How Do You Measure Investing Success?

I know most of the lines from Caddyshack.

There were so many classics.

Chevy Chase was at the height of his silliness and one of my favorite lines is ‘How Do You Measure Yourslf Against Other Golfers?’

If only life was as simple as Chevy Chase lived it in the movie.

Which brings me to reality…in my business performance matters.

Yesterday, our banker at First Republic banker sent over the Prequin US Venture Capital Update excited that our fund was on the top performing list.

I am thrilled to see our Social Leverage Fund 2 as a top venture fund (vintage 2007-2015).

Tom, Gary and I are proud of our firm, our track record, our LP’s and our reputation. It is good to see our fund returns in context though. We are competitive, so being recognized is cool.

We know some of the firms on the list and they are unbelievable. I am good friends with Roger Ehrenberg who runs IA Ventures and I know he is an incredible investor, so being in any group with him is special. He is an investor in Stocktwits and was an investor in Wallstrip and he is also an LP in all three of our Social Leverage funds. He is winning in every direction.

In private equity investing I have long heard you have to be in the high 20 IRR’s to be considered good. That is a lot of pressure for returns.

Back to the reality of it all…even if the returns are great, it is hard to raise capital and repeat past performance. Just take my word for it. I have been raising capital since my briss.

Back to the grind tomorrow.


Also published on Medium.