I get it. I really do. Finding winning investments is tough in this environment.
But I know of an investment that’s not just a winner… it’s close to perfect.
Historically, it’s been off-limits to almost everyone but the ultra-rich.
But not anymore.
Let me tell you about it.
Like a Mutual Fund… But for Startups
The investment I’m referring to is a venture capital fund.
Venture funds are professionally managed portfolios of startup investments.
They’re like mutual funds or ETFs. But instead of containing a portfolio of public stocks, they contain a portfolio of private startups.
No matter what you’re investing in, diversification is key. But it’s especially important with startups. Generally speaking, startups are riskier than stocks. So to minimize your risk in this asset class, you need a portfolio of them.
But it’s worth it…
From 55% a year… to a 2,000x Return
You see, the profits from startups can be far higher than the profits from stocks.
Historically, stocks have returned an average of about 6% a year.
But even when you factor in the winners and the losers, over the past two decades, early-stage startups have returned an average of 55% per year. (To put that in perspective, at 55% per year, in 20 years, you could turn $500 into more than $3.2 million.)
And if you happen to get a Google or a Facebook or an Amazon in your startup portfolio, you could earn hundreds or even thousands of times your money.
For example, our friend and colleague Howard Lindzon made 400x his money by investing in Uber back when it was an early-stage private startup. That’s enough to turn every $5,000 he invested into $2 million.
And Facebook’s first private investor made about 2,000x his money. That’s enough to turn every $5,000 into $10 million. Can you imagine?
Unfortunately, getting into a venture fund is easier said than done…
The Challenges with Venture Funds
For example, the minimum investment to get into a venture fund is generally six to seven figures, and often far more.
So at a bare minimum, it’ll cost you $100,000 just to get your foot in the door.
But that’s not the only hurdle. Here are a few others:
Fiercely Competitive: Because of their stellar performance, getting into a venture fund is no easy feat. Unless you have a connection to someone on the inside, there’s almost no way you’re getting in.
Along for the Ride: With venture funds, you have no say in how your capital is invested. You might have decades of experience in a particular industry, and you might discover that your fund manager made a horrible investment in that sector. But there’s nothing you can do about it. You’re just along for the ride.
The Fees: And finally, there’s the fees. Not only do fund managers take a 2% management fee each year, but they also take 20% to 30% of your profits. That could add up to hundreds of thousands of dollars over time.
So, sure, venture capital funds offer huge upside…
But not only are there challenges in getting into one in the first place…
But even if you could get into one, there’s plenty of downside.
All of the Upside, None of the Downside
But what if you could get all the positives of a traditional venture capital fund…
With none of the negatives?
What if you could put yourself in a position to earn the potentially life-changing returns that venture capital funds offer…
But with none of the drawbacks like high investment minimums or high fees?
Well, now you can…
Join us on May 24th
On Tuesday, May 24th, Matt and I will be hosting a special online seminar to show you exactly how.
During our presentation, we’ll walk you through this opportunity in detail, and show you how to get access to it immediately.
This could be one of the most exciting presentations we’ve ever hosted for you.
In fact, because of the strong demand we’re expecting, we’ve decided to host two presentations on May 24th. These presentations are free to attend for all Crowdability readers, but you need to sign up in advance to claim one of the seats.
Click one of the links below to select the time you’d like to attend:
We can’t wait to see you there!