Invest What You Understand

Shaan Puri shares his evolved investment strategy, explaining why he's become more selective with his investments as his podcast's popularity has increased his access to opportunities.

• Investment Philosophy Evolution:

  • Previously invested in both understood and less understood opportunities
  • Now only invests in thoroughly understood opportunities
  • Reasoning: "I have 2 options - I can either invest in things I really understand or I can invest in things I don't understand"

• Current Investment Position:

  • Podcast popularity has increased deal flow significantly
  • Available opportunities now exceed his investable capital
  • Quote: "now the number of opportunities that I do understand are so large they exceed my investable capital"

• Key Decision Making:

  • No longer needs to take risks on unfamiliar opportunities
  • Direct quote: "I don't have to do shit I don't understand anymore"
  • Focuses on quality over quantity in deal selection

• Investment Criteria (shared by Sam Parr):

  • Evaluate the core idea's importance
  • Look at other investors involved
  • Assess the founder's competence
  • Verify if they have the necessary "attributes" to succeed

• Founder Requirements:

  • Must have distinctive attributes for success
  • Either needs to be:
    • A genius (like Peter Thiel)
    • Charismatic enough to build teams
    • Have deep domain knowledge
  • Quote: "you need some attributes as Conor McGregor once said"