The Gridline blog

Explore the latest private market insights and company updates.

The Upside of Private Market Illiquidity

Liquidity, or the ability to quickly turn an asset into cash, is conventionally seen as a desirable trait. It’s what […]
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Think Twice Before Investing Pre-IPO Via Employee Equity

The 60/40 portfolio, comprised of 60% stocks and 40% bonds, has been the bedrock of many investors’ portfolios for decades. […]
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The Costs of Missing Out on Private Markets

In a downturn, many investors look for the perfect moment to enter the markets. Even worse, around 42% of Americans […]
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Why Even Well-Informed Stock Pickers Underperform

Retail and institutional investors alike have long been enamored with stock picking. On the surface, the logic is simple: find […]
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Why Diversification is the Only Free Lunch in Finance

“There’s no free lunch” has been a mantra of finance for nearly a century. The Fed came to that realization […]
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Short-Termism in Public Markets and the Benefits of Private Markets

Mandated quarterly earnings reporting and activist investor pressure have created a short-term orientation in public markets that is detrimental to […]
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Top Five Investment Mistakes That Could Haunt You For Decades

In August 1998, Long-Term Capital Management (LTCM), a large hedge fund, collapsed. LTCM had taken on too much risk and […]
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Why the Last Stock Market Bull Run is Unlikely to Repeat

From March 2009 to the beginning of 2022, we saw a highly unprecedented bull run in the stock market. This […]
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The End of TINA (“There is No Alternative”): Private Markets, Not Bonds, Are the Alternative

The refrain “there is no alternative” is favored by politicians to market pundits when faced with tough decisions. “TINA” has […]
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Why Long-Term Strategies Are Gaining Popularity

Relatively illiquid private market assets consistently outperform their more liquid public market counterparts. For example, the median private equity fund […]
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Gen Z’s Unparalleled Interest in Alternative Investments

In the 1980s, certificates of deposit returned double-digit annualized returns. Today, young investors are losing money. Inflation is at 8.3%, […]
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Mitigating Early-Stage Investing Risks

Investing in early-stage companies demands a healthy risk appetite. Seven of ten investments will fail to return the money invested, […]
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Why Return Dispersion Holds the Key to VC Success

In global equities, managers in the top quartile generate an annualized return of around 12.5%, while bottom performers produce 10.7%. […]
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How to Use IRR to Measure Fund Performance

IRR, or the Internal Rate of Return, is the gold standard for measuring fund performance. In a nutshell, IRR is […]
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Mitigating Adverse Selection in Investment Platforms

Adverse selection occurs in any market where one party has more information about the quality of a good or service […]
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