It’s called “perpetual” or “eternal” capital, typically a very large pool of money invested on behalf of university endowments, foundations, and the like with a time horizon that extends generations into the future. The people who manage that money are driven by very different forces and thinking than your average Wall Street investor. Liquidity, for example, is not something this category of investors is immediately concerned with, nor are they swayed by your average economic cycle. At least, that’s the theory… how do these investors think in practice?
In this segment of the a16z Podcast, three such investors (who are also limited partners in a16z) — Andy Golden of the Princeton University Investment Company, Ben Gomez of Pilothouse Associates, and Edwin Poston and Mel Williams of TrueBridge Capital Partners — share their thoughts on tech valuations, liquidity in the markets, and what some in Silicon Valley may have a tendency to overlook.