"Broken" here is from the perspective of the investors in VC funds, it refers to a report available here:<p><a href="http://www.kauffman.org/uploadedFiles/vc-enemy-is-us-report.pdf" rel="nofollow">http://www.kauffman.org/uploadedFiles/vc-enemy-is-us-report....</a><p>tldr; only 20% of the VC funds used by this one investor (the Kauffman foundation) returned more than average market returns over the last 20 years.