VC -> HF possible?

Is it possible to transition from VC to HF?

I'm a VC and at face value I'd imagine the answer is no. My impression of HF people (please correct me if these are wrong) is that they have stronger quant skills than VCs. Also MBA/CFA/FINRA certifications are not valued in VC so I'd say on paper we're missing a few things for the transition.

That said, every few years I notice HFs pouring money into startup investments - mostly growth stage so not classical VC territory - but that at least shows an interest in taking bets on risky emerging tech. In these niche cases i'd imagine VCs bring a lot to the table with our understanding of tech trends, strong research skills, the ability to build a counter-consensus thesis, comfort working with unknowns etc.

I don't think I would ever make this transition myself, I genuinely love VC. I'm really just curious if this ever happens.

2 Comments
 

I don't think it is very possible, the two things are almost completely different. A startup confounder who has raised $10mm+ once told me, most VCs know shit about investing or business, you can become a VC tomorrow if you have money, you don't need to know anything, but you can't just become a HF or PE fund PM just because you have money, you will be crushed.

 

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