All-In with Chamath, Jason, Sacks & Friedberg E81: All-In Summit: Bill Gurley & Brad Gerstner on markets, downturns & investment cycles
54 snips
May 23, 2022 
Bill Gurley, a seasoned venture capitalist from Benchmark, and Brad Gerstner, an experienced investor, dive into the tumultuous market downturn of 2022. They discuss how VCs are adapting to new realities in capital commitments and the strategic shifts needed in investment practices. Gurley shares his thoughts on popular media portrayals of entrepreneurs, while Gerstner offers predictions for the market's future. They emphasize the importance of reevaluating investment strategies amidst inflation and changing consumer behaviors.
AI Snips
Chapters
Transcript
Episode notes
Venture Capital Cycles
- Venture capital is a cyclical industry prone to booms and busts.
- This is due to its structure: low barriers to entry, high barriers to exit, and long fund lifecycles.
Risk On/Off Dynamics
- Risk-on periods in venture capital are slow and reflexive, while risk-off periods are abrupt.
- This requires quick mental adjustments, as valuations and capital costs change rapidly.
Downturn Opportunities
- Early-stage investors and founders can benefit from market downturns.
- Access to talent improves, and people become more pragmatic.