Obligatory: http://www.kauffman.org/what-we-do/research/2012/05/we-have-met-the-enemy-and-he-is-us http://www.kauffman.org/what-we-do/research/2012/05/we-have-.

Obligatory: http://www.kauffman.org/what-we-do/research/2012/05/we-have-met-the-enemy-and-he-is-us http://www.kauffman.org/what-we-do/research/2012/05/we-have-... Summary: The Kauffman Foundation investment team analyzed our twenty-year history of venture investing experience in nearly 100 VC funds with some of the most notable and exclusive partnership “brands” and concluded that the Limited Partner (LP) investment model is broken ... Our research suggests that investors like us succumb time and again to narrative fallacies, a well-studied behavioral finance bias. We found in our own portfolio that: - Only twenty of 100 venture funds generated returns that beat a public-market equivalent by more than 3 percent annually, and half of those began investing prior to 1995. - The majority of funds—sixty-two out of 100—failed to exceed returns available from the public markets, after fees and carry were paid.