OpenLP

????? Origins episode is out today featuring FPV Ventures Co-founder and Managing Partner Wesley Chan - a true Silicon Valley Legend. As a builder who started his career at Microsoft and HP, he jumped to Google in 2002, where he worked directly for Sergey Brin as Chief of Staff and founded Google Analytics and Google Voice - all before then founding and leading the seed investing program at GV (Google Ventures) as GP. Under his tenure, GV was the first institutional check into companies like Plaid, Gusto, Lucid Holdings, Inc., and Robinhood. Wesley sits down with Nicholas Chirls, GP at Asylum Ventures, and Elizabeth "Beezer" Clarkson, LP at Sapphire Partners, to discuss his investment philosophy and what motivates him, plus: ??Lessons from Sergey: ”If it doesn’t change the world, you’re wasting your time.” ??Finding founders with a 100-year plan, a la Canva’s Melanie Perkins ??The two things you have to nail: Product and GTM. “Nothing else matters.”? ??FPV’s by-design charitable LP base that aligns with mission-driven founders ??The exit market: The best ones will wait. No one wants to test the market. Tune in to the full episode wherever you get your podcasts, linked in the comments! ?? #OpenLP #Origins #VC #SeriesA

?? My interview with Christopher Dion, CFA, Co-Chief Investment Officer and Managing Partner of Brockenbrough how the world’s most elite endowments and foundations invest. #VentureCapital #VC #Startups #OpenLP Link to Podcast in Comments Below ??

?? ICYMI: Wesley Chan—co-founder of FPV Ventures and a true Silicon Valley legend—joined the Origins podcast with hosts Nicholas Chirls (GP at Asylum Ventures) and Elizabeth "Beezer" Clarkson (LP at Sapphire Partners) to talk about his rise early lessons working for Sergey Brin and how that shaped his worldview in building and investing. Wesley has an incredible track record: he founded Google Analytics and Google Voice, led the seed investing program at GV (Google Ventures), and was the first institutional check into companies like Plaid, Gusto, Lucid Holdings, Inc., and Robinhood. A few highlights: ? “If it’s not going to change the world, it’s a waste of time.” ? Back founders with a vision so enduring, their ideas could shape the daily fabric of life—even a century from now. “In 100 years, will this idea still be indispensable to people’s lives?” ? Be “just dangerous enough” to question orthodoxies and imagine net-new solutions. His take? Too much expertise can sometimes limit creativity. Read the recap for more! And listen to the full episode linked in the comments. #OpenLP #OriginsPodcast #VentureCapital?

"You got to pick well, you got to coach well, and then you got to finance well – and the financing includes the exit." — Jeffrey Rinvelt, Partner at Renaissance Venture Capital, discusses the art of building successful venture portfolios on the latest episode of Superclusters with David Zhou. But what does it take to get it right in every stage—selection, support, and scaling? Jeff shares invaluable insights for GPs, LPs, and startup founders alike, plus: ?? Why Michigan needed a fund of funds ?? How Renaissance evaluates GP performance and portfolio construction ?? The importance of an exit manager in driving returns ?? Jeff’s transition from founder to investor Link to listen in the comments. #VentureCapital #portfolioconstruction #LPInsights

???? ????, ?????? ?????????? ????, "???????? ???????? ???????? ???? ???????? ???????????????? ??????????." Mike Maples, Jr. was the first person I heard this adage from. This is true, and LPs should avoid comparing small funds versus mega-platforms, as their unique business models will translate into drastically different risk/return profiles. Think of the VC landscape as a barbell. On one side, smaller funds have a small share of AUM but are significant by number, and Mega-platforms, on the other hand, are small by number but have a large overall share of AUM. ?????? ?????????? ?????????? (<$??????????), ?????? ?????????????? ???????????????? ?????????? ????: - Generally have only seed/series A exposure - Equal or majority of the fund exposure is in the initial check (50% or higher) - Generally need to be very early and/or non-consensus to outperform (Follow-on rates of seed to A are ~30%, so the ones that make it need to be big). - 25-35 companies, of which <10% will offer potential fund returning status. This leads to higher performance volatility, but an increased top-end return as even 3-5% exit ownership in a single $5B company can return the entire sub-$250MM fund. ?????? ?????????? ??????????????????, ?????? ???????????????? ?????????? ????: - Business plan is now seed to late growth, often across several product lines. - Seed is an optionality strategy, focusing mainly on driving pole position when/if the A is reached (also why many large funds invest in seed funds). - Large generalists can operate a consensus model by focusing on companies/founders with high visibility in becoming/creating category-defining companies and themes/sectors with obvious tailwinds. - While entry valuations are not entirely irrelevant, ownership and the potential quantum of capital that can be deployed in a single company are critical considerations. A $1.25B early-stage VC fund will have to own 12-20%+ at exit, and the top companies in the portfolio often will have $50MM-$100MM+ invested in them over multiple rounds (cost dollar averaging up per round). Very few firms can be competitive here, as brand and reputation are absolute prerequisites to operating. From my perspective, only 10-15 firms exist that can be competitive with this strategy. - Because of this model, top-end returns are somewhat capped and usually returns are within a fairly tight band (Unless the fund has extreme amounts of luck or misfortune), but the trade-off is reduced risk/volatility and often (but not always), a shorter time to liquidity. Both can be part of an LP's portfolio, depending on the risk/return profile and time availability (finding the right small firms and getting into the top large firms is hard).

?? My interview with Ben Challgren of Top Tier Capital Partners where we discuss the current state of the venture market, where secondaries are trading, and Ben’s lessons from Top Tier’s portfolio of 450 funds across 100 managers. We would like to thank Carta for sponsoring this episode! #VentureCapital #VC #Startups #OpenLP Turpentine 10X Capital Link to Podcast in Comments Below ??

David Clark shares a peek into how the relationship between capital calls and distributions from VenCap International plc's portfolio has trended over the past decade. ?? What do we see? The cyclical nature of VC liquidity. While distributions have slowed recently, the seeds planted in downturns can pay off years later, with current distributions outpacing calls. Advice for investors on how to handle these ups and downs from David Clark ?? "Most importantly you should try to keep a consistent investment pace. This is harder than it sounds as it’s really tough to say no to managers with good performance at the top of the market. But if you don’t overcommit at the top of the cycle it allows you to keep investing as the market corrects. Also, you need to create a liquidity buffer in your overall portfolio that means you don’t have to stop investing, or worse still become a forced seller, when liquidity dries up." #VC #OpenLP

"Everybody uses year benchmarking, but that’s not the appropriate way to measure..." — Kelli Fontaine, Partner at Cendana Capital, unpacks the complexities of benchmarking venture funds on the latest episode of Superclusters with David Zhou. ?? "We have one fund manager that takes five years to commit the capital to do initial investments versus a manager that does it all in a year... You’re gonna look very, very different. Ten years from now, 15 years from now, then you can start benchmarking against each other from that vintage." ?? Listen to the full episode for deeper insights into: — How year-based benchmarking can lead to misaligned assessments of fund performance — Correcting common biases that LPs face when evaluating GPs — What makes each GP unique and how to recognize a competitive edge — The role of data and reference checks in identifying the right fund managers to back Catch the full conversation at the link in comments. #OpenLP #LPInsights #VC

?? Unicorns account for two-thirds of VC market value, but nearly 40% of US unicorns are at least 9 yrs old. How is that impacting an industry with a standard fund life of 10 yrs? With delayed exits, VC funds are facing pressures to extend terms, explore secondary sales, or adjust return expectations to meet LP needs. Dive into new data from PitchBook for more insights ?? #VC #OpenLP

We’re proud to see Elizabeth "Beezer" Clarkson, Partner at Sapphire Partners and Co-Founder of OpenLP, featured on the cover of the latest issue of Venture Capital Journal! ? With a career built on breaking barriers and raising the bar for inclusivity, Beezer reminds us that 'venture capital has to work for everybody, or it doesn’t work.’ Read more for insights from Beezer and the inspiring women featured and be sure to check out Beezer’s podcast Origins, which she co-hosts with Asylum Ventures’ Nicholas Chirls to bring more transparency into the LP perspective. (Links in comments) #WomenInVC #OpenLP #VentureCapital