Fund of funds: origins, evolution and deep dive with Michael Kim | E1890
This Week in Startups
Intro
This chapter explores the notable changes in the startup ecosystem, focusing on the decline of 'tourist founders' and 'tourist fund managers' since 2021. It also introduces the role of limited partners in venture capital and sets the foundation for a deeper conversation about fund of funds.
This Week in Startups is brought to you by…
LinkedIn Marketing. To redeem a $100 LinkedIn ad credit and launch your first campaign, go to http://www.linkedin.com/thisweekinstartups
Squarespace. Turn your idea into a new website! Go to http://www.Squarespace.com/TWIST
for a free trial. When you’re ready to launch, use offer code TWIST to save 10% off your first purchase of a website or domain.
Lemon.io - Hire pre-vetted remote developers, and get 15% off your first 4 weeks of developer time at https://www.Lemon.io/twist
*
Today’s show:
Cendana’s Michael Kim joins Jason for a deep dive on fund of funds (3:32), how to examine alpha, beta, and quality indices in early-stage investing (28:38), current market trends, future startup outlook (45:11), and more!
*
Timestamps:
(0:00) Michael Kim joins Jason.
(3:32) Overview of Fund of Funds, their Strengths and “Achilles heel”.
(7:01) Attraction factors for investors in pre-seed and seed startups.
(10:42) LinkedIn Marketing - Get a $100 LinkedIn ad credit at http://www.linkedin.com/thisweekinstartups
(12:04) The rise and definition of “micro VCs” with insights by Michael Kim.
(15:16) How the early seed stage carved a niche and its growing appeal to LPs.
(22:07) Squarespace - Use offer code TWIST to save 10% off your first purchase of a website or domain at http://www.Squarespace.com/TWIST
(23:12) Fund enablers and the importance of “consistent returns”.
(28:38) Examining alpha, beta, and quality indices in early-stage investing.
(34:21) Lemon.io - Get 15% off your first 4 weeks of developer time at https://www.Lemon.io/twist
(35:29) The significance of portfolio management as networks and building a ‘why' for founders to pick you as an investor.
(41:25) The value and longevity of investor networks.
(45:11) Current market trends, future startup outlook.
(48:08) Things have shifted and Michael explains why seed is the new series-A and pre-seed is the new seed.
(52:10) Demographics of founders seeking investment.
*
LINKS
Check out Cendana Capital: https://www.cendanacapital.com/
Watch other episodes with Micheal Kim:
- E1075: https://www.youtube.com/watch?v=SSOhe-FnTJE
- E1879: https://youtu.be/1Dcu5BfnE_c?feature=shared
Check out the Liquidity Podcast: LiquidityPod.com
*
Follow Michael:
X: https://twitter.com/MKRocks
LinkedIn: https://www.linkedin.com/in/michael-kim-cendana-capital/
*
Follow Jason:
X: https://twitter.com/jason
Instagram: https://www.instagram.com/jason
LinkedIn: https://www.linkedin.com/in/jasoncalacanis
*
Thank you to our partners:
(10:42) LinkedIn Marketing - Get a $100 LinkedIn ad credit at http://www.linkedin.com/thisweekinstartups
(22:07) Squarespace - Use offer code TWIST to save 10% off your first purchase of a website or domain at http://www.Squarespace.com/TWIST
(34:21) Lemon.io - Get 15% off your first 4 weeks of developer time at https://www.Lemon.io/twist
*
Check out the Launch Accelerator: https://launchaccelerator.co
*
Check out Founder University: https://www.founder.university
*
Subscribe to This Week in Startups on Apple: https://rb.gy/v19fcp
*
Great 2023 interviews: Steve Huffman, Brian Chesky, Aaron Levie, Sophia Amoruso, Reid Hoffman, Frank Slootman, Billy McFarland
*
Check out Jason’s suite of newsletters: https://substack.com/@calacanis
*
Follow TWiST:
Substack: https://twistartups.substack.com
Twitter: https://twitter.com/TWiStartups
YouTube: https://www.youtube.com/thisweekin
Instagram: https://www.instagram.com/thisweekinstartups
TikTok: https://www.tiktok.com/@thisweekinstartups
*
Subscribe to the Founder University Podcast: https://www.founder.university/podcast
Remember Everything You Learn from Podcasts
