Agile VC

OCTOBER 23, 2012

And even if they wanted the index return, there is essentially no way to buy (or sell) a broad-based basket of VC funds in the way you can trade the S&P 500 or Russell 2000 or other public equity index. But these long-term LPs are by definition using active managers in search of alpha (i.e. What about fund of funds (FoF), you ask?

LP 176

LP Accredited Investor Carried Interest Portfolio 176

Agile VC

SEPTEMBER 15, 2011

But if you read the whole article you glean more insight… the entire public equity markets have sunk in the last 3-4 months. This is clearly true and obviously sucks for any investors who bought these shares in the offering and currently hold them. What will happen for the startup IPO market?

IPO 100

IPO Marketing Silicon Valley Technical Review 100

Agile VC

MAY 9, 2014

Such an approach is common in Silicon Valley… Google, Facebook, LinkedIn, and others have dual-class equity structures which give the holders of one class of shares (typically founders) disproportionate voting rights relative to their fully-diluted ownership stake in the company. Alibaba Partnership’s Structure.

Government 153

Government Silicon Valley China Cofounder 153

Agile VC

DECEMBER 19, 2013

In addition, investing in startup tech companies turns out to provide only a modest level of diversification… angel investments tend to form a high beta portfolio, with reasonably close correlations to public equity markets. ” But as an angel one can overweight this factor.

Angel Investor 265

Angel Investor Early Stage Syndicate Syndication 265

Agile VC

JULY 11, 2012

in equity & loans which was ultimately worth >170x ($355M) when DEC went public about a decade later. Should there be a notion of “founder equity” for those individuals who put in the hard work to start a firm and build the brand? Big success was Digital Equipment Corporation (DEC), in which ARD invested about $2.1M

Silicon Valley 240

Silicon Valley Carried Interest Cofounder Boston 240

Agile VC

JANUARY 18, 2012

2) The Pyramid Scheme of Startup Equity - Just like multi-level marketing schemes, in startups it pays to get in on the ground floor. But founding entrepreneurs typically own an order of magnitude more equity than early hires (who themselves will have disproportionate ownership relative to later hires).

Entrepreneur 100

Entrepreneur Cofounder Silicon Valley Seed Stage 100

Agile VC

JULY 19, 2012

Though there might have been short term benefits to continuing to manage this fund, the long-run success of CRV would be hurt by doing so ( there’s an HBR case on this ). For example FRC launched a founders equity exchange fund and various programmatic forms of knowledge sharing like list serves, CEO summits, conferences, etc.

Cofounder 193

Cofounder Limited Partner Early Stage LP 193