I credit them with a lot of experience and access to a lot of good information. I don't know why you believe that they are panicking in a week that the DOW has dropped about 16%: this will weld the IPO window shut and limit the value of any acquisitions that occur. If their companies are cash flow positive then there is no reason to sell off assets, but if they need more funding to survive it may not be available. If they were to shut them down and return the funds to their limited partners that would be the end of Sequoia: their partners expect them to earn an above average return with the risk capital that they have invested. Some investment firms, Sequoia likely among them will find a way to earn a positive and above average return from their portfolio of investments. They can't do that if they liquidate all of their holdings.