It’s way better to be long-term greedy than short-term greedy. When you’re sitting on top of a venture firm and you can take the bulk of the economics, the ability to not do so, and rather instead invest your capital, is being long-term greedy. It’s about rewarding and honoring the platform that allowed you to make the money in the first place.
These are simple signals that tell a person the character of that individual. It’s very clear to see who really cares about their platform and who doesn’t.
That’s why at our firm, we are the largest LPs. We always have been. We are the biggest at risk, and we’re not a multi-billion dollar foundation. We worked hard for our money but we put it all back in. The reason we do that is we think we make better decisions, but also the reason we do that is it aligns the incentives.