Einar Volsett

Yeah, our current portfolio is about 55% last time I checked.

Because that's simply not the case.

So we invest early.

And actually, if you look at the distributions specifically on outcomes for B2B SaaS companies, very early stage B2B SaaS companies,

they are parallel distributed in a similar way that traditional sort of venture-backed companies are parallel distributed.

So in that kind of an environment, you actually would expect there to be outliers, similarly to how you expect there to be outliers in, say, in Sam's model.

Now, the difference is, like Sam is slightly different because he gets an amazing price at the companies that he does.

But say you're a standard venture investor, they end up having to pay...

12 million pre or 15 million pre to get in now at that kind of company then a 50x return is needs to be 500 million dollars right but for us because we are investing in earlier stage and companies that at least at the outset don't necessarily they want to effectively preserve the optionality of exiting at 20 million or 50 million if you're coming in at one and a half million pre then a 50x return is is the company sells for 75

Now those kinds of outcomes are much more doable and much more frequent than something selling for 750 million or a billion dollars.

So we started, we have zero dividends yet.

We invest so early that there's, you know, none of the companies are in a point where they decided that they want to start taking cash out.

So like IRR is, and this is true for venture too, like traditional venture too, IRR is a measure mostly of markups.

Like it's usually like, okay, I invested at a million pre.

They haven't made any money.

They haven't even potentially got any customers.

But now Andreessen Harvest invested at 20 million pre.

Well, I'm going to mark them up 20x.

Okay.

Got it.