The Exchanges

Every argument clarity score on this site is built from rows on this page. Each question and answer was assessed with names hidden, the host's own answers included, on four things from 1 to 5: directness (does it answer the question asked), coherence (do the ideas follow), precision (concrete details and clear references), compression (says a lot per word). The weighted mix (30/30/25/15) is the exchange score. A person's published score averages their exchange scores on raw tape only, at least 8 of them, shrunk toward the cohort mean. Full method →

Deven Parekh no published score: only 6 usable exchanges on raw tape, and a fair score needs 8+ · coarse estimate ≈4.5/5 from 32 raw and produced exchanges record → ← everyone

Every exchange below was scored with names hidden, four dimensions each from 1 to 5. An exchange's score is 0.30·directness + 0.30·coherence + 0.25·precision + 0.15·compression. The published score averages the raw tape exchange scores and shrinks small samples toward the cohort mean, so five great answers can't beat twenty good ones. Produced feed rows count only toward coarse estimates, never toward a full score.

clear all ✕
32exchanges match
6on raw tape
1redirected or not addressed
Answered produced feed D 4 · C 4 · P 4 · Cm 3 3.85

Q that kind of compression in terms of time frame and applied across the portfolio, I was always taught, and I'm a student of venture, temporal diversification is important and the benefits of it. It seems like that's kind of been thrown out the window. How do you think about temporal diversification, the benefits of it, and whether it's still such an important factor to stay than it was years ago?

A Look, I mean, I think it's hard to argue. I remember when I was at Blackstone, I was an analyst. We had done an analysis of What were the biggest drivers of our returns? It wasn't done by me. was just done as a firm-wide exercise and I was just part of it. But it was just interesting to see that one of most important drivers was the year you did the deal. Because cycle time mattered, right If you bought at a time when prices were low, and you sold at a time when prices were higher. So there's no doubt timing matters. That being said, it's interesting, right? If you go back to, you talked about, you talked talked about, you you talked about you talked talked talked you talked about, you talked about talked The reality is people slowed down. The companies slowed down raising capital because they saw the valuations contract, and it wasn't like there were so many deals to go do. And so while, of course, you'd like to do temporal diversification, and of course, ideally, your temporal diversification would be such that when prices are low, you're deploying the most amount of capital, but those aren't the times when companies go raise capital or not significant amounts of capital. And so I think what you are seeing generally, I mean, we probably deploy funds in about two and a half years. Five or seven years ago, we were perceived as being extremely fast because we deployed in two and…

AI assessment note: “And so while, of course, you'd like to do temporal diversification”

Redirected raw tape D 2 · C 4 · P 3 · Cm 2 2.85

Q Yeah, that's, that's it. So it's going to be, what is that? That's 51?

A Yeah, but like, see, like, the underlying, like, the question to me is what should be the underlying return in growth, right? Like, that's really the question. The company's public, in theory, their growth rate, unless the market really inefficiently priced them, should kind of compound it, kind of where the market, where the market compounds. And I don't have differentiated knowledge to say it should compound less or more, because I haven't studied it, just to be Just to be honest, but I'm probably not going into any company assuming that I have a 50% IRR. Like, I'm just not gonna, like, I would have to really know something specific that would make me feel like there's a something I know the market doesn't know that would make me have conviction that something was gonna have a 50% IRR. I don't know anything. That doesn't mean it won't, but since I don't know anything, I'm going to assume that it won't have a 50% return because I'm not going to assume the public market is going to have a 50% return.

AI assessment note: “the question to me is what should be the underlying return in growth”

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