3 ms·
True that the general public would be clueless. But on the other hand, in Silicon Valley there is a market of educated, startup-aware entrepreneurs, who'd love
by alain94040 16y ago
True that the general public would be clueless. But on the other hand, in Silicon Valley there is a market of educated, startup-aware entrepreneurs, who'd love nothing more than play the startup stock market.
- jasonlbaptiste 16y agoVERY very good point. Do you keep it invite only then? I'd certainly buy in. Then again, why not just make it an invite only fund where the buy in is a monthly commitment of $500-$1000. 100 entrepreneurs at 1k a month, is 1.2 million. Invest that at 25k across 40 deals (leaving 200k left over as a reserve for legal,etc. though it may not be that high using standard docs).
- alain94040 16y agoIf it's just one fund, there's one guy who decides what to buy. It's not a market. If you have $50K, you can contact any number of real VCs and give them your cash. You thus become a member of the prestigious LP club and are allowed to complain about the dismal returns. I think the fun part is being able to individually look at the startups listed and buy whenever you see something you like. It makes you feel good (you are helping a good idea take off), and you may make a lot of money from it (or lose it all). I was at TechCrunch50 last year and discussed this idea with some people, and I got pushback from pros. Their argument: if you are a good startup, you can raise money the "normal way". So such a market would only attract losers... Not good of a reputation to have for a stock market.