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Motley Fool Money

Finding “Home Run” Investments

May 26, 2024
Ilya Strebulaev and Alex Dang discuss the venture mindset, the benefits of building an 'anti-portfolio', getting outside your comfort zone, lessons from a piggy bank auction, and the importance of strong teams in investments. They also explore innovative strategies in corporate survival and diverse industries disrupting traditional sectors.
37:16

Episode guests

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Quick takeaways

  • Venture capitalists prioritize A-list teams over ideas for successful investments.
  • Established companies innovate by sourcing ideas externally to remain competitive in evolving industries.

Deep dives

Winners Curse in Investing

In venture capital and stock market investing, the threat of the winner's curse looms large. Investors often overestimate the fruits of victory, leading to disappointment. Venture capitalists aim for home runs with 100X returns, with most investments resulting in failure. The focus is on increasing the odds of hitting home runs to offset losses.

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