Valuations Reality Check: Comparing Private to Public Performance
Join us for a panel exploring trends in public and private market valuations and how to strategically diversify your portfolio in today’s shifting market conditions.
This event is for you…
- If you seek greater exposure to venture capital and want to put strong-growth unicorns in your portfolio at a discount of up to 50% NAV
- If you are currently overexposed to public equites and are seeking guidance on diversification
One way to gain access to top-performing VC portfolios ad venture-base companies is through the venture fund secondary market – a strategy with reduced risk, faster growth, and faster liquidity compared to traditional venture investments.
Venture Capital Secondary combines the rapid growth of tech companies with faster liquidity. It’s a bit like placing a bet on the winning team at halftime.
PVC offers their investors discounted access to top venture portfolios that already have $1B+ companies on course to IPO within 3 years or less.
Venture capital may seem like a challenging asset class to know where and how to get started. During the current climate, many investors are migrating to venture capital as a way to diversify away from public equities for several reasons:
- Public equities in the US have performed very well over most of the past 40 years, but that favorable backdrop is unlikely to continue.
- Modern Portfolio Theory investors should seek to diversify returns across different asset classes, to reduce the risk of losses.
- Based on an empirical review of recent returns using Pitchbook data, Cambridge Associates data, and from reports by Invesco and AngelList Ventures, the long-term correlation between venture capital returns and the market (NASDAQ and S&P 500) is very weak.
- Venture is a long-term bet on innovation, software, and small cap stocks, whereas large public indexes depend largely on financial services, energy, health care, and retail, as well as technology.
- Investors should look to alpha-producing venture capital to diversify risk across future market cycles.
Event Recording
Valuations Reality Check: Comparing Private to Public Performance
Speakers
Jeremy Johnson
- Title
- Digital Growth Master @
- Company
- FLAIA
- Role
- Moderator
Jeremy has 10+ years of experience as a lead web developer with a demonstrated history of working in the media production industry. As the head of FinTech/Web Development of FLAIA, Jeremy is responsible for hosting digital events, managing the website and onboarding new technological solutions for FLAIA members and community. He has previous experience in state level government legislative policies where he partook on various consulting projects for state elected officials on new/emerging technology.
Since the early 2017, Jeremy has been a strong believer of Blockchain Technology and has been investing in the space ever since. He is a DeFi user and has been supporting the Blockchain community by being a host & moderator for various Blockchain & Cryptocurrency panels and Q&A sessions and spreading its impact to the alternative investment community around the globe.
Dave McClure
- Title
- Founder @
- Company
- Practical Venture Capital
- Role
- Panelist
Dave McClure has been a Silicon Valley entrepreneur and investor for over 25 years. He has invested in hundreds of startups all over the world and has twice been named to Forbes’ Midas List of the top 100 VCs in the world (2016 and 2017).
Prior to founding Practical Venture Capital in 2019, he was the founding GP of 500 Startups, a global VC firm with $1B AUM that has invested in over 2,500 companies and 5,000 founders across 75 countries. Investments include 30+ unicorns and 8 IPOs: Credit Karma (acq INTU $7B), Twilio (IPO 2016), SendGrid (IPO 2017), The RealReal (IPO 2019), Life360 (IPO 2019), Grab, Intercom, Ipsy, Canva, Udemy, Lucid, Flywire, FabFitFun, Talkdesk, GitLab, Algolia, PlanGrid (acq ADSK $875M), Vungle (acq Blackstone $750M). Dave created 20 VC funds under the 500 brand and invested in 20 other VC funds around the world.
Dave began his venture career as a fund manager at Founders Fund where he made seed-stage investments in 40 companies, resulting in 4 unicorns / 3 IPOs (TWLO, SEND, LYFT, Credit Karma) and 2 other 9-figure exits (Wildfire, Life360). Notably, he led the Credit Karma seed round in 2009 (acq INTU, >400X return). His $3M portfolio returned >$200M (~70X) in under 10 years.
Earlier in his career, Dave joined PayPal in 2001 as Director of Marketing. He was the founder/CEO of Aslan Computing, which was acquired by Servinet in 1998. He has a BS in Engineering and Applied Mathematics from the Johns Hopkins University.
Aman Verjee
- Title
- Founder / General Partner @
- Company
- Practical Venture Capital
- Role
- Panelist
Aman Verjee has more than 15 years of financial and operational experience from both private and public technology companies. He has been a member of the management teams at some of the most successful and beloved companies in the world, including PayPal, eBay and Sonos.
Prior to becoming a general partner at Practical Venture Capital, Aman was the Chief Operating Officer of 500 Startups, which during his tenure was the world’s most active venture capital firm, measured by the number of investments made. In that role, Aman managed the global fundraising team, the seed accelerator team, and the Series A growth programs. He also managed the Investment Committee for the firm’s global funds, which collectively had over $450 million in AUM.
Prior to Sonos, Aman spent eight years at eBay, Inc., mostly at PayPal, which was acquired by eBay in 2002. Aman was the Chief Financial Officer of eBay’s North America business, which generated over $2 billion in revenues and nearly $1 billion in operating profit. Aman also led finance and strategy for PayPal.
Aman has additional experience as Financial Analyst at Lehman Brothers and Associate at McKinsey. He graduated with a degree in economics from Stanford University and has a law degree from Harvard University.
Eric M. Jackson
- Title
- CEO of CapLinked @
- Company
- CapLinked
- Role
- Panelist
Eric M. Jackson is a technology executive and award-winning author who played a critical role in building PayPal and subsequently created multiple successful technology businesses.
Currently, Jackson is the CEO of CapLinked, whose virtual-data-room software was called the “go-to place for setting up and closing deals” by the Wall Street Journal. CapLinked’s clients include Roche, EY, Hess, FTI Consulting, Takeda, Piper Sandler, and Raymond James.
Jackson is also the CEO of TransitNet, an early-stage company that builds software to assist with title verification for cryptocurrencies.
Early in his career, Jackson was recruited by Peter Thiel to join the startup team at PayPal, where he oversaw its product marketing efforts. With the young company burning millions each month, Jackson was placed in charge of implementing PayPal’s transaction-based revenue model, which turned around its fortunes. During Jackson’s time at PayPal, the company grew from 2,500 users to 25 million, went public, and was acquired by eBay.
Additionally, Jackson founded a venture called World Ahead Media that he grew to profitability and sold, and has served on the boards of several organizations, including CritiqueIt, a software company later acquired by 2U, Inc. (NASDAQ: TWOU).
About
FLAIA
FLAIA is an open access platform of alternative investments for institutions, wealth advisors, family offices, RIAs, and accredited investors. General Partners gain access to a vertically integrated digital & traditional fintech marketplace. Investors gain access to special opportunities, educational webcasts and digital events. All of our digital events, educational content and alternative investment opportunities are available in one place under a single sign on.
Practical Venture Capital
Practical Venture Capital (PVC) is a Silicon Valley VC firm that buys secondary interests in mature, top-performing early-stage VC funds and companies. The co-founders and managing partners are Dave McClure and Aman Verjee, experienced investors and internet startup veterans who have worked at PayPal, eBay, Sonos, Founders Fund and 500 Startups. They have been early investors in 30+ unicorns and 8 IPOs that have generated 50-100x+ returns including Credit Karma, Twilio, SendGrid, Lyft, TalkDesk, Canva, among others.
CapLinked
CapLinked’s fintech platform is used to securely share information between firms and manage multi-party interactions during complex transactions and projects.
Dubbed the “go-to place for setting up and closing deals” by the Wall Street Journal, the CapLinked platform includes three distinct product lines that serve the needs of its diverse client base:
1) an enterprise application for larger firms with complex needs and large quantities of data;
2) self-serve accounts for smaller clients who need to safeguard limited amounts of information; and
3) an application programming interface (API) for clients who need to embed robust information security capabilities in their own applications.
Thousands of companies in over 113 countries worldwide rely on CapLinked’s enterprise, self-serve, and API product lines. Eric M. Jackson (PayPal’s first head of US marketing) and Christopher Grey (former private equity and investment banking executive) founded the company in 2010. CapLinked is a trademark of CapLinked, Inc. Visit https://www.caplinked.com to learn more.