Markets rise, and markets fall. This much, at least, is well-known. But why do market cycles occur? What causes the pendulum to swing from euphoria to crisis and back? Hyman Minsky was a 20th-century economist whose ‘financial instability hypothesis’ is probably the best-known explanation for the boom and bust cycles that characterize public financial markets. But there’s far less examination — in fact, there's almost none — of how Minsky dynamics apply to
I've read this 5-6 times since you published this and am surprised by how prescient this was. Elongating time between rounds, higher percentage of down / bridge rounds (source: https://carta.com/blog/state-of-private-markets-q3-2023/), slower fundraising (Tiger's and Insight's botched raises) all happening pretty much as posited.
I've read this 5-6 times since you published this and am surprised by how prescient this was. Elongating time between rounds, higher percentage of down / bridge rounds (source: https://carta.com/blog/state-of-private-markets-q3-2023/), slower fundraising (Tiger's and Insight's botched raises) all happening pretty much as posited.