[paulsutter]

This is a joke. Generally 1 or 2 investments (out of 30-40) make the fund. I'm in a fund where one company (SpaceX) outperformed a combination of several other superstar companies (Facebook, Palantir, Airbnb, Spotify), not to mention the other 40 companies that returned little

This is how venture work, returns are long-tailed

> despite the fact VCs outperform the market on average, the returns are driven by the top half of the predicted quality distribution. By dropping the bottom half of investments and instead investing in the market, returns would have increased by 7 to 41 percentage points

[Temporary_31337]

SpaceX has not outperformed anything for the later round investors yet. It may have a high hypothetical valuation in an illiquid market but it doesn’t mean you can sell your shares.

[paulsutter]

Got in before the fourth launch of Falcon 1