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"The West Coast is definitely eating the East Coast." Jeremy Giffon on where the next great financial firms will come from: "Venture capital has created the biggest businesses in the world, and private equity has not. The largest and most important finance firms come out of a culture of leveraged buyout. The core idea behind it is like using debt and financial engineering to make a lot of money. What does it look like when the largest financial firms in the world, their founding action was seed investing? It's equity driven, it's power law. It's hugely optimistic. Venture capital is this tiny little asset class that has produced all the most important things in the world. It is this civilizational technology which is you're willing to give young people millions of dollars to try a very speculative idea with basically no retribution or downside if it doesn't work.

patrick_oshag ↗