Abstract
This paper is devoted to the explanation of the large share of passive investments in companies' portfolios and their relationship with environmental factors. We utilized duality framework to explain underlined processes of corporate venture capital (CVC) investments, such as learning and stabilization. Statistical analysis of venture capitalists over a four-year period showed evidence of significant association between the share of passive CVC investments and company syndication centrality depending on the level of industry concentration. Post-hoc analysis provides an additional support to the dualityview on CVC investments by suggesting that diversified portfolios of passive investments are positively associated with the company 's innovativeness.