4 ms·
All this VC money comes from pension funds, university endowments, and other large institutional investors that are looking for a return on investment that is h
by adamjernst 14y ago
All this VC money comes from pension funds, university endowments, and other large institutional investors that are looking for a return on investment that is higher than regular public equities.
When the crash comes, pensions and endowments will stop seeing tech venture funds as a safe investment so they'll shift their money elsewhere, leaving VC firms without money to invest.
- ajross 14y agoExactly, so it really doesn't "pop" then, except in the sense of drying up access to cash in our own little community. That doesn't sound so bad. Remember YC was founded in an environment of limited venture funds and those early startups seem to have done quite well on the whole.