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More like European VCs are very risk averse when compared with their US counterparts. Raising money in Europe seems mostly either about knowing "old money" or h
by hnhg 4y ago
More like European VCs are very risk averse when compared with their US counterparts. Raising money in Europe seems mostly either about knowing "old money" or having connections state-side and skipping the local scene, sadly.
- jacobr1 4y agoHow much of this has to do with LPs? From my cursory knowledge of EU VCs, they seem to managing much of their own capital, rather rather than investing on behalf of a large, driverse group of institutions and high-net-worth people. With the US based VCs (which probably have global LPs), they are looking for not just good returns, but also investments which maximize the efficient frontier of their portfolio. They explicitly are looking for non-correlated positive returns. Without LPs with that kind of mindset, I got to imagine the VCs would be much more risk-adverse.