Samir Kaji of allocate highlighted The Tale of Two Cities in Venture Capital Detailing how limited partners focus on Blue Chip managers has come as a serious Expense of newer Venture funds nearly Half of all LP capital in 2024 has went Into only five VC funds out of thousands Of venture funds what's driving this Desire to pile into the same five funds In Silicon Valley part of it is is the Industry has been incredibly successful There's more people that want to come in And invest behind this trend and invest In this industry and they need to write Larger checks what you have is those top Largest firms look more like asset Managers then they do look true Venture Funds with the multi-stage firms or Those larger brand firms you're getting Returns that look a lot more like buyout And growth Equity early stage Venture is Highly attractive it's just actually Access constrained for the large check Writers of the world and so there's a Lot of friction out there
