Negotiating Life: A Candid Conversation with Jack Nasher

Hi, Jack. Can you start by giving us a brief introduction about yourself?

Sure. I am a professor, author, and advisor in the field of negotiation. I have written books like "Convinced! How to Prove Your Competence & Win People Over" and "Deal! Du gibst mir, was ich will", which have appeared around the globe.

Some know me through my annual Forbes “Top 10 World Changing Negotiations” list– the next one being in the works…

I studied and taught at Oxford University and am now teaching for Stanford University and in Basel, Switzerland. But mostly, I train and advise companies all over the world with the NASHER Negotiation Institute, which I founded.

I understand you've written several books. What topics have you covered in your writing?

I am interested in reading and influencing people. Thus, my books were about detecting lies, influence, and – of course – negotiations.

You're known as an expert in negotiations. Can you explain what that entails?

It involves a deep understanding of the principles, strategies, and psychology behind effective deal-making. It's about reading between the lines, understanding the motivations of all parties, creating value through win-win solutions – and then claiming as much it.

I'm like a Sherpa guiding through the treacherous negotiation mountains, armed with a map of strategy, a compass of tactical empathy, and a backpack full of tactics. It's all about helping my clients navigate the complex terrain of agreements and come out on top!

Having been both a professor and a seminar teacher, what has surprised or amazed you the most in your journey?

The fact that a 18-year-old bachelor student is often a better negotiator than a seasoned executive with decades of sales or purchasing experience. It is amazing how little skills many negotiators have, costing their companies millions if not billions of dollars per year.

This is particularly surprising as it only takes a few days to learn the methods. How to convince others to get what you want is perhaps the single most important skill you can learn. Don’t waste your potential and do it as quickly as possible!

Looking back, is there anything you wish you'd known earlier in your career?

Ah, the wisdom of hindsight! If I could whisper a nugget of advice to my younger self, it would be to enjoy every step of the process celebrating every progress made.  Yes, there is always another mountain to climb but it is important to be generous not only to others but also to yourself. When I was younger and pictured myself as the adult I am now, I would see a man who arrived at the top and enjoyed his perfect family home mansion by a lake with a Buddha-like smile, sporting a solid six pack. None of it occurred, alas. And I have never met such a divine creature. The journey never ends, so celebrate every step because that’s all you have.

If given a chance, what changes would you make to your teachings?

I am in fact given a chance every day and I never stop working on my trainings. Module 1 is close to perfection after my team and myself have taught it thousands of times. But there is always room for improvement, and it simply never ends.

The magic happens when you can seamlessly translate a seminar into practical skills. People and needs change, so I try to foster an environment that encourages collaboration and diverse perspectives—creating a negotiation think tank where everyone's ideas can flourish.

How do you determine if someone is being dishonest during a negotiation?

Nonverbal cues can be quite telling. Watch for changes in body language, eye contact, or inconsistent gestures. Vocal cues, such as a change in pitch or hesitations, can also be revealing. Of course, it's not foolproof, but paying attention to these subtleties might give you a clue. The single best way to know if someone is bluffing, is the “Bluff Test”: a three-phase questioning technique we use.

Negotiation often combines both structured techniques and psychological understanding. How do you adapt your approach based on the individual and situation?

Some checkpoints need to be thoroughly prepared, such as your BATNA (Best Alternative To a Negotiated Agreement), and your anchor (starting price) along with your “objective” criterion (the support for your anchor).

Other than that, it’s less like a to-do list and more like a map. You sketched out the area and have thought through different scenarios, this changes your whole attitude. But you need to be agile. Like Andy Grove from Intel once said: “Dig into the data, then trust your gut.”

Are negotiation techniques universally applicable across different sectors, or do they vary?

While some negotiation principles are like timeless classics—always in style—there's definitely room for variation. Different sectors, industries, and cultures may call for unique approaches. What works like a charm in a business negotiation might need a remix in, say, diplomatic talks.

In my teachings I cover a versatile toolkit. Because, as the psychologist Abraham Maslow once said:  "If all you have is a hammer, every problem looks like a nail".

So it’s about having and picking the right tools for the scenario. So, while the basics might be universal, the devil is in the details, and adapting your techniques is the secret sauce for success.

How can one bring these techniques to scale within an organization, particularly in areas like sales, and what are your best practices for onboarding new sales personnel?

Scaling up the negotiation prowess in an organization? Now we're talking big picture! First off, make it a part of the company culture. Train everyone from the top brass to the new recruits. Consistency is key. Develop a set of negotiation best practices tailored to your industry and share the wealth.

It is extremely important that top management visibly supports the endeavor.

For onboarding new sales folks, have them professionally trained. If they don’t know the basics –  from the art of active listening, the power of tactical empathy, to the calculation of a BATNA –  they will leave money on the table. Your money.

Simulation role-playing can be a game-changer, giving them a taste of real-world scenarios. Encourage ongoing learning and feedback, and hey, don't forget to celebrate those negotiation victories—one deal at a time.

Can you discuss the biggest mistakes people commonly make during negotiations?

One common misstep is conceding too much too soon. You give away items you don’t need and have nothing left when you want something from the other party.

Rushing the process is another classic blunder. Patience is a virtue in negotiations.

Speaking of virtues, letting emotions run the show can be dicey. Stay cool, calm, and collected. Dealing with emotions – not avoiding them- is one of our key learnings.

And here's a gem: neglecting preparation. Knowledge is power. Know your stuff before entering the negotiation ring.

Lastly, a failure to communicate clearly can lead to disaster: it’s not only about active listening but also about active speaking. Be crystal clear on your objectives.

How do you continuously elevate your understanding and skills in negotiation?

I keep my knowledge sharp by staying up-to-date on the latest negotiation theories and case studies. I'm always learning from diverse sources—books, articles, and even the occasional podcast. And let's not forget the real-world experience: negotiations I work on with my clients. Mostly we prepare them in the background, but sometimes we actually lead or facilitate the negotiations at the table. And, of course, every conversation is a chance to refine those negotiation skills. It's like a never-ending game of leveling up, and I'm always up for the challenge!

Are there any books or resources you've recently encountered that have particularly intrigued or enlightened you?

Oh, you know me—I'm always on the lookout for some mind-expanding reads! Lately, I've been intrigued by tiny book by the German academic Hartwig Eckert on something he calls “conceded territory”. His idea is that we usually make the mistake of responding to arguments with counter arguments, or objections with counter objections, which leads to distancing us more and more from each other. Instead, we should find something he calls “conceded territory” by building on common ground.

For example, if you want to sell a gym membership and the prospective client tells you that he enjoyed the training but he doesn’t have time for regular workouts, you don’t respond by telling him that he should take the time etc. Instead, you say something along the lines of “I am happy you enjoyed it and took the time to come.”

Now, you build on this common ground and position him with well targeted question leading him to your goal, such as: “What made you come here and work out today?”. Now, he talks about losing weight through working out and you get closer and closer to your goal. It’s a simple and yet effective approach.

So many books, so little time, but hey, I'm not complaining!

How do you recognize the potential in individuals, whether in terms of competence, intelligence, or motivation?

Spotting the gems in the crowd is like having a radar for potential. After all, nobody is self-made and we need to find others to support us, whether it’s a customer, an employer, or an employee.

Look for signs of passion and curiosity—they're often indicators of motivation. Check out their track record—past achievements can be a window into competence. And of course, a keen eye for learning and adapting is a sure sign of intelligence.

Jack Nasher

In this exclusive interview, we sit down with super angel investor Fabrice Grinda to explore his extraordinary life that spans his recent expedition to Antarctica, his prolific career as a serial founder and investor, and his strategic vision for FJ Labs.

Known for his adventurous spirit, Fabrice shares the motivations behind his journey to the icy frontiers of Antarctica, drawing parallels between exploration and adrenaline seeking and traversing the uncharted territories of founding and running a start-up.

A trailblazer in entrepreneurship, angel investing, and business leadership, Fabrice tells us all about the milestones that define his career and discusses the evolving dynamics of the start-up ecosystem. He covers his first foray into entrepreneurship and the tech bubble bursting. He also shares his knowledge from his time as the founder and CEO of OLX – the largest classified site in the world and his extensive experience of investing in start-ups from all industries, geographies and verticals.

As the co-founder of FJ Labs, he provides unique insights into his approach for identifying and investing in start-ups that specialize in marketplaces and network effects, emphasizing that right now is the best time to dive headfirst into the world of startups. He makes a compelling case for why holding cash in these ventures could be the key to unlocking transformative change in today's economic landscape.

Join us as we uncover the life and adventures of Fabrice Grinda, from the frozen landscapes of Antarctica to the cutting-edge of tech investment.

Robin: So, let’s start, I saw that you recently went to Antarctica. Tell us about it. I think Colin O’Brady was the first one to go and do this. I was watching him speak about it on stage and then I saw that you’d done it.

So, first let me tell you a bit about me. I like to do these crazy adventure travel type trips, where I'm alone off grid, and I take my backpack, my sleeping bag, and my water filtration system and a knife. And I have mostly done these trips in warm weather environments, like Hawaii, or in Costa Rica, or in various rain forests and jungles around the world alone, with a friend, or with a guide or a team.

Two years ago I was contacted by Kevin Ryan, who's obviously another unicorn founder and an amazing New York Tech founder. And he said hey, I’ve been asked to sponsor this scientific expedition. And the objective of the scientific expedition is to find out if there's a way to predict who's going to do well in these extreme environments ahead of time, because in 2016/17, there was a team of British Army Reserves that completed a 67 day expedition from the Hercules Inlet via the South Pole to the Shackleton Glacier, and despite the fact that they were all young and super fit, they didn't do particularly well, in fact many of them failed and didn't make it.

He asked me, is there a way to sponsor a similar expedition where we have a group of 50% male 50% female, some people on a vegan diet and some people not on a vegan diet. And we're doing two tasks, one is the full 60 days and the other one is the last degree for two weeks. As a sponsor, you can join this part of the expedition in the last degree and it's like two weeks on the ice fully disconnected. And I thought, this is right up my alley.

I was invited by a good friend who I thought I would enjoy my time with, so I'm like okay, let's do it. And you know, it’s a couple 100 kilometers so I'm like oh, this is going to be really hard. You know, I could walk 20-30k, or even 40k a day, right, like wow, yeah, for days. I was really robbed. This was one of the hardest things I've ever done.

So first of all, it took a fair amount of training. In the spring of 2022, I went to a place in Norway to actually train. You pull a 100 pound Pulk, which is a sled that you use to carry your food, your tent, your fuel etc. You need to learn to walk with it. You need to learn to make your tent, you need to learn to melt the ice to make your food and a bunch of other skills that quite frankly, you wouldn't have to use anywhere else especially with this kind of equipment.

You need very specialized equipment to deal with what is a negative 30 temperature but feels like negative 50. And you don’t just need different layers, you need things when you're resting and when you're not resting, and so you need to buy the equipment that has been tested to make sure it fits and it works.

So in January, we put December 30 2020 to fly to Chile and actually spent time with the team. That's a team of 10 people with three guides for the last degree and there was a separate team doing the full 50 or 60 day walk from the coast to the pole. They had done this before. Most of the guys have done this many times before. The guides are there seasonally and the season is very short. The season is mid November to mid January. We were actually part of the very tail end so it's a very short summer, which is the warmest and best weather time to do this. It's also light 24/7.

So, we then flew from Podesta, the southernmost tip of Chile to a staging area called Union Glacier Station in Antarctica. And we got everything ready. And from there, we flew to where we started our walk. We started the walk and it was way harder than I thought it would be because it's a combination of starting at 10,000 feet altitude or 3000 meters which is reasonably high and has low oxygen and you exercise 24/7.

Eight hours a day more than eight hours a day you're doing eight stints of one hour you walk for 15 minutes, you stop for 10 minutes to rest, and you eat, and you do that eight times. You have to eat. If you don't eat, you're gonna pass out because you're using up 7500 calories a day. I lost half a pound a day, every day that I was there, despite eating 6000 calories a day. And, you walk 40,000 steps a day. And then when you finish the day, you need to make your camp plan for tents, make a ditch and melt the ice, so you're exhausted.

So it's super cold and super hard. Way harder than I thought. But ultimately, it was an amazing exercise. Especially as there were a few things that you don’t really get to do in this modern age.

It’s all about disconnection, right? We all live in a world that's hyper connected. It's very rare that you have two weeks with no cell phone, no news, no WhatsApp, no emails, no calls, no nothing. And, in Antarctica you’re either alone or with your friends. I would talk for one or two hours a day with amazing people and build amazing relationships, or I’d just be alone with my thoughts.

So it kind of felt and I don't know if you know what a Vipassana meditation retreat is, but it kind of felt like an act of Vipassana meditation retreat. And it was an exercise in aloneness, and gratitude. I just took the mantras, I did meditation, and I felt extreme infinite gratitude to be in this environment, with my team and I was grateful to have my friends and a team of workers that can support me. Who allowed me to do this and doesn’t need me to be there at all times.

I have a family that's there for me and my friends and my crazy endeavors, and I have such gratitude to be able to experience something so unique, where there's literally nothing I mean, it's infinite ice and white in every direction, and there's no life.

There's nothing I mean, it has downsides. It means you need to poop in a plastic bag in negative 50 degrees and carry your poop with you for two weeks, which is not the most pleasant thing I've ever done. It's extraordinarily exhausting, but it was amazing. And yeah. I think it's a real privilege. It was an amazing silent meditation and amazing bonding experience with people in the team, and with the friends that I made that went on this trip with me. Having done it, I'm definitely not doing it again. It was one of the hardest things I've ever done, including creating a startup and running it for, you know, decades. And yeah, amazing. So I think my next adventure is going to be a warm weather adventure. And I haven't decided what it is. I'm not doing this again.

Robin: When you start a start-up, you know that it's hard, but not that hard, right? In this particular case, I'm pretty sure you knew that it would be very hard, no?

Fabrice: I didn't think it was gonna be that hard. Actually, no, it was way harder than I expected. Okay, no, it was exactly like a start-up. I did not know what I was doing. I did not know what I was getting myself into. I didn't have the right equipment for it. I had to learn along the way, you know, it was exactly like a start-up.

Robin: And do you then think you think this is DNA? Or do you think it's cognitive i.e. how you grew up? This is also a question in start-ups, right? But also here, you must be, to a certain point, a bit crazy to do it, right? What is the thing that makes humans become founders, but also do this kind of exercise for fun?

Fabrice: Yeah, I'm gonna answer the question with a few things I've learned. You can always push yourself more than you think you can. And I think that's true. In every environment, you can go to the gym and lift more than you think. You can push yourself more in this environment while walking, or in a start-up, you can work 100 plus hours a week for years on end. If you really have to, like if push comes to shove, you’re always able to push yourself more.

Now, not everyone is made of that same stuff. And in fact, the objective of this of the study was to find out who actually makes it who doesn't, i.e., can you tell ahead of time based on their physiology, blood tests, etc, and their DNA and their personal mental profile?

Clearly, there's one thing I think founders have in common is that we're more tolerant to risk than most. I'm not saying we're risk seeking, right, like it's always on a risk adjusted basis. And in fact, I don't think we take that many risks as start-up founders. But I think by taking a bit more risk than most people, we are highly rewarded.

I love these types of extremes. I think I like it. I definitely have a predisposition for it. I like it in work, you know, building start-ups, and in life like extreme heavy skiing, kite surfing, being an adrenaline junkie, and these sports that make you feel the most alive. I like being on the verge and feeling a sense of purpose, accomplishment and meaning that is unparalleled.

Now, not everyone is wired that way. Some people don't like it. So, where does it come from? That’s unclear, yeah. I'm not even sure it's nature or nurture, I think it may just just be a random number generator X Factor. You know, look, if you have three siblings in a family – they can all end up being completely different despite having the same genes, same nature, growing up in the same environment, the same nurture, the same parents, the same teaching philosophy, and yet they're completely different. And so I suspect that there's this other X factor that makes a subset of the population more risk taking, thrill seeking and adrenaline junkie ish, but also more optimistic.

I think the other characteristic that defines founders, and for people with these things is feeling optimistic that the odds don't apply to you, right? For example, the five year survival rate of a start-up is like 5%. So you have a 95% chance of failure after five years. And so you have to be delusional enough to believe that you can change these odds, and you're gonna make it happen. And if you have that level of confidence in yourself and ability and optimism, it probably applies to other things like skiing. It's dangerous, but not for me. I'm so good. I'm gonna do it, it's gonna be fun and it won't be dangerous. It’s the same with kitesurfing. And the same with all the crazy shit I do. I used to go kart race as well, motorbike race, and play paintball, remember…

Robin: Yeah, I remember you had a paintball field in New York when I visited you twice…

Robin: So, yeah, you were talking about the grit, resilience, optimism needed for this Antarctica expedition. You said the British army guys didn’t perform as well as expected.

Fabrice: Because they're 25. And they're super fit. So you would have thought that they would have done well. So here's the lessons we learned from this. On average, women did better than men. Because women have a bit more body fat than men. And when they were walking, they would burn fat and not muscle. And so, when you start burning muscle, your body fully shuts down. So, on average, women did better than men. Number two, you could not be on a vegan diet in an extreme environment. After a week, everyone who had a vegan diet basically died they literally either gave up or switched to a non vegan diet.

Robin: Yeah, even Mike Tyson switches before fights from vegan back to meat…

Fabrice: Yeah. So it's okay. In a normal, safe, boring environment, you know, you're OK in a city where you're burning 2000 calories a day. But it doesn't work when you're burning 7500 calories a day. And so that was another interesting lesson. And by the way, within a week, it was clear, like, it was like, the guys on the vegan diet were just falling apart and dying. So they didn't want to go any further, so they either switched or dropped off.

Again, if you're living in a city, and you can take supplements, etc. then maybe it's not a big deal. But, you know, if you're in an extreme environment, it doesn't work. And by the way, if you go back 20,000 years, we were all omnivores, right. Like we were hunting the mammoth and we'd have feast and famine. We were on the Paleo diet if you want, and we needed a little bit of everything. But that was found in nature including, you know, deer and mammoth and whatever else that we would be interested in fascinating because you could find them and eat like a king. And then you know, for three days, you'd be hunting the next bit of food until you caught one.

Robin: I’ve got one more thing. It's so interesting to hear. And, you have to think of two more questions. One is, because I think people would love to hear if you have a certain point of fear before you do something like this. Will I make it or not? What if the helicopter has to pick me up? There must have been a certain amount of fear before you started. And so my first question for the people who may read this, is how do you overcome fear?

And two, there is Will Smith, who knows why he's more successful, right? He says he's not more beautiful, and he's not stronger. He's not everything, but he says, “the only thing that I see that is distinctly different about me is I'm not afraid to die on a treadmill” and this is similar. “

The only thing that I see that is distinctly different about me is I'm not afraid to die on a treadmill. I will not be out-worked, period. You might have more talent than me, you might be smarter than me, you might be sexier than me, you might be all of those things you got it on me in nine categories. But if we get on the treadmill together, there's two things: You're getting off first, or I'm going to die. It's really that simple, right?” 

So the one is, one is overcoming fear and starting and the other one is endurance while you're in it, bracing pain, so maybe you could speak to these two things.

Fabrice: For the first point, I'm not sure I'm the right person to speak to this, because fear is not a feeling I have often, if ever, experienced in any context. Frankly, I don't remember the last time we've been afraid of anything.

Robin: This means you went there (Antarctica) and you had zero fear that maybe you would have to get a helicopter to pick you up or something like a Plan B?

Fabrice: Yeah, there was a Plan B. You can get an emergency evacuation. Look. Here's why I never had fear. Imagine, my first start-up essentially failed, right? Like I went from zero to hero back to zero again when the tech bubble bursts. And so I went from being worth, on paper, hundreds of millions to being bankrupt overnight. But I didn't fear that, I mean, what's the worst that's gonna happen to me? You know, I'm top of my class at Princeton, I used to work at McKinsey. I'm gonna get a job at Goldman private equity or I'm gonna work in McKinsey. I'm gonna run digital media.

Robin: But you could have died in Antarctica, no?

Fabrice: You know, it did go wrong, my body failed, I had to be evacuated. But I also have confidence if I have infinite belief, which goes to point number two and my resilience and grit. Like, I will stay on the treadmill as long as it takes to get there and I had no question in my mind that regardless of how much pain and suffering I needed to endure, I was going to make it and so I didn't even consider the alternative. Like it didn't add on I was like, it's not within the realm of possibility. Failure is not an option.

Robin: This is my last question around your expedition. Thank you so much for sharing the experiences. So, you talked about gratitude and you talked about Vipassana and, so, is there some belief in the divine or anything you rely on when you do these kinds of things that’s higher?

Yes, I have a meditation practice where I meditate daily. Frankly, this just reinforces the way I'm built. I've already built optimism and gratitude and I just reinforce that through singing the mantras and moving energy within me etc. I think its these moments when you you feel like you're communing with the divine.

I've experienced more psychedelic experiences and in these moment moments of silent meditations I think. At silent retreats I don't feel like competing with the divine. I don't become one with whatever the universal source or energy and by the way. It doesn't feel religious in that traditional way. It wouldn't be anything close to Christianity.

Robin: Is there a sense of unity that we are all one, and that all things are connected that you feel in these deep experiences?

Fabrice Grinda

Navigating the Cold: How VC’s Winter is

 of ACE Alternatives highlights the VC landscape's current "winter" phase, emphasizing its evolution over the decades and the industry's impending sunnier era. Matias discusses 3 main topics:

 Exploring the shift from centralized hubs to a diverse spread of fund managers across Europe, with a spotlight on the Southwest, Eastern Europe, and Germany.

 Tracing the journey from a decade of funding challenges to the recent surge in investments across various stages of startups.

3. Tech, Innovation, and Tomorrow's Leaders:

 Delving into the pivotal role of technology in tackling global issues and the indispensable contributions of young, innovative entrepreneurs backed by private capital.

Can you provide insights into the significant changes you have observed in Venture Capital and Finance over the last 5-10 years?

The VC landscape has seen a dramatic shift. Gone are the days when fund managers were mostly clustered in European powerhouses like London, Paris, and Berlin. Now, we're witnessing a rise in diverse players from regions like the Southwest, Eastern Europe, and notably, Germany.

This diversification is a testament to the evolving dynamics of the VC world. A decade ago, the challenges were more pronounced, with limited funds available for investment, especially for later-stage financing. Over the recent years, the scenario had shifted. There's been more capital flowing into the VC sector, across stages.

Central to the landscape’s evolution is the belief in technology and innovation's transformative power. They're not just tools but solutions to global challenges like climate change and health crises. And it's not just the industry giants making waves. Young, agile entrepreneurs with fresh ideas are at the forefront, and they need financial support. We are more than happy to support this cause, indirectly, recognizing the immense potential that lies in the confluence of technology, innovation, and private capital.

With our current unique macroeconomic climate, how do you believe it impacts the dynamics of investing in Venture Capital?

In today's macroeconomic climate, it's evident that we are navigating a more challenging segment of the cycle. There's been a significant contraction in available capital, affecting both on the LP side, as well as in consequence, on the GP fundraising side. This has led to a decline in valuations and overall capital investments in the VC space.

Given the present trajectory, it is obvious that VC investments and GP fundraising will remain at low levels for the next 10-12 months. But it's not all gloom. Just 12-18 months ago, valuations were notably aggressive, prompting questions about the inherent value of startups. This recalibration might lead us to a more grounded and realistic assessment of startup worth.

For the discerning investor, this climate offers a chance to find well-priced investments. It's all about strategic choices and seeing genuine value over hype. Plus, this environment is paving the way for secondary investments, an intriguing and probate strategy to consider.

Venture Capital as an asset class presents both a challenge of liquidity and the potential for high returns. What do you think about this class of assets in general?

Venture Capital holds a unique position within the PE world, driving socio-economic change. Many startups, backed by VC, have grown into global giants and leading blue-chip companies. This isn't just a U.S. narrative, where top stock-listed companies are tech-driven with VC roots; Europe has its own success tales. Without the support and vision of VC, many of these firms might've never emerged.

For LPs, VC is distinct. It's riskier than other equity classes and choosing the right VC manager can be “make or break”. Navigating VC is an art, blending systematic market screening with relationship-building. It's about identifying those golden picks, the managers that promise not just growth but persistence.

A crucial aspect of this process is spending quality time with VC fund managers to understand their strategies. It's essential to gauge whether they remain consistent in their approach and can weather the varied challenges posed by different market conditions.

How have you observed the evolution of Venture Capital over time?

The Venture Capital landscape is undergoing a transformative evolution. The shift underscores the dynamic nature of the VC world and its adaptability to changing market needs and investor preferences.

#1: Increasing specialization across industry verticals.

Instead of a broad-based approach, there's a growing emphasis on focusing on specific industry verticals. This allows for a deeper dive into narrower markets, enabling VCs to become experts and pinpoint the most lucrative opportunities within their chosen domain.

#2 Segmentation within investment stages.

There's a heightened focus on specific phases like pre-seed, seed, early, and growth. Each of these stages demands different strategies to attract capital, and they present varied risk-return profiles from an investor's perspective. The current sentiment leans away from a blended risk and return approach, which was more prevalent in the past.

#3 Increasing demand for secondary transactions and special situations.

Both founders and VCs are actively seeking secondary liquidity. Such early liquidity events like GP-led secondaries are becoming more sought-after, primarily because they can significantly enhance fund performance. LP-led secondaries on the other side offer a sort of safe haven for instance in situations, were LPs need or want to cash out to readjust their portfolio allocations.

Recently, there's been an increased democratization of access to Venture Capital due to technological advancements. How have platforms like Moonfare and Liquid, which enable individuals to invest smaller amounts in Private Equity, influenced the landscape?

Platforms like Moonfare and Liquid have opened doors to mature funds, such as growth and buyout funds, for a broader audience. While these platforms pool private investors to access top-tier funds typically reserved for seasoned managers, there are considerations.

Can you comment on the role of companies like Vauban, Bunch, Roundtable, and others who are facilitating SPVs at scale?

These platforms have been pioneering the approach of pooling capital into dedicated single-asset vehicles i.e., SPVs. These entities have carved a niche for themselves in the market, especially when there aren't extensive financing needs but more regulatory requirements.

However, their value proposition is less when situations become more intricate. For close-end pooled funds, where more complex operations are required, this type of streamlined service does not necessarily work out that well.

Given these developments, how do you perceive the current status quo in Venture Capital?

The Venture Capital landscape has evolved significantly. Investors and fund managers now exhibit greater transparency and responsiveness, especially in LP onboarding and fund signings, thanks to digital technology integration. There's also a heightened focus on domain expertise, driving the industry with deeper insight, proficiency and efficiency.

What are your predictions for the future of Venture Capital considering these trends?

Venture Capital will undoubtedly continue to be an asset class that attracts capital allocation. Investors recognize and value the place VC holds within their portfolio considerations, especially given its ties to technological innovation. From a geopolitical perspective, the VC landscape is poised for growth and is determined to thrive.

VC is pivotal for global challenges as it has always fueled the visions of leading inventors and entrepreneurs, giving rise to advancements like electricity, computers, and the internet. Without this financing and risk-taking, progress halts.

For instance, the U.S. invests approximately 10 times more per capita in innovation and growth than Germany. Germany's investment has decreased over the years, going from roughly 4% of real GDP during 1950-1970 to about 1% between 2000-2020. To stay globally competitive and safeguard prosperity, it's essential to prioritize increased investment in innovation and growth.

Atomization is a growing trend in the landscape. What implications do you think this has for founders and the broader market?

Atomization of investment funding in the early stage introduces complexities for founders. When aiming to raise capital, fragmented cap tables can pose challenges in organizing rounds and establishing syndicates, making the funding process more intricate.

Proper cap table management becomes paramount, and leveraging the right tools is essential. At ACE, we have built an automated Captable calculation and documentation system that is able to reduce 90% of time currently required for the coordination of these tables.

Do you foresee private markets becoming as liquid and transparent as public markets in the future?

While the allure of private markets becoming as liquid and transparent as public ones is enticing, by definition, it's a challenging proposition. The reporting cycles in private markets differ, and their price-finding mechanisms operate uniquely. Unlike public markets, there isn't consistent price-finding on a daily or even weekly basis, presenting conceptual challenges.

However, it's worth noting that private markets have seen significant improvements and have become crucial instruments in the financial landscape. By nature, the private market remains less liquid. While we might not witness tectonic shifts in the immediate future, advancements in technology and AI could potentially influence areas like benchmarking and transaction facilitation.

Do you consider a shift towards increased liquidity and transparency in private markets to be beneficial or detrimental?

Increased liquidity and transparency in private markets are, in my view, always beneficial. When we consider the dynamics of demand and supply, it's evident that greater transparency facilitates better understanding and decision-making. As investors seek exposure to specific assets, enhanced transparency in areas like asset valuation and performance will invariably lead to more accurate and fair pricing.

In your experience with General Partners (GPs) and Limited Partners (LPs), what types of LPs and GPs have been resilient and prosperous during these challenging times?

Matias Collan

Interview with Rinzin: Bridging Traditions in Bhutan – From Remote Villages to the Capital's Pulse

Rinzin, can you tell us a little about your background? I understand you're from the countryside of Bhutan. How would you describe the particularities of your hometown in comparison to the capital?

Firstly, Thank you, Robin, for this interview opportunity, and I also would like to thank you for being part of my stories. I am from a very remote village in the eastern part of Bhutan, nestled within a pristine environment where festivals are blessings, moral responsibilities, respect, and smiles are the everyday life of the people there.

A rooster is our alarm clock, the sun's direction is our clock, the chirping of different birds and changes in stars' direction tell us the seasons, and many more.

After my studies, I moved to the capital city of Bhutan for better opportunities. As I now reside in the capital, Thimphu, of course, it’s different and changes dramatically accordingly with the rest of the world, but it is good that we Bhutanese still like to keep our age-old customs and traditions alive amid modernization and influences from east, west, north, and south.

Bhutan is a unique kingdom with a royal family. What are your thoughts on the monarchy, and in what ways do you believe it sets Bhutan apart from other nations?

Let me answer this one not only as a Bhutanese citizen but also from the view of any average human. From the beginning of the Bhutanese era, the monarchs of Bhutan have played a vital role in bringing harmony and Bhutan’s sovereignty to Bhutanese society.

Wangchuck Dynasty’s quality of “selflessness” and “genuine love and compassion” for Bhutan and its citizens, the Monarchs of Bhutan gained respect in Bhutan and worldwide.

Bhutan’s Philosophy of Gross National Happiness was gifted to Citizens by the fourth King of Bhutan and is the only country in the world that has officially proclaimed the Gross National Happiness (GNH) as a measure of the country’s progress and also for its dramatic landscape, temples, and centuries-old fortresses.

I'm fascinated that Bhutan is the first carbon-neutral country. Can you explain the reasons behind this achievement, the national sentiment towards it, and how it came to be?

Bhutan’s achievement towards a carbon-neutral country is because of the Bhutanese’s respect and relationship with the natural environment surrounding them since their forefathers. Because of the Bhutanese constitution, they must maintain at least 60 percent of their land covered with forest. Bhutan is now covered with more than 70 percent of its land with forest, making it a place that absorbs more carbon dioxide than it produces.    

Buddhism has been an integral part of your upbringing. How has it shaped your life and worldview? How often do you meditate, and in what ways do you incorporate its teachings into your daily life?

I was born Buddhist and chose to be Buddhist even though I had a choice of picking my way of life later on. It is because of Buddhism’s philosophy of studying, training and correcting your mind to make yourself a better person and to be more compassionate and loving to others.

Buddha’s teaching has always been and still is my guiding philosophy in every walk of my life, like meditating for at least 20 minutes a day, still learning and practicing the art of making myself humble, being respectful, and trying to spread love and compassion to people and animal from different parts of the world.

Before becoming a travel guide, you were a mountaineering guide and traversed the Snowmen Track several times. Can you share some memorable stories from those expeditions? How have these experiences impacted your life, and are there any specific rituals or traditions associated with these mountain journeys?

I would like to give this honorable title, “Mountaineering Guide,” to our friends worldwide who take tourists to challenging great White Mountain peaks. I am a trekking guide who takes tourists through the greater Himalayas without climbing a tremendous white mountain.

Since my society respects and worships the great White Mountains and also due to global warming and maintaining our ecosystem, climbing White Mountain peaks is banned in Bhutan. We greet mountain gods, hoist prayer flags, and pray for our luck through the mountains to mountain gods and deities every time we cross the mountain pass.

Yes, I had the privilege of leading a few groups of tourists a few times on a snowmen trek and had to rescue some of them due to altitude sickness. There was a time when we camped at a place where the only way to go at a lower altitude was by crossing a mountain pass; I had to put one of my tourists inside Gamow Bag (Potable Hyperbaric Chamber) until the rescue helicopter team arrived she got severe altitude sickness in the valley of mountains where we had no place to decent down.  

Bhutan Government and its tourism council with travel partners are well prepared for the welfare of its tourists, and there are no casualties so far. Snowmen Trek is one of the most beautiful treks I have ever done; it has stunning views of great white mountains, beautiful rhododendron and Azalea shrubs, and turquoise glacier lakes.; if lucky, you can also see the snow leopard, nomadic areas, and many more.                

You seem to have deep knowledge about Hinduism, India, and the widespread use of Sanskrit. How do you perceive the cultural connections between Bhutan and its neighboring countries, especially India?

Bhutan, a landlocked country in the Eastern Himalayas, shares a close cultural connection with its neighboring countries, particularly India. Historical, geographical, and religious factors primarily influence the cultural ties between Bhutan and India.

Historically, Bhutan and India have maintained friendly relations for centuries. Bhutan was traditionally influenced by the Indian subcontinent, particularly by the spread of Buddhism from India to Bhutan. Indian scholars, including Padmasambhava, played a significant role in introducing and disseminating Buddhism in Bhutan. As a result, Bhutan adopted Mahayana Buddhism as its state religion, which is also prevalent in many regions of India, such as Sikkim and Arunachal Pradesh.

Geographically, Bhutan shares a long border with India, and the two countries have open and accessible border crossings. This facilitates regular cultural exchange and interaction between the people of both nations. The movement of people, trade, and ideas across the border has contributed to the cultural assimilation between Bhutan and India.

Religiously, Bhutan and India have a shared heritage of Buddhism. Bhutan is home to numerous Buddhist monasteries and sacred sites, many of which have historical connections to Indian Buddhist saints and scholars. Indian Buddhist pilgrimage sites like Bodh Gaya, where Gautama Buddha attained enlightenment, also hold significance for Bhutanese Buddhists.

Furthermore, Sanskrit, an ancient Indo-Aryan language, is prevalent in Bhutan and India. Sanskrit is considered a sacred language in Hinduism and Buddhism and is utilized in religious rituals, chants, and scriptures. Bhutanese scholars and monks often study Sanskrit texts, including ancient Indian philosophical and religious texts like the Vedas and the Upanishads.

Recently, cultural exchanges between Bhutan and India have been further strengthened through tourism, educational collaborations, and people-to-people interactions. Many Bhutanese students pursue higher education in India, fostering educational and cultural ties between the two nations.

Overall, the cultural connections between Bhutan and India are deep-rooted and multifaceted. They are shaped by historical, geographical, religious, and linguistic factors and continue evolving through various interaction and exchange forms.

Having served as a travel guide and even my guide, what do you aim to showcase most to tourists about Bhutan? What aspects make Bhutan genuinely unique in your eyes?

Firstly, I am happy and honored to be your guide in Bhutan. Tourism is a field I am more aware of, and I have my wishes and aims that I want to showcase to tourists visiting Bhutan. Thank you for the questions. I want to write a few points on my aim to showcase Bhutan and the things I know Bhutan is genuinely unique in my eyes:

 Bhutan is renowned for prioritizing the happiness and well-being of its citizens over economic growth. The concept of GNH, coined by the Fourth King of Bhutan, emphasizes sustainable development, cultural preservation, good governance, and environmental conservation as the pillars of national progress.

 Bhutan is recognized as a global leader in environmental preservation. It is one of the few countries with a negative carbon footprint, which absorbs more carbon dioxide than it emits. The country has a constitutional mandate to maintain at least 60% forest cover, and it places significant importance on protecting its rich biodiversity and ecosystems.

 Bhutan has managed to preserve its unique cultural heritage and traditions. The Bhutanese people take great pride in their distinctive dress, architecture, traditional festivals (such as Tshechus), and a deep-rooted reverence for Buddhism, the state religion.

 Bhutan has long maintained a policy of controlled tourism to protect its culture and environment. Until recently, the country imposed strict regulations on foreign visitors, including a daily tariff. While the restrictions have eased to some extent, Bhutan still limits the number of tourists allowed yearly, ensuring visitors a more exclusive and authentic experience.

Rinzin Tsheten

Introduction to Armend Avdijaj: From Chestnuts to Data Streams

Armend, can you briefly introduce yourself?

Thank you for the invitation; I'm delighted to participate in this interview. My name is Armend Avdijaj, and I'm currently in my mid-30s, living with my wife and two children. I hold the position of CEO and Co-Founder at GlassFlow, a startup specializing in data streaming infrastructure that I've been developing alongside Ashish Bagri. My journey in the startup world began in 2012 when I joined Mister Spex, and prior to GlassFlow, I had another startup where we created a data tool for influencer marketing. My educational background includes a degree in business administration and a master's in IT management. My experience with my previous company around data infrastructure and my studies in IT management has been the foundation for what I do today with GlassFlow. I have a deep passion for continuous learning, particularly in observing the meaningful impact data can have on every business decision. Especially the movement from the “unknown” to getting more light in the dark by being able to put data in the picture. I feel incredibly fortunate to combine my passion for data solutions with my childhood dream of becoming an entrepreneur.

Your first entrepreneurial experience involved buying and selling chestnuts at a Christmas market. With chestnuts readily available nearby, what inspired you to sell them?

Just a few weeks ago, I shared the story that my mother told me with my 2 boys. I was just five years old, and my parents took me to a Christmas market. At the market, they bought chestnuts for me. The following day, I couldn't help but wonder why people were paying for chestnuts when there were trees right in front of our house with plenty of them. So I collected them the next day and sat on a blanket in front of our house waiting for someone to buy them. To my delight, a few kind-hearted ladies passed by, and even though they knew these chestnuts weren't for eating, they handed over real money in exchange and I could buy myself some ice cream.

You've been known for your proactive initiatives, like organizing large school parties and managing sponsors and insurance. What drove these ventures?

The experience I had as a child with the Chestnuts and the excitement that grew with me with the mantra everything is possible drove me to try some ideas during my studies. The first one was during my studies (I was 19), hosting school parties with my flatmate at exclusive locations for 800 to 1000 people. In a matter of weeks, we navigated the entire process, which included conducting surveys, developing a website, officially registering a company, crafting a financial plan, raising funds from both family and friends, securing music acts, and obtaining sponsorships from entities such as banks, gyms, and insurance companies. It was a delightful experience seeing that so many people trust a 19-year-old to run those kinds of events.

After moving to Berlin and completing your Bachelor's degree, you joined Mister Spex. During this period, before pursuing your Master's, you delved into areas like Marketing Data Warehouse, TV Tracking Solutions, and Customer Journey.

What key insights did you gain about the analytics-driven nature of marketing?

Those years at Mister Spex have been extremely rewarding for me.  In a relatively brief period, I gained extensive knowledge on leveraging data for marketing decision-making. This time allowed me to develop a deeper comprehension of customer centricity and how to bridge the gap between user experience and the available data, all with the overarching objective of creating a mutually beneficial scenario for both users and our company. I give you an example: If you look at typical purchase data, which includes order frequency, product categories, profit margins, and marketing channels, you gain valuable insights, but it only reveals half of the story. What's often overlooked is the user's journey – how they discovered our product, the number of days it took them to make a decision, which product features influenced their buying decision, and the various user personas utilizing our shop in different ways.

How would you contrast the performance-driven marketing of then to today's practices?

There have been a lot of changes in terms of new platforms that arose and more tools are available than ever to optimize every detail of the funnel and marketers must be aware of them. However, the most substantial changes and challenges, in my view, revolve around the emergence of new persona groups, each with distinct expectations regarding your product, communication, and your company as a whole. Additional factors have come into play, such as sustainability, the language you use, response speed, personal branding, and more. This dynamic shift reinforces even more that marketers when looking into performance need to take into account the customer experience.

You founded Sponsokit, which began as a marketplace. What prompted the shift to a data tool?

In the initial stages of our Sponsokit journey, we achieved significant success. We managed to attract top-tier influencers and facilitated collaborations with brands through our marketplace. We as a founding team have been very data-driven and optimized every step of the user journey, which resulted in very strong growth. However, we eventually encountered a roadblock that left us puzzled. Companies weren't increasing their budgets for our product as we had anticipated. We didn’t understand why companies were not growing their budgets on our product. So we went into research and we learned a good point. These companies were indeed allocating more resources to influencer marketing, but after several rounds of using our product, they began hiring influencer marketing managers. These managers were tasked with involving influencers not just in product placements but in the entirety of the user experience, including activities such as creating limited-edition products, establishing long-term exclusive partnerships, and coordinating events, among others. We understood that is something we won’t do and agencies seemed like a more suitable fit for these objectives. However, the issue of identifying new influencers and managing relationships within spreadsheets became increasingly problematic. To address this challenge, we collaborated with our top clients to develop an influencer marketing data tool. This tool empowered companies to search for influencers worldwide and efficiently manage deal pipelines across their teams.

At its height, 500 active companies were listed on the platform. Do you have any notable or humorous influencer stories to share from this time?

Yes, too many. One I have in mind that made me rethink my journey a lot was the following one. There was a very well-known 18-year-old YouTuber from Cologne (Germany). He began collaborating with top brands through our marketplace and, within three weeks, earned around 30,000 EUR. Then, one day, he unexpectedly showed up at our office with 2 more YouTubers and wanted to talk to me. During our discussion, they proposed that I became their manager and shared their ambitious plan to rent a six-bedroom apartment in Berlin, where they intended to record 24/7 videos with emerging YouTubers. I immediately made clear that is nothing I would like to do and they left. Unfortunately, a few months later I heard he went to rehab and it took him a while to recover. This particular moment in my life left me uncertain about whether my company's activities were truly beneficial for young people or not.

The transition of Sponsorkit to an analytics tool stands out. Why did you decide on this change, and how did it shape the company's trajectory?

Our decision to pivot stemmed from a clear trend we observed in how companies were engaging with influencers Initially, their primary challenges revolved around locating influencers, establishing collaborations, generating reliable reports, and re-engaging with influencers. As companies aimed to scale their influencer marketing efforts, this process became increasingly disorganized. It became clear to us that our product needs to adjust to the new needs of the companies. This decision wasn't without its difficulties, as we already had clients who regularly utilized our marketplace for their monthly spending.  However, we recognized that in the long run, there is no option than building the data infrastructure for these companies.

Consequently, we executed a pivot, creating new software, changing our communication entirely, adjusting how we manage sales and switching from a transaction-based commission to an annual subscription for new clients. This strategic shift proved to be highly beneficial. Within two months, we developed a minimum viable product (MVP), and we promptly began securing our first annual subscriptions with new customers.

In the ever-evolving domain of marketing, how do you strategize the best allocation of

Are resources available for API, Scraping, ML, and AI tools?

The pandemic made you switch your business model from monthly to annual subscriptions. What influenced this decision?

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