Assertion Supported AI assessment confidence: 92% certainty 4/5 debate potential 4/5

Pompliano: Historical data shows check size and follow-on decisions don't drive returns

Anthony Pompliano · 20VC: Why Cheque Size & Follow On Decision-Making Does Not Matter, Why Intelligence Is Overrated & Why You Should Do Everything You Can To Make Other People Successful with Anthony Pompliano, Founding Partner @ Full Tilt Capital · Jun 7, 2017 · at 9:12

Anthony Pompliano, General Partner at Full Tilt Capital, responds to criticism that making 39 investments in nine months constitutes a 'spray and pray' strategy.

0:00 / 0:11exact quote · 11.6s
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“The only thing that correlates to outsized returns across different economic boom and bust cycles is being early in the best deals, right? So check size doesn't matter. Follow-on decision-making doesn't matter.”

quote is from the automated transcript, cleaned for reading: filler sounds and stutters are removed, nothing is rephrased. names can be misheard (the analysis reads context, assessments check outside sources). how →

More from Anthony Pompliano

Insight
Pompliano: Demographic diversity is the best early-stage portfolio construction strategy
“If you can get the diversification of founders, you also get the diversification of thought, perspective, industries, experiences, et cetera. And we think that's the best way to or the best way for us to build an early stage portfolio today.”
Anthony Pompliano Jun 7, 2017 ▶ 4:45 20VC: Why Cheque Size & Follow On Decision-Making Does Not Matter, Why Intelligence Is Overrated & Why You Should Do Everything You Can To Make Other People Successful with Anthony Pompliano, Founding Partner @ Full Tilt Capital
Insight
Pompliano: VCs who promise post-investment help are the least likely to deliver
“My alarm to every founder is the more a venture capitalist says, I'm going to be helpful after we invest, there's usually less likelihood that they will be helpful, right?”
Anthony Pompliano Jun 7, 2017 ▶ 21:48 20VC: Why Cheque Size & Follow On Decision-Making Does Not Matter, Why Intelligence Is Overrated & Why You Should Do Everything You Can To Make Other People Successful with Anthony Pompliano, Founding Partner @ Full Tilt Capital
Disclosure
Pompliano: Early data shows Full Tilt Capital has eliminated the VC J-curve
“Our data shows that we've eliminated the J curve. So we've already had a company that was acquired that isn't public yet, and we've had no companies go out of business.”
Anthony Pompliano Jun 7, 2017 ▶ 10:27 20VC: Why Cheque Size & Follow On Decision-Making Does Not Matter, Why Intelligence Is Overrated & Why You Should Do Everything You Can To Make Other People Successful with Anthony Pompliano, Founding Partner @ Full Tilt Capital
Assertion Contradicted
Pompliano: Academic studies show VCs cannot accurately stack-rank their own portfolios
“There have been, you know, a ton of academic studies that have shown if you take an investor's portfolio and you sit them down and you say, can you please stack rank your portfolio in terms of who should have the best outcome and who should have the worst outc…”
Anthony Pompliano Jun 7, 2017 ▶ 15:26 20VC: Why Cheque Size & Follow On Decision-Making Does Not Matter, Why Intelligence Is Overrated & Why You Should Do Everything You Can To Make Other People Successful with Anthony Pompliano, Founding Partner @ Full Tilt Capital
Assertion Not checkable as stated
Pompliano: 'Founder-friendly' VCs still weigh ideas 50-50 against founders
“Most of the investors who talk about being founder-friendly, they're talking about the investment terms, the way they interact with founders et cetera, but they're still making decisions based on closer to a fifty-fifty on the company idea and the founders.”
Anthony Pompliano Jun 7, 2017 ▶ 3:23 20VC: Why Cheque Size & Follow On Decision-Making Does Not Matter, Why Intelligence Is Overrated & Why You Should Do Everything You Can To Make Other People Successful with Anthony Pompliano, Founding Partner @ Full Tilt Capital
Disclosure
Pompliano: Full Tilt Capital weights decisions 90% on founders, 10% on ideas
“From our perspective, we really focus more on ninety-ten, so 90% on the founders, 10% on the idea and market.”
Anthony Pompliano Jun 7, 2017 ▶ 3:36 20VC: Why Cheque Size & Follow On Decision-Making Does Not Matter, Why Intelligence Is Overrated & Why You Should Do Everything You Can To Make Other People Successful with Anthony Pompliano, Founding Partner @ Full Tilt Capital
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