You should really read some of the replies from the other HN thread I placed in my reply above. It does a good job of removing the halo effect around VCs and th

You should really read some of the replies from the other HN thread I placed in my reply above. It does a good job of removing the halo effect around VCs and their "decision making criteria" >> The top-8 as a group make up 80% of all venture capital returns so maybe that should tell you something about their decision making criteria. Perhaps, this is one possible explanation to that? http://news.ycombinator.com/item?id=5271839 http://news.ycombinator.com/item?id=5271839 The problem is there is so much 'dumb' money out there 'smart' money is just noise. If you have 50 million to invest then investing 200k in 250 company's at random is a perfectly reasonable choice. And 50 million is a tiny slice of a ridiculously big pie, people spend close to that doing due diligence on really big deals.