O'Driscoll: Small High-MOIC Funds Are Best Allocation for Marginal LP Dollars
Rory O'Driscoll · Michael Burry Shorts NVIDIA and Palantir & Has Defensibility Died in a World of AI? · 20VC with Harry Stebbings · Nov 13, 2025 · at 1:15:25
Rory O'Driscoll (Scale Venture Partners) discusses LP strategy when choosing between high-MOIC small funds and large funds.
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“Now, the interesting thing is both of our different outcomes have great outcomes for the GP, and this is where if you only have one dollar to play with, and this is the most important LP fact, if you only have one dollar to play with, then obviously you want to do the one in the small fund that's going to give you the 10 X, because he, you know, if you have to deploy a hundred dollars, then obviously you have to do the big fund, but to some extent, The high MOIC, small fund, accept the follow on dilution, but just make a marvelous return is the compelling product for the marginal dollar.”
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