Re:Age and high-growth entrepreneurship
by antishatter on Sunday January 23, 2022 @04:17PM
(#30050516)
lol I love the "safe" things cause you to "go broke"
Ask Warren Buffet - he’s never invested in safe things. /s
Though seriously, looking at Buffet - he invested in incredibly safe companies (ones generally valued at below their book value, at least for the first few decades) and used a bunch of leverage on them to make top-10 global wealth.
It bugs me (seems like it does for you, too) to hear the “you need risk for reward”.
Safe !== broke, and risky!== rich. But too many people equate ”safe” and bonds or index funds (which also won’t make you broke, they just won’t generate generational wealth for the most part).
This is an absurd conclusion from my comment. We still have unicorns and companies that grow 100x and 1000x without being FAANG. Those are great investments. I'd argue that they aren't safe either. I think you're finding a conclusion by looking at the answer. There's also only 4 companies there out of hundreds of thousands. You can't find the signal in the noise. As many others have pointed out here, companies you list also have another common factor: the internet was new. This offsets the industry experience factor that the paper discussed because there was no industry to speak of. This gives younger people an advantage. But there's not really something like that right now.