A venture capital fund looks for startups with specific characteristics such as builder founders, product velocity, a growth rate above 2x, world-class design, and high gross margin markets. The fund receives around 20,000 applications and meets with 3,000 companies a year. Researchers and analysts are hired to conduct 500 meetings per year and provide coverage of every startup. The fund writes small checks of $25,000 for founder university companies and $100,000 for launch accelerator companies. The investment team has two meetings a year to decide on investments. The fund invests in the top 10% of its portfolio and aims to own 10-15% of the best companies. The fund focuses on high-performing companies with a growth rate of 3x and above. Portfolio management involves putting a third to half of the fund into the highest performers.

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