The Side Effects of Venture Capitalism on Investing

Unprofitable companies are eroding the way that we invest. An unprofitable company is not a great sign for potential investors, but it's not necessarily a deal-breaker if there is a plan for profitability. There is a very compelling argument that we are seeing a second tech bubble fueled by companies that don't even need to show the potential for profits in order to get cash thrown at them. The side effects of wild speculation can be really destabilizing.