With tailored approaches for connecting with key business partners and defined steps for engaging with existing and prospective portfolio companies, we are able to help startups bypass the corporate labyrinth and get direct access to key decision-makers at Allstate.
5. What is your main professional ambition for the future?
I love working with ambitious, visionary teams developing revolutionary solutions to challenging problems. I am most excited about opportunities that improve access to products and services for underserved communities and support a more sustainable environment and culture for future generations.
6. What do you think all CVCs could do better to make it a stronger industry?
Codifying CVC best practices, standard terms, etc. will provide all participants in the ecosystem with greater transparency. This could reduce the barriers to entry for corporates considering launching a CVC group and eventually lead to standardisation globally where CVC teams become as common and indispensable as corporate development divisions. Greater transparency will also allow the best startups to find the right corporate partners and reduce the reticence some financial VCs maintain toward working with corporates.
7. What did you do prior to CVC or in your spare time?
Prior to joining the ASV team, I served as an investment banking associate at BMO Capital Markets in New York City, executing M&A transactions and capital raises for a range of industrial clients.
