Mind you they DID have some insight! Things like:

• "the best investors have an extremely open mind and believe they will run into the next big thing at any moment"
  • spoiler: the best investors to a VC are the ones who give them money on blind faith.  Technically true from their perspective!
• "investing is not zero-sum"
  • spoiler: true,  as long as they don't mention or count externalities, which are driving our species and globe to ruin
• "you get more investment if you create fear of not investing in your startup, than if you sell it on merits"
  • spoiler: true,  because humans use heuristics not cold logic. And what does this say about hype vs merits? What does this imply about VC-funded company valuations?
  • spoiler's spoiler: it's not the "meritocracy" that VCs love to claim, when they themselves say hype is more important than capability
• VCs and startups strategically try to create a cult of personality
  • spoiler: true!  But cults and idols are not based on truth or reality 🤔
• it's cheaper to put a flatscreen over a hole in the wall than to fix the drywall
  • spoiler: true!  externaaaaalities!
• "Type II errors are worse than Type I errors"
  • sometimes! Good to consider! But considering it without backing numbers is bullshitting not analysis

the whole thing is depressing, I can't stop thinking about it. These people have power! People keep giving them money! Yet I know preschoolers with a better grasp of fundamentals!!!

#investments #investing #VC #ventureCapital #a16z #capitalism