-Is it just speculating on the bubble or is there more to it than that?
Pierre Hennes of Upstream Ventures expressed that even though some people who speculate on bubble
Investment cycle is much longer and not correlated to the market
Investors need to have the capability to oulive up and down cycles
Top tier investors take a long term perspective
In a downturn, it puts pressure to raise funds,
benchmarks affect valuation, resulting in falling valuations
Good coy increase mkt share and become more mature
It is important to be aware of noise - In the beginning, all risks are high,
Building coy is heavily dependent on team to building revenue, mkts and products
Good team reduce management risk,
Mkt risk - market may not pick up product
Financial risk- not well funded
Get POC(proof of concept), product risk is minimised
Job of a VC is to reduce risk over time, Keeping in mind capital risk
