The central point of the post below is that risk is the product of venture capital, and some managers understand that better than others. Many of the replies talk about the futility of 'financial engineering', and how concepts like portfolio construction are less relevant to early stage VC due to the greater... See more

There are two types of VC: 1) busy complaining / thinks VC is about access 2) busy investing / knows VC is about outliers The phenomenon experienced by the first group is called "money chasing deals", and has been the subject of study going back to the 90s.... See more