How to invest in 2022
2022. What a fantastically-dramatic year! Most of us had called for a downturn in the past years; we now have it and it is getting more real than ever.
Such an economic and financial slowdown comes after years of hype that felt both unjustified and frantic. It comes hard on every courageous investor. I would like to offer a few comments about investing in private situations (incl. Private Equity, Venture Capital, Real Estate) in 2022:
(i) conviction, as a driver for capital, should not fall back in these difficult times. Conviction remains. Conviction gives perspectives and nurture resilience;
(ii) valuation, as a quantum that encapsulates all projections, calculations, interpretations, is nothing more than the expression of confidence. I deeply feel that it ties up past performance with upcoming performance in a sensitive equation. It should not be driven by ego and greed. It should not fall in the many traps that come with miscalculations and certain lack of pragmatism and skepticism. To me, valuation is simply an indicator for progress;
(iii) concentration, as the vector of energy, focus, dedication in "the things we do". Hard work when channelled in generates the impossible. It is easy to bend down, to give out under pressure. Focus brings all energy back to the only thing that matter. I tend to simplify it by focusing on a single objective a day. I wake up every morning, decide on what this single objective should be and spend the entire day working hard on it.
At #versocapital we strive hard every single day, we continue to advise, to invest, to execute. In the second half of 2022, we will announce several major primary investments in amazing tech companies and we will launch VERSO X Fund. For more information, visit www.versoholdings.com.
Last but not least I would like to thank all our amazing founders for their continued leadership and dedication: Aimee C. Yang , Josh Tetrick , Mike Damico , Ali Mohamed , Fengru Lin , Max Rye , Dave Rouse , Pardeep Garg , Swapnil Shrivastav , Matthew Pearson , Taha Bawa , Omar Bawa , Tom Mannapurathu Joseph , Tristan Maurel , Martin Habfast , Patrick Schwarzenegger , Reza Azizian , Jimmy Zhong, Derek Li and Frederic Demargne .