>criticism of this analysis is his wild overstatement of the benchmark return. Where in the world do you get 8% safely in equities and/or real estate? I agree.

>criticism of this analysis is his wild overstatement of the benchmark return. Where in the world do you get 8% safely in equities and/or real estate? I agree. It's true that most VC funds have poor returns but so do most hedge funds and most mutual funds. I don't know the success statistics offhand for private equity (Carlisle Group, Blackstone, etc) How do VC funds compare to all other types of actively managed funds? Even Warren Buffet's Berkshire Hathaway "only" had returns of ~9.6% (not 12%) annualized return from 2005 to 2015[1] which stated that $1000 invested 10 years ago grew to $2496 (~2.5x). [1]http://www.businessinsider.com/warren-buffett-berkshire-hathaway-historical-returns-2015-3 http://www.businessinsider.com/warren-buffett-berkshire-hath...