20VC: Why VC Returns Will Get Worse, Why LP Incentive Structures are so Broken, What is the Answer to Liquidity with No M&A or IPOs, When to Sell vs Hold Your Winners & Turning $5M into $250M with The Trade Desk | Roger Ehrenberg, Eberg Capital

This podcast episode delves into the challenges and opportunities facing the venture capital industry, particularly amidst the shifting trends in capital supply and LP composition. The speakers discuss how the influx of capital has led to a differentiation among firms and a potential normalization of fees, with a focus on fair returns for both investors and fund managers. They also delve into the liquidity challenges faced by endowments in venture capital and the emergence of continuation funds as a solution to provide exit opportunities. The episode highlights the importance of strategic capital recycling and managing liquidity for early-stage funds and explores the psychological challenges faced by venture capitalists in dealing with missed investment opportunities and pursuing success. Additionally, the speakers share insights on the impact of wealth accumulation on mindset, relationships, and family dynamics, emphasizing the need for balance and purpose.