Grays Sports Almanac for Venture Capital proposes a new risk management strategy for venture capital. In this investment hypothesis, I outline why a venture fund might beat the odds by purchasing 2,208 to 4,416 warrants on startups. Startups would operate under a governance framework called the Founder Friendly Standard, which gives entrepreneurs control of their companies. In exchange, the venture fund would have the option to exercise warrants for 15 years—purchasing discounted equity only in the startups that become successful.
Beat the odds with a new asset class of warrants on the Founder Friendly Standard.
Credit Suisse discovered that companies where founders have a large ownership interest—like Nike, Alibaba, Berkshire Hathaway, and Google—outperform their peers by 400 basis points per year. Credit Suisse calls these companies the CS Family 1000. They are an “asset class with a compelling investment case” (Klerk et al., 2017).
The Prospect Theory eMindset is a one page summary of Prospect Theory–chunked into simple facts, questions, and visualizations.Information is presented in parallel. Readers can jump around in whatever way “fits” their brain best. Many discover this is a faster way to learn than reading sentence by sentence.
Fishing for “A” Candidates in a Digital Pond was a small publication I wrote in November of 2008. It was supposed to be “a guide to recruiting top talent to your firm by having intriguing conversations over social networks and RSS.”
While some of the ideas are obsolete now, here are some interesting concepts that could tweaked to fit today’s digital landscape. Especially page 12.