Where there's money to be made, you'll find investors…ok, hedge funds.
Jeff Hoffman keys on startup success (Photo credit: TechCocktail)
Leena Rao's TechCrunch article yesterday on the return of hedge funds to startup investing identifies a trend that we all felt was happening but didn't necessarily have the high-profile example to jog us. When Snapchat, the hot social app reportedly rebuffed a $3 billion dollar buyout offer from Facebook and instead, turned to go it alone by raising a $50 million round, it did so not by turning to venture capitalists.
Snapchat raised its money from a hedge fund (from Coatue Management, to be exact).
And there are other examples of hedge funds leaving the world of public market investing to place their bets on startups:
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