In the world of investing, as in many other areas people see similar facts, but come to different conclusions. For investing this makes a healthy buy and sell marketplace, for one person’s reason to see the glass half full, is another person’s reason to see the glass half empty. In what direction will the market go? Those decisions are magnified in the venture capital industry because you know many of the investments will not go anywhere, but a couple could be 10 x plus. Why did one go and the other not do as well. There are many variables as it should be.
In an article by Sarah Parvini and Matt O’Brien of the Associated Press, there are many venture capitalists and looking at the 2 candidates for President some are in favor of one, and some are in favor of another. The important element is to vote. The second element is successful venture capitalists can write cheques with a number of zeros on them, which is why the article.
Mr. Trump received the backing of Elon Musk and Peter Thiel and started a pro Thump superPAC called America PAC. For example, according to US Federal Election Commission records, Shaun Maguire a partner at Sequoia donated $500,000. Doug Leone also of Sequoia donated $1 million.
Stephen DeBerry who runs the Bronze Venture Fund set up a PAC to donate to Kamala Harris. He also organized a group called VCs for Kamala.
David Cowan of Bessemer Venture Partners supports Kamala because of the long term view, while acknowledging short term – Trump could drive up corporate profits and stock market values and receive a good tax cut. Longer term what will the country look like?
Linking to dividend paying stocks, the article says people of a similar view of the world often have different politics and that is a good thing. There are benefits and disadvantages to both candidates and parties, some you will like, some are not so good, it is up to you to weigh them and vote for your interests. In investing, the safest investment is buying stock in profitable companies which can pay dividends, but you have to do your homework to ensure they stay profitable in a competitive environment. Doing your homework on your investments and who you vote for is a good thing.
There are more questions than answers, till the next time – to raising questions.