This is basically saying, "Let's package together a bunch of volatile high-risk, high-return investments in a completely unregulated market and sell that to people".<p>Seems like Silicon Valley financiers are beginning to think like Wall Streeters.
Interesting name for the fund. Maiden Lane LLC was the bailout vehicle created by the Federal Reserve during the credit crisis, named after the street address of the NY Fed.
This is an interesting variation on the sidecar concept. It makes sense to look for ways to leverage the efforts of skilled angel/pre-seed investors.<p>These high-skill investors often add significant value through mentoring, introductions, and so on. Anything that encourages that and gives them more ability to do that is a very good thing in my view.
Interesting the focus of AngelList continues towards the investors...last year it was syndicates and now a funds of funds. Before it was focused on the Startups/entrepreneurs...deal flow/recruiting/accelerators...have they completely tapped out the opportunity to help the entrepreneur? I don't think so...
So... venture capital? The difference between angels and VC is that angels are investing their own money and VCs are general partners investing on behalf of their limited partners (investors). Not a new experiment at all, it's just smaller scale VC.