Comments (6)

 
  • Associate 1 in PE - LBOs
Dec 14, 2020 - 10:37am

They do secondary equity purchases from successful venture companies (e.g., Series C CTO wants to leave and get liquidity to send his kids to school)

 

This is not a good business model because you'll see that there are plenty of startups who are basically offering the same thing which pigeonholes RTCS moreso into "block" trades of equity (which is what I'm sure they were doing already, but nobody likes to see their universe shrink).

 

Extremely small team, ex-Summit if I believe so that should probably color your experience.

 
  • Managing Director in IB-M&A
Dec 14, 2020 - 11:26am

Thank you. Very helpful context. Sounds heavy cold calling / keeping in touch with venture CXOs. 

 
Jan 12, 2021 - 4:21pm

The first post is correct. It's really all secondary purchases of late stage tech companies. Not a terrible strategy, but strange that it's institutionalized and considered a "growth equity" strategy. It should really be called VC secondaries. Day view capital was Michael's fund and it was brought in house to Riverside and re-branded. No change in strategy though.

Kind of cool in that this space is pretty fragmented and there is opportunity for some secondaries at the later stage, but as far as I know, RTCS hasn't built anything that interesting to solve this problem in an institutional way. You're basically just sourcing employees, namely engineers given that they have the largest equity stakes, and then proposing to buy part or all of their stake from them. 

The head guy Michael Chu is sharp, but I heard the culture is pretty sweaty, which kind of makes no sense to me given that there's really not much analysis to do. They've also been looking to hire for ~2+ years now and to my knowledge the team hasn't grown at all, so not quite sure what's going on in the group.

Start Discussion

Popular Content See all

IB Sucks. I'm out
+111IBby 1st Year Analyst in Investment Banking - Generalist">Analyst 1 in IB - Gen
IB is not intellectually challenging
+55IBby Intern in Investment Banking - Mergers and Acquisitions">Intern in IB-M&A
Janet Yellen - Unrealized Capital Gains Tax. WTF
+28OFFby 1st Year Analyst in Investment Banking - Generalist">Analyst 1 in IB - Gen
VP Lying
+25IBby Prospective Monkey in Investment Banking - Mergers and Acquisitions">Prospect in IB-M&A

Total Avg Compensation

January 2021 Private Equity

  • Principal (7) $694
  • Director/MD (15) $627
  • Vice President (58) $366
  • 3rd+ Year Associate (60) $272
  • 2nd Year Associate (117) $245
  • 1st Year Associate (251) $224
  • 3rd+ Year Analyst (23) $162
  • 2nd Year Analyst (57) $138
  • 1st Year Analyst (164) $118
  • Intern/Summer Associate (18) $71
  • Intern/Summer Analyst (179) $59

Leaderboard See all

1
LonLonMilk's picture
LonLonMilk
98.5
2
Jamoldo's picture
Jamoldo
98.4
3
Secyh62's picture
Secyh62
98.3
4
CompBanker's picture
CompBanker
97.9
5
redever's picture
redever
97.7
6
Addinator's picture
Addinator
97.6
7
frgna's picture
frgna
97.6
8
NuckFuts's picture
NuckFuts
97.5
9
bolo up's picture
bolo up
97.5
10
Edifice's picture
Edifice
97.5