Jeff Horing

I was lucky enough to get my first job.

And it was a lot of luck in somebody who believed in me that hired me at Warburg Pincus, which was founded in 1968.

Maybe the world was a different world, but developed a one fund strategy.

There is included stage and industry.

So they were stage agnostic, industry agnostic.

Some of that was mapping to LPE.

demand for the biggest of LPs back then, the pension plans.

But there's two things I think that if you taught finance in classic portfolio theory, you would be scratching your head and thinking, gee, why isn't everybody doing this?

One is risk management.

One of the really interesting things about the Vision Fund was their ability to write a $200 million check that was inconsequential to the return of the fund.

Obviously, you could abuse that and take risks that maybe aren't sensible risks.

But it was fascinating.

Most of us really sweat out those big checks.

We're really pretty risk averse.

We want to make sure the downside is absolutely locked in.

Probably the 2x case is really visible.

There's very few firms out there.

Vision Fund was probably the one exception that could look at that and say, I could think of that divide by 100.

as a $2 million check in a billion-dollar fund where we all could easily say, oh, of course, I'm not going to get too worked up over a $2 million check.

I'll take a flyer.