Investing in VC Is Risky

The distribution of success among large public stocks over time is not much different than it is in venture capital. A few do well, and a handful become extraordinary winners that account for the majority of the stock market's returns. This thumping of most public companies spares no industry. More than half of all public technology and telecom companies lose most of their value and never recover. Even among public utilities, the failure rate is more than one in 10.