QED Chronicles: Lessons Learned from a Top VC for Selecting New Managers with Alex Edelson

This week on Swimming with Allocators, Earnest and Alexa welcome Alex Edelson, Founder & GP at Slipstream Investors. During this episode, Alex shares the foundational insights from his days at QED that lead to the inception of Slipstream. He highlights that many of the best-performing funds are smaller, emerging managers rather than big-name brands, yet evaluating smaller funds can be challenging due to limited track records. He defines Good LPs and Great LPs and goes into detail on his evaluation criteria for selecting new managers for the fund of fund. Also, don’t miss our insider segment as Nik Talreja of Sydecar.io also highlights the resilience of VC deals, emphasizes the diversity beyond AI in successful startups, and foresees technology's disruptive impact on investment syndication.
Highlights from this week’s conversation include:
Alex's experience as a VC turned LP (0:51)
Insights into evaluating smaller funds (2:20)
Characteristics of a good LP (6:44)
Role of an LP as a sounding board (8:06)
Constructing an LPAC (10:39)
Continuing relationships with funds (12:15)
Pitch to LPs for Slipstream Investors (14:17)
Evaluating Emerging Managers (18:53)
Sector-Focused Funds (24:05)
Insider Segment: Navigating Venture Capital’s Evolution (25:45)
Diversification of Investment Opportunities (28:35)
Future of Venture Capital (30:38)
Fund Management and Responsibilities (34:45)
Active Investing and Fund Sourcing (35:33)
Optimal Time for Venture Investment (37:08)
Final thoughts and takeaways (38:26)
Alex Edelson is the Founder and General Partner of Slipstream Investors. Before starting Slipstream, he worked at QED Investors, a top fintech-focused venture capital firm with $4.3 billion in assets under management. Alex joined as Nigel Morris's Chief of Staff and became the Chief Operating Officer and General Counsel. He previously worked at a fintech startup and spent seven years practicing law. Alex holds a J.D. and B.A. from the University of Michigan. Learn more at www.slipstream investors.com.
Sydecar.io is a frictionless deal execution platform for venture investors. Our platform handles back-office operations for venture investors, automating banking, compliance, contracts, and reporting so that customers can focus on making deals and building relationships. Learn more at www.sydecar.io.
Swimming with Allocators is a podcast that dives into the intriguing world of Venture Capital from an LP (Limited Partner) perspective. Hosts Alexa Binns and Earnest Sweat are seasoned professionals who have donned various hats in the VC ecosystem. Each episode, we explore where the future opportunities lie in the VC landscape with insights from top LPs on their investment strategies and industry experts shedding light on emerging trends and technologies.
The information provided on this podcast does not, and is not intended to, constitute legal advice; instead, all information, content, and materials available on this podcast are for general informational purposes only.