Charles HudsonFounder and Managing Partner, Precursor Ventures

Is fund management the ultimate dream for investors?

24 Jul 2025 · 1 min

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Charles Hudson discusses why running a fund isn't the dream many investors think it is. The administrative work—fundraising, audits, K-1 tax forms—pulls you away from actual investing. Founders who tried it between 2020 and 2021 found it materially different from writing angel checks.

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I'd like to think at least we do a good job helping first time founders build the scaffolding they need to be successful. But I've also met a lot of people coming out of 2020 and 2021 who are like, you know what I really liked doing was investing. I started a fund because I thought it would be a better way to invest, and it turns out that the amount of time I spent fundraising and fund managing and k1ing and auditing was not that great. And I want to go back to a job where I mostly get to invest, even if it means I'm not in charge.
Like, owning your own angel check portfolio and running your own fund are completely different concept.