4 ms·
Yea, it’s hard for me to not think of SBF every time I hear Sequoia’s name
by derwiki 4y ago
Yea, it’s hard for me to not think of SBF every time I hear Sequoia’s name
- ignoramous 4y agoIf it helps, Sequoia also bet on WhatsApp, Google, and a whole host of other iconic tech companies (as well as duds). I guess, with FTX, they made the mistake of drumming up the founder too soon (btw, doing so isn't specific to Sequoia; almost all other VC firms do this. It is priming up the market, as it were). As VCs gain more traction and became more accessible (on social media, esp), it only serves to their detriment when they make a mistake, even if it is a honest one. I don't think VCs care that much, tbh, given the power imbalance that having that much money brings.
- xenospn 4y agoEasy to have a few home runs when you have unlimited innings for 20 years.
- FreakLegion 4y agoI don't think any Sequoia fund has returned less than 8x in the last 20 years. That's better than the total US market or the S&P 500 from the low of the Great Recession to the inflation-fueled peak of the pandemic (7.1x and 6.3x respectively), which is a cherry-picked, unprecedented 13-year stretch compared to the worst-performing fund's 10 years. FTX-sized failures are expected and part of their operating model.