Chapter
The Financial Implications of VC Firms Going Public
1:00:06 - 1:03:57 (03:50)
This episode discusses the financial implications for individuals who are on track to becoming a partner in VC firms that choose to go public rather than keeping the company privately owned. The potential loss of true ownership for partners and the impact on financial compensation is also considered.
Clips
The owner of the GP of VC firms like Tiger Global or Andreessen Horowitz would be insane not to go public, especially when they're sitting on billions of imputed wealth.
1:00:06 - 1:02:27 (02:21)
Summary
The owner of the GP of VC firms like Tiger Global or Andreessen Horowitz would be insane not to go public, especially when they're sitting on billions of imputed wealth. Going public is the only way for them to generate carry and not just generate a market beta return.
ChapterThe Financial Implications of VC Firms Going Public
EpisodeE62: Elizabeth Holmes verdict, fraud origins & takeaways, navigating "The Great Markdown" & more
PodcastAll-In with Chamath, Jason, Sacks & Friedberg
As firms go public, employees working their way up the partnership track lose ownership and become compensated through salary, bonuses, and equity participation.
1:02:27 - 1:03:57 (01:29)
Summary
As firms go public, employees working their way up the partnership track lose ownership and become compensated through salary, bonuses, and equity participation. This can create conflicts between the public owners and former employees who were once partial owners.