Precursor Ventures argues that fund managers tie ego to AUM and fund size as status signals. Smaller fund managers often claim it's deliberate choice, not necessity. The speaker hopes fund size and ego can separate, though doubts it will happen.
Just like a startup that wants to show things going up into the right. A lot of VCs want to show fund size up into the right because to some extent people offering you more money is a signal that they think you're doing something right. And I think in life and personal relationships and professional relationships, when you're explaining you're losing. And in most cases when people raise a smaller fund, the first thing they want to do is tell you that it was their choice or that they made a decision. And I really hope that at some point we can decouple fund size and aum from ego. I would be lying if I said I think that's going to happen. Spend any time.
