No More VC Eulogies, Please

Okay, no more eulogies for VCs please. Coming after all the overdone pieces over the weekend parroting the data-blather about a downturn in VC spending — everywhere except Silicon Valley, where most of the VC spending happens anyway — we have an article on the subject in today’s FT. This entire genre is turning me into a VC sympathizer. 

More importantly, I’m really struggling with the supposed corollary, which is that angel investors will fill the investing void. While I have no doubt that angels are more sophisticated than ever, wonderful people that they are, sometimes there is a reason why a market gets abandoned, and that’s because it has become a crummy market. And with returns trailing considerably less risky interest-bearing accounts, that is currently the case in early-stage venture.