Subject: When discussing any companys 14 views

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The will put your investors money into a company that is completely worthless and will make you look very bad. Tiger is more afraid of losses on a single investment than of not being in all the brilliant rounds he wants to be in. Undoubtedly a year track record of delivering returns helps a lot as does the fact that a significant part of the capital in Tiger funds belongs to the funds employees. Tigers fund structure is different than that of the average VC. Tiger usually does not take seats on supervisory boards which means that partners do not engage very closely with the company after making the investment.

In addition Tiger has delegat all substantive support to consulting companies which frees partners even more and allows them to focus on making rounds. As a result Tiger is able to allocate more capital in more rounds with fewer partners responsible for investment decisions than Phone Number List the average venture capital fund. And since this type of investment is assess using the socall internal rate of return funds that are able to allocate capital faster deliver better returns than those that allocate it slower. If that wasnt enough venture capitalists will have trouble with hedge funds for one prosaic reason. Its an open secret that many venture fund partners dont work hard.



Of course Im generalizing a lot there are many who contradict this stereotype especially in the early stages. At the same time people in hedge funds are us to working or hours a day or days a week. This is not the pace you see in venture funds. Therefore even if traditional VCs manag to achieve value proposition parity Tiger and similar funds would probably be faster anyway because people there work harder and are more aggressive . As one of my favorite sayings goes no matter what you do theres a sevenyearold in China warming up doing your personal.