<PAGE>

                            UNITED STATES
                  SECURITIES AND EXCHANGE COMMISSION
                         Washington, D.C.  20549

                              FORM 10-Q

[X]  QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES 
     EXCHANGE ACT OF 1934

              For the quarterly period ended March 31, 1998

                                 OR

[ ]  TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
     SECURITIES EXCHANGE ACT OF 1934

            For the transition period from N/A to N/A
                                           ---    ---

                      Commission File No. 814-55

TECHNOLOGY FUNDING VENTURE PARTNERS IV, AN AGGRESSIVE GROWTH FUND, L.P.
-----------------------------------------------------------------------
         (Exact name of Registrant as specified in its charter)

          Delaware                         94-3054600
 ------------------------------     ---------------------------------
(State or other jurisdiction of    (I.R.S. Employer Identification No.)
incorporation or organization) 

2000 Alameda de las Pulgas, Suite 250
San Mateo, California                                            94403
-------------------------------------                        ---------
(Address of principal executive offices)                     (Zip Code)

                              (650) 345-2200
             --------------------------------------------------
            (Registrant's telephone number, including area code)

Indicate by check mark whether the Registrant (1) has filed all reports 
required to be filed by Section 13 or 15(d) of the Securities Exchange 
Act of 1934 during the preceding 12 months (or for such shorter period 
that the registrant was required to file such reports), and (2) has been 
subject to such filing requirements for the past 90 days.  Yes X  No 
                                                              ---   --- 
No active market for the units of limited partnership interests 
("Units") exists, and therefore the market value of such Units cannot be 
determined.


<PAGE>

I.  FINANCIAL INFORMATION

Item 1.  Financial Statements

BALANCE SHEETS
--------------

<TABLE>
<CAPTION>

                                        (unaudited)
                                          March 31,         December 31,
                                            1998               1997
                                        ------------        -----------
<S>                                     <C>                 <C>
ASSETS

Investments:
 Equity investments (cost basis
  of $12,508,837 and $12,492,981 for
  1998 and 1997, respectively)          $15,230,348         14,234,001
 Notes receivable                            16,598              4,501
                                         ----------         ----------
     Total investments                   15,246,946         14,238,502

Cash and cash equivalents                 4,516,960          8,821,077
Other assets                                  6,172             10,100
                                         ----------         ----------

     Total assets                       $19,770,078         23,069,679
                                         ==========         ==========

LIABILITIES AND PARTNERS' CAPITAL

Accounts payable and accrued expenses   $    35,756             47,799
Due to related parties                       31,689            119,285
Distributions payable                            --          3,544,571
Other liabilities                            12,747              3,736
                                         ----------         ----------

     Total liabilities                       80,192          3,715,391

Commitments, contingencies and
 subsequent event (Notes 2, 3 and 7)

Partners' capital:
 Limited Partners
  (Units outstanding of 400,000
  for both 1998 and 1997)                15,772,166         16,288,081
 Managing General Partners                1,196,209          1,325,187
 Net unrealized fair value increase
  from cost of equity investments         2,721,511          1,741,020
                                         ----------         ----------

     Total partners' capital             19,689,886         19,354,288
                                         ----------         ----------

     Total liabilities and
      partners' capital                 $19,770,078         23,069,679
                                         ==========         ==========
</TABLE>

See accompanying notes to financial statements.

<PAGE>

STATEMENTS OF OPERATIONS (unaudited)
-----------------------------------

<TABLE>
<CAPTION>
                                   For the Three Months Ended March 31,
                                   ------------------------------------
                                            1998           1997
                                          --------       --------
<S>                                      <C>             <C>
Income:
 Notes receivable interest             $       --          8,741
 Short-term investment interest            30,753         15,981
                                        ---------      ---------
  Total income                             30,753         24,722

Costs and expenses:
 Management fees                           57,674         92,563
 Individual General Partners' 
  compensation                              9,615          9,658
 Operating expenses                       426,186        276,273
                                        ---------      ---------

  Total costs and expenses                493,475        378,494
                                        ---------      ---------

Net operating loss                       (462,722)      (353,772)

 Net realized (loss) gain from 
  sales of equity investments            (182,171)     1,644,262
 Net realized gain from venture
  capital limited partnership
   investments                                 --        413,631
 Realized losses from
  investment write-downs                       --         (2,500)
                                        ---------      ---------
Net realized (loss) income               (644,893)     1,701,621

Change in net unrealized 
  fair value of equity 
  investments                             980,491     (5,761,710)
                                        ---------      ---------

Net income (loss)                      $  335,598     (4,060,089)
                                        =========      =========

Net realized (loss) 
  income per Unit                      $       (1)             4
                                        =========      =========
</TABLE>

See accompanying notes to financial statements.

<PAGE>
STATEMENTS OF CASH FLOWS (unaudited)
-----------------------------------
<TABLE>
<CAPTION>
                                       For the Three Months Ended March 31,
                                       -----------------------------------
                                             1998                1997
                                          ----------         ----------
<S>                                      <C>                 <C>
Cash flows from operating activities:
 Interest received                      $   32,130              21,608
 Interest paid                                  --             (42,976)
 Cash paid to vendors                     (106,780)            (52,355)
 Cash paid to related parties             (473,395)           (367,401)
                                         ---------           ---------

  Net cash used by operating activities   (548,045)           (441,124)
                                         ---------           ---------

Cash flows from investing activities:
 Notes receivable issued                   (16,598)           (150,500)
 Purchase of equity investments           (289,999)           (888,118)
 Repayments of equity investments 
  and notes receivable                          --               6,635
 Proceeds from sales of equity
  investments                               95,096           3,416,447
                                         ---------           ---------

  Net cash (used) provided by 
   investing activities                   (211,501)          2,384,464
                                         ---------           ---------

Cash flows from financing activities:
  Distribution to partners              (3,544,571)                 --
  Repayments of promissory notes                --          (1,363,332)
                                         ---------           ---------

  Net cash used by financing 
   activities                           (3,544,571)         (1,363,332)
                                         ---------           ---------

Net (decrease) increase in cash
  and cash equivalents                  (4,304,117)            580,008

Cash and cash equivalents at 
  beginning of year                      8,821,077           1,402,668
                                         ---------           ---------
Cash and cash equivalents               $4,516,960           1,982,676
  at March 31                            =========           =========

See accompanying notes to financial statements.
</TABLE>

<PAGE>

STATEMENTS OF CASH FLOWS (unaudited)(continued)
-----------------------------------------------
<TABLE>
<CAPTION>
                                       For the Three Months Ended March 31,
                                       ------------------------------------
                                            1998                 1997
                                        -----------          -----------
<S>                                    <C>                   <C>
Reconciliation of net income (loss) to 
 net cash used by operating activities:

Net income (loss)                       $  335,598          (4,060,089)

Adjustments to reconcile net income 
 (loss) to net cash used by operating
 activities:
  Realized losses from investment
   write-downs                                  --               2,500
  Net realized loss (gain) from sales 
   of equity investments                   182,171          (1,644,262)
  Net realized gain from venture
   capital limited partnership
   investments                                  --            (413,631)
  Change in net unrealized fair value 
   of equity investments                  (980,491)          5,761,710

Changes in:
 Due to/from related parties               (87,596)            (47,386)
 Other changes, net                          2,273             (39,966)
                                         ---------           ---------
Net cash used by operating activities   $ (548,045)           (441,124)
                                         =========           =========

</TABLE>

See accompanying notes to financial statements.

<PAGE>

NOTES TO FINANCIAL STATEMENTS (unaudited)
----------------------------------------

1.     General
       -------

In the opinion of the Managing General Partners, the Balance Sheets as of 
March 31, 1998, and December 31, 1997, and the related Statements of 
Operations and Statements of Cash Flows for the three months ended March 
31, 1998 and 1997, reflect all adjustments which are necessary for a fair 
presentation of the financial position, results of operations and cash 
flows for such period.  These statements should be read in conjunction with 
the Annual Report on Form 10-K for the year ended December 31, 1997.  The 
following notes to financial statements for activity through March 31, 
1998, supplement those included in the Annual Report on Form 10-K.  
Allocation of income and loss to Limited and General Partners is based on 
cumulative income and loss.  Adjustments, if any, are reflected in the 
current quarter balances.

2.     Related Party Transactions
       --------------------------

Related party costs are included in costs and expenses shown on the 
Statements of Operations.  Related party costs for the three months ended 
March 31, 1998 and 1997, were as follows:

<TABLE>
<CAPTION>
                                                 1998          1997
                                               --------      --------
   <S>                                        <C>            <C>
   Management fees                            $ 57,674        92,563
   Individual General Partners' compensation     9,615         9,658
   Reimbursable operating expenses             318,510       217,794

</TABLE>

Certain reimbursable expenses have been accrued based upon interim 
estimates prepared by the Managing General Partners and are adjusted to 
actual periodically.  There were $19,693 and $78,672 due to related parties 
at March 31, 1998 and December 31, 1997 respectively, related to such 
expenses.

Amounts payable for management fees were $11,996 and $40,613 at March 31, 
1998, and December 31, 1997, respectively.  Pursuant to the Partnership 
Agreement, quarterly management fees are equal to one quarter of one 
percent of the fair value of Partnership assets.



<PAGE>

3.     Equity Investments
       ------------------
<TABLE>
A full listing of the Partnership's equity investments at December 31, 1997, is in the 1997 Annual 
Report.  Activity from January 1 through March 31, 1998, consisted of:
<CAPTION>

                                                              January 1 through March 31, 1998
                                                              --------------------------------
                                                            Principal
                                          Investment        Amount or      Cost           Fair
Industry/Company         Position            Date             Shares       Basis          Value
----------------         --------         ----------        ---------     -------        -------
<S>                    <C>                 <C>              <C>            <C>         <C>
Balance at January 1, 1998                                              $12,492,981     14,234,001
                                                                         ----------     ----------

Significant changes:

Communications
--------------
NetChannel,             Series B
 Inc.                   Preferred            10/96-
                        shares               05/97          1,417,292      (158,284)      (355,185)

Environmental
-------------
Thermatrix, Inc.        Common shares        06/96          1,105,847             0      1,208,212

Medical/Biotechnology
---------------------
Neurex                  Common
 Corporation            shares               09/96              3,379       (70,959)       (45,448)
Periodontix,            Series C
 Inc.                   Preferred shares     02/98            106,122       259,999        259,999
Pharmos Corporation     Common shares        04/95             60,331             0         66,906
Physiometrix,           Common
 Inc.                   shares               04/96            270,791             0       (191,006)
                                                                         ----------     ----------

Total significant changes during the three
months ended March 31, 1998                                                  30,756        943,478

Other changes, net                                                          (14,900)        52,869
                                                                         ----------     ----------
Total equity investments at March 31, 1998                              $12,508,837     15,230,348
                                                                         ==========     ==========

</TABLE>


Marketable Equity Securities
----------------------------

At March 31, 1998, and December 31, 1997, marketable equity securities had 
aggregate costs of $3,868,695 and $3,157,615, respectively, and aggregate 
market values of $3,248,447 and $2,414,032, respectively.  The net 
unrealized losses at March 31, 1998, and December 31, 1997, included gross 
gains of $427,618 and $350,879, respectively.

NetChannel, Inc.
----------------

In May 1998, the company was acquired by America Online, Inc.  The 
Partnership realized a loss of $158,284 based on expected sales proceeds of 
$429,891 from the sale of this investment.

Neurex, Inc.
------------

In February 1998, the Partnership sold 3,379 common shares for total 
proceeds of $61,884 and realized a loss of $9,075.

Periodontix, Inc.
-----------------

In February 1998, the Partnership purchased 106,122 Series C Preferred 
shares for $259,999.

Other Equity Investments
------------------------

Other significant changes reflected above relate to market value 
fluctuations or the elimination of a discount relating to selling 
restrictions for publicly traded portfolio companies.  Portions of the 
Partnership's Physiometrix, Inc. and Thermatrix, Inc. shares are 
restricted.

4.     Notes Receivable
       ----------------

Activity from January 1, 1998, through March 31, 1998, consisted of:
<TABLE>
<S>                                                         <C>   
Balance at January 1, 1998                                  $  4,501

1998 activity:
  Notes receivable issued                                     16,598
  Change in interest receivable                               (4,501)
                                                              ------

 Total notes receivable
 at March 31, 1998                                           $16,598
                                                              ======

</TABLE>

There was no allowance for loan losses at March 31, 1998 and December 31, 
1997.

The Partnership had accrued interest of $4,501 at December 31, 1997.  There 
was no accrued interest at March 31, 1998.

5.     Cash and Cash Equivalents
       -------------------------

Cash and cash equivalents at March 31, 1998 and December 31, 1997 consisted 
of:

<TABLE>

                                                 1998             1997
                                                ------           ------
<S>                                           <C>              <C>   

Demand accounts                             $    9,687         5,543,116
Money-Market accounts                        4,507,273         3,277,961
                                             ---------         ---------

     Total                                  $4,516,960         8,821,077
                                             =========         =========

</TABLE>

6.     Distributions
       -------------

In October 1997, the Managing General Partners declared distributions ($9 
per unit) for Unit holders as of September 30, 1997.  Distributions of 
$455,429 were paid prior to December 31, 1997 and the balance of $3,544,571 
was paid in February 1998.  Unnegotiated distribution checks, if any after 
a reasonable amount of time, are recorded as other liabilities.

7.     Commitments and Contingencies
       -----------------------------

The Partnership is a party to financial instruments with off-balance-sheet 
risk in the normal course of its business.  Generally, these instruments 
are commitments for future equity fundings, venture capital limited 
partnership investments, equipment financing commitments, or accounts 
receivable lines of credit that are outstanding but not currently fully 
utilized.  As they do not represent current outstanding balances, these 
unfunded commitments are properly not recognized in the financial 
statements.  At March 31, 1998, the Partnership had unfunded commitments 
for venture capital limited partnership investments of $71,150.

Item 2.  Management's Discussion and Analysis of Financial
         Condition and Results of Operations

Liquidity and Capital Resources
-------------------------------

During the three months ended March 31, 1998, net cash used by operating 
activities totaled $548,045.  The Partnership paid management fees of 
$86,291 to the Managing General Partners and reimbursed related parties for 
operating expenses of $377,489 in 1998.  In addition, $9,615 was paid to 
the Individual General Partners as compensation for their services.  Other 
operating expenses of $106,780 were paid and interest income of $32,130 was 
received.

During the three months ended March 31, 1998, the Partnership funded equity 
investments of $289,999 mostly to portfolio companies in the 
medical/biotechnology industry and issued $16,598 in notes receivable to a 
portfolio company in the communications industry.  Proceeds from the sales 
of equity investments were $95,096.  Distributions to partners declared in 
1997, of $3,544,571, were paid in February, 1998.  At March 31, 1998, the 
Partnership was committed to fund $71,150 in additional investments.  

Cash and cash equivalents at March 31, 1998, were $4,516,960.  Future 
proceeds from investment sales and interest income on short-term 
investments are expected to be adequate to fund Partnership operations 
through the next twelve months.

Results of Operations
---------------------

Current quarter compared to corresponding quarter in the preceding year
-----------------------------------------------------------------------

Net income was $335,598 for the quarter ended March 31, 1998, compared to a 
net loss of $4,060,089 during the same period in 1997.  The change was 
primarily due to an increase of $6,742,201 in the change in net unrealized 
fair value of equity investments.  This change was partially offset by a 
$1,826,433 decrease in realized gains from sales of equity investments.

During the quarter ended March 31, 1998, the increase in equity investment 
fair value of $980,491 was primarily attributable to increases in portfolio 
companies in the environmental industry, partially offset by decreases in 
the communications industry.  During the same period in 1997, the decrease 
in fair value of equity investments of $5,761,710 was primarily 
attributable to portfolio companies in the environmental, computer systems 
and software and medical/biotechnology industries.

Net realized loss from sales of equity investments was $182,171 for the 
quarter ended March 31, 1998, as compared to a net realized gain of 
$1,644,262 for the quarter ended March 31, 1997.  The loss in 1998 
primarily related to the sale of NetChannel, Inc.

Total operating expenses were $426,186 and $276,273 for the quarter ended 
March 31, 1998 and 1997, respectively.  The increase is attributable to 
increased investment monitoring activities, administrative costs and 
development costs associated with enabling investors to access on-line 
account information.

Given the inherent risk associated with the business of the Partnership, 
the future performance of the portfolio company investments may 
significantly impact future operations.

II.  OTHER INFORMATION

Item 6.   Exhibits and Reports on Form 8-K

(a)  No reports on Form 8-K were filed by the Partnership during the
     quarter ended March 31, 1998.

(b)  Financial Data Schedule for the three months ended and as of 
     March 31, 1998 (Exhibit 27).


<PAGE>




                              SIGNATURES
                              ----------

Pursuant to the requirements of Section 13 or 15(d) of the Securities 
Exchange Act of 1934, the Registrant has duly caused this Report to be 
signed on its behalf by the undersigned, thereunto duly authorized.

                         TECHNOLOGY FUNDING VENTURE PARTNERS IV, 
                         AN AGGRESSIVE GROWTH FUND, L.P.

                         By:  TECHNOLOGY FUNDING INC.
                              Managing General Partner




Date:  May 14, 1998      By:      /s/Michael R. Brenner
                            -------------------------------------------
                                     Michael R. Brenner
                                     Controller