What percentage of VC funds beat the market?

#Investment strategies 09/05/2021

There is a common narrative or belief says that only the top 20% of VC funds beat the market (equity stock market indices). Some of the best known Venture capitalists in the world, such as Fred Willson, say this assertion is not necessarily true, that you don’t have to be in that top group because the percentage that beats the market is much higher.

In this recent paper the authors demonstrate that the percentage is 50%, in other words, half of all VC funds beat the market. A simple strategy is a fund of VC funds.

One of the problems is that these investment vehicles are only available to institutional investors. The big problem with VC is liquidity, they are illiquid investments and illiquid markets.

Although if they were fully liquid, perhaps their returns would not be so high. Or not.

Is art a recession-proof asset to be explored?

#Investment strategies 10/05/2021

Art market`s size is aquivalent to all real asset private market, and it is not used by institutional funds in their allocations. This is interesting because it is a large market where large institutional investors do not enter.


The performance of art assets during the first seven months of 2020 was far superior to other assets.

On the other hand, the performance has a high correlation with the developed markets (not so good as a safe haven asset).

We will see how this market evolves in the coming years with digital assets, especially tokens, such as NFTs. It has potential.