E12: Jamie Rhode on Why 95% of LPs Can Only Achieve a 10% IRR when the Mean Return is 50% IRR

Jamie Rhode, Principal at Verdis Investment Management, sits down with David Weisburd to discuss data-driven investing, compounding returns, Jamie's investing philosophy, and more.

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(0:00) Introduction to Jamie Rhode and data-driven investment (2:20) Leveraging long-term investment horizons and adverse selection (4:29) Building a venture capital portfolio with first principles (6:30) Understanding and applying the power law in venture capital (10:54) Strategies for avoiding adverse selection and evaluating investment results (15:32) Sponsor: AngelList (16:36) Reconciling different investment philosophies and criteria for evaluating GPs (22:46) Best practices for GPs and data sources for LPs decision-making (26:19) Diversified early stage venture exposure and the importance of compounding returns (30:48) Collaborating with favorite LPs and navigating groupthink (34:07) Exploring current opportunities in life sciences investment (38:01) Venture capital transparency and the OpenLP movement (40:17) Identifying leading indicators of successful venture investors (41:56) GP best practices for staying innovative (46:17) Advocating for changes in the venture and LP ecosystem (47:35) Discussing AngelList's role in legal process simplification (48:41) The collaborative nature of the investment industry and networking