VCs ‘Anti-Portfolio’ Lists Are Mostly Performative BS

Why Investors Touting Their Mistakes Is Still Just Content Marketing

“Ha you proved me wrong. I was too bone-headed to see it. Should have invested. Congrats!” That’s the tweet sent by the venture capitalist after a big IPO by a startup they decided not to back years earlier. Maybe there’ll even be a screencap of their pass email, or similar ‘proof’ that they were in conversation with the founders during their fundraises. Then you talk to said founders and they’re like, yeah, we never really engaged with that firm and probably wouldn’t have taken their money anyway given the options we had. The tweet is VC version of You can’t break up with me because I’m breaking up with you!

The venture investment process can be over-simplified to See, Pick, Win.

See the highest quality opportunities, the most interesting founders, the hottest financings

Pick the ones that you believe are the best of the best by whatever process you employ

Win the opportunity to give those founders your money in hopes of getting lots back at a later date

When a startup succeeds the investor winners generally take their victory lap (me and Satya included — we’re not holier than thou!). But what if you weren’t winner? Well, next best thing is to signal that you did *see* the deal, even if you didn’t *pick* it. It’s a subtle way to reassert control and narrative, vs just staying…