Biden Crushes Banks, But Saves Venture Capital

Contact Your Elected Officials
Patria with Steve Cortes Header

Cronyism abounds, and regular Americans owe zero to Silicon Valley

The moguls of Silicon Valley largely installed Joe Biden into the White House. But the man they coronated has turned into a disaster for their enterprises. The pain of Biden’s created economic crisis afflicts all of America, of course…but Tech has been hit first and hardest.

Now, many of those same Tech titans practically beg for public assistance to bail out their investments and deposits as banks flail because of the runaway inflation created by their chosen man. Specifically, venture capital firms clamor for guarantees from regular taxpayers to cover the losses – or potential losses – of their favored banks.    

For years, these venture capital firms have successfully projected a public image of daring dreamers who provide the investment jet fuel to propel American innovation. For a time, that image reflected reality, to be sure.

But today, like so many formerly bold institutions of American life, VC descends largely into a rent-seeking space of connected, credentialed cronies who leverage their access to transform leftist public policies into private profits.   

With some notable exceptions, these predictable and formulaic VCs have generally provided poor risk-adjusted returns to investors. Even worse, now that these venture firms and their connected companies feel the full wrath of Biden’s economic failures, the industry clamors for bailouts from regular Americans.

Venture Capital Then and Now

In the mid to late nineties as the internet came into ubiquity in American life, the VC industry flourished with smart early investments in firms that dominate American business to this day. Among these giant VC home runs were: Amazon, Google, eBay, Facebook, PayPal, and Netflix.

But since the 1990’s, despite massive investment inflows into VC and an elevated public profile for the industry, returns have disappointed overall. Consider this Morgan Stanley 30-year chart of investor gains in VC for the 3 decades from 1984-2013.

Exhibit 6: Public Market Equivalent Returns for U.S. Venture Capital Funds, 1984-2013

By Steve Cortes

Read Full Article on SteveCortes.substack.com

Substack
Substackhttps://substack.com/
Substack believes that great writers, bloggers, thinkers, and creatives of every background should be able generate income from their audiences on their own terms.

CHARLIE KIRK, YOU WEREN’T PROVED WRONG

"I want to be remembered for courage for my faith,” Kirk had said in a podcast merely two months ago. May his courage spur us to be bolder in our faith.

Trump’s Proposal For NATO To Stop Buying Russian Oil & Start Tariffing China Is Unrealistic

Trump proposed on social media that NATO stop buying Russian oil and start tariffing China 50-100% as part of his plan for ending the Ukrainian Conflict.

The Choices We Make

Death and disagreement are inevitable. Love and hate are choices. We will all die. Before we do, what choices will we make?

Elon Musk Speaks at Unite the Kingdom Rally

Tommy Robinson held rally, with Elon Musk appearing virtually, calling attention to leftist politicians who allow foreign immigrants to invade England.

Doxed Democrats Are Getting Fired Left and Left

Not a misprint because a title of “left and...

ABC Suspends Jimmy Kimmel: 5 Things to Know

ABC suspended Jimmy Kimmel indefinitely over remarks about Charlie Kirk’s assassination, following an FCC warning its head would act against the network.

Judge Rules Pro-Palestinian Activist Mahmoud Khalil Should Be Deported

A U.S. judge ordered pro-Palestinian activist and Columbia graduate Mahmoud Khalil deported after finding he omitted information on his green card application.

Charlie Kirk’s Widow, Erika, Named New CEO of Turning Point USA

Turning Point USA announced it named Erika Kirk as new CEO and board chair of Turning Point USA, which late husband, Charlie Kirk, co-founded.

Shares of Intel Increase 30 Percent on $5 Billion Nvidia Investment

Shares of Intel increased by about 30 percent at the opening bell after Nvidia announced a $5 billion investment in the struggling chipmaker on Sept. 18.

Trump, Starmer Seal Record $340 Billion ‘Tech Prosperity Deal’

President Trump and British PM Keir Starmer announced a new partnership worth $340 billion in technology, nuclear power, and private equity.

DOJ Sues Maine, Oregon Over Voter Registration Lists

The DOJ said that it is suing Oregon and Maine for failing to provide information on how their election offices maintain valid voter registration rolls.

Rubio Says US Visa Revocations Underway After Charlie Kirk Death Celebrations

SoS Marco Rubio said foreign nationals who made celebratory comments over Charlie Kirk’s assassination will have their U.S. visas revoked.

Trump Supports Designating Antifa a Terrorist Organization

President Trump said he would support designating the antifa movement a terrorist organization in the wake of Charlie Kirk’s assassination last week.
spot_img

Related Articles

Popular Categories

MAGA Business Central