[pg]

I know you meant this to be a nasty remark, but do you realize you're actually saying something very nice about VCs? You're saying that they're driven by loyalty to their friends rather than by profit.

That isn't really true. The main reason most VCs are friends with people is because they think they can make money out of them in the future. But it shows how far into falsehood you've leaned in your attempt to be nasty when you end up unintentionally implying something so nice it isn't true.

[freshhawk]

I think you're missing his point here.

That VC money is investor money. These aren't angels being nice with their own money, these are VC's playing fast and loose with their investors money and it's not ethical behaviour.

[jarek]

I'm not seeing where GP indicates they don't realize that VCs' loyalty to their buddies can easily bring them in profit in the long term.

[pg]

Loyalty to their buddies only brings the VCs profit in the long term if their buddies are good, which is exactly the point of webwright's that underwater is trying to contradict.

[jarek]

That boils down to the efficient markets claim. Unfortunately we've seen a lot of counterexamples for that. As just one popular example, Wall Street - the people that, among others, underwrite tech IPOs that go on to pop 50% and 100% - is profitable in the long term for people in the front office, and buddy-based for people in the front office. Would you say most people's buddies there are "good"?