1/5 As VC has become a ‘hot’ alt asset class, we have seen an expansive increase in capital throughout the ecosystem driven by a lower cost of capital across the world and spread of new investors in the market (SWFs, corporates, direct investment vehicles, etc)

2/5 This has yielded tremendous positive impact in cultivating new cos. Curious what others are observing as additional impacts from increased capital in the market in terms of risk and return. How do you think this is reshaping the ecosystem?

3/5 My observations include 1) shift that venture is becoming more of a sales role due to the abundance of capital 2) concern over sustainable growth/financing for cos… investor bidding wars are skyrocketing valuations/terms, which may result in long term downside for founders

4/5 Looking at fundraising as a marathon, not a sprint, it’s critical for founders to crawl, walk, THEN run and have appropriate valuations. Big red, shiny apple valuations are attractive in the short term, but may setup companies for down rounds and set impossible growth metrics

5/5 Are we looking at a cycle of lower cost of capital-> abundance in capital -> increased valuations -> lower long term returns -> decrease in long term capital flow back into funds/cos? Curious to hear more observations from both the founder & investor lenses!