4 ms·
What events correspond to the recent peaks in the chart? It looks like the VC world was spooked around the start of December and nothing has changed its mind e
by oddity 7y ago
What events correspond to the recent peaks in the chart? It looks like the VC world was spooked around the start of December and nothing has changed its mind ever since.
Given these are startups, I would expect much of the information to be private, but it seems highly unlikely this is a complete black box.
Edit: The comments below raise good possibilities. My own (very naïve) research yielded that there was a sharp dip in the the overnight repurchase agreements at the start of December and a small rise a month later. I don't think this is the cause, and I'm probably biased by media narrative more than anything, but it might lead somewhere assuming there's a connection by way of the amount of easy money floating around. The EFF rate also dropped around 24th of July and hasn't gone back up [2].
[1] https://fred.stlouisfed.org/series/RPONTSYD https://fred.stlouisfed.org/series/RPONTSYD
[2] https://fred.stlouisfed.org/series/DFF https://fred.stlouisfed.org/series/DFF
- zelly 7y ago- Coronavirus - Bernie Sanders rising in polls - Unicorn/IPO disappointment; WeWork, Uber, Slack - whales like MS, Google, Apple, Tesla outperforming startups by a ridiculous margin What little innovation happening is all coming from the big established corporations. We hit peak VC euphoria. You had kids with PhDs in EE/CS vying to become personal assistants for VCs. More people wanted to become VCs than start businesses and build things. Now it's time to clean house.
- ct520 7y agoThe market started to rip in November. Easier returns elsewhere?
- paxys 7y agoThe chart corresponds pretty well with all the high profile exits over the last year (most of them now trading lower than what the last few rounds valued them at).
- abbadadda 7y agoAlso WeWork's very public IPO failure and SoftBank woes in general.
- birdyrooster 7y agoChina Trade War: https://www.seattlebusinessmag.com/finance/how-trumps-trade-war-china-will-affect-us-investment-markets https://www.seattlebusinessmag.com/finance/how-trumps-trade-... Vision Fund Round 1 End: https://news.crunchbase.com/news/the-vision-fund-era-is-nearly-over/ https://news.crunchbase.com/news/the-vision-fund-era-is-near...
- H8crilA 7y agoDeals stopped flowing. As simple as that. > Human beings: > 1. overestimate causality, e.g., they see elephants in the clouds instead of understanding that they are in fact randomly shaped clouds that appear to our eyes as elephants (or something else); > 2.tend to view the world as more explainable than it really is. So they look for explanations even when there are none. https://en.wikipedia.org/wiki/Fooled_by_Randomness https://en.wikipedia.org/wiki/Fooled_by_Randomness
- T-A 7y agohttps://twitter.com/joelwebershow/status/1207280137080848384 https://twitter.com/joelwebershow/status/1207280137080848384