Benchmark's five general partners gathered at TechCrunch Disrupt to discuss their investing approach in a frenzied market. Despite rivals accelerating, the firm maintains its deliberate pace of just two or three new bets per year per partner. The San Francisco-based venture firm announced $2 billion across two funds this summer, only the second time in its 31-year history it has raised vehicles larger than its traditional size.
Peter Fenton explained that the core fund's craft—working closely with founders at the beginning—hasn't changed, though it recently inflated from $500 million to align with the current economy. The new $1.25 billion growth fund expands their mandate beyond early-stage. Fenton favors a concentrated portfolio of four to six, perhaps seven to eight bets, noting that one or two investments could generate 90% of returns.
Ev Randall, who previously worked at Founders Fund, Bond, and Kleiner Perkins, highlighted Benchmark's small partnership structure. She contrasted it with hierarchical firms, describing Benchmark as a group where partners admire and learn from one another. The partners remain unfazed by economic warning signs, viewing many as X-fueled hysteria, and continue holding agenda-free Monday meetings.
Source: TechCrunch Venture · Summarized by HeadlinesBriefing