David Weisburd sits down with Steve Chasan, the Head of Investment at the Rothschild Foundation and for other philanthropic endowments led by Lord Jacob Rothschild. In this episode, they go deep into the LP mindset, covering the best practices he looks for in GPs and emerging managers, whether pricing discipline exists in VC, and describing the conversations LPs are having internally that GPs never get to hear. If you’re ready to level-up your startup or fund with AngelList, visit www.angellist.com/tlp to get started.

(0:00) Episode preview

(1:51) Steve’s evolution from philosophy to finance to the endowment side

(2:51) Steve describes his approach and the challenges of being an LP at an endowment

(4:13) Why is it that now is a good time to invest while people are having trouble fundraising?

(5:41) Diversification and the Swensen approach, which many institutional investors follow

(6:51) The principal-agent problem for LPs and GPs

(9:22) What are some best practices that LPs look for in GPs, outside of returning 10x? And what should GPs avoid?

(10:12) Style drift

(12:56) What are some ways LPs can differentiate themselves in the market?

(13:58) Steve’s LP perspective on co-investing

(15:28) Does studying philosophy offer an investing advantage?

(16:47) Sponsor: AngelList

(17:52) Which things do VCs systematically get wrong?

(20:50) Steve’s predictions for venture over the next 5-10 years

(22:00) How can VCs prepare themselves for this reset

(23:20) What technologies and sectors is Steve really interested in right now, with great upside.

(25:51) Investing in AI

(27:25) Advice and best practices for emerging managers