Pompliano predicts Series A and later venture returns will compress to 15%
Anthony Pompliano · Anthony Pompliano – Building Influence and Capital to Live an Extraordinary Life (EP.430) · Feb 3, 2025 · at 26:22
Investor Anthony Pompliano discusses why he believes excess capital supply in growth and late-stage venture capital will lower LP outperformance over public markets.
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“Now, what we've seen over the last decade or so is so much capital coming to the market. Maybe there's been an incremental increase in the number of good companies created every year, but it's not kept pace with the amount of capital. And so my thought process is those returns will get compressed down. We'll go from 17, maybe we go down to 15, which doesn't sound like a big change, but now what you're going to ask LPs in that Series A or later is, Hey, stay illiquid for 12 years for 200 basis points of outperformance.”
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