[fsk]

His point is that Sarbanes-Oxley killed the possibility for small-medium companies to go public (~1B market cap). With less than $1B market cap, the overhead costs of Sarbanes-Oxley compliance are a huge % of revenue.

The only way the shareholders can cash out is via a sale to a larger (idiot?) buyer (Facebook/Google/Microsoft/Yahoo).

Even worse, a lot of these companies don't really have a clear path to revenue or profitability (like Tinder).

[DownvoteMeToWin]

Then you look at the cash reserves of the titans (Apple comes to mind) and you see it's not in circulation, which proves there are large sums of liquidity on the sidelines not investing.

[daemin]

Granted a lot of the money that these Titans have is actually spread all over the world and not in the USA (or Australia).