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bussgang I find the preponderance of males in VC an annoying and stubborn phenomenon.  When I first entered the start-up game as an entrepreneur in the mid 1990s, I didn't think much of the "VC gender gap" as there were plenty of women executives around.  In fact, between one third and one half of the executive teams at my two start-ups (Open Market and Upromise) were women.

As the father of a capable, ambitious daughter, perhaps I'm over-sensitive to the issue, but since becoming a VC seven years ago, I find it amazing that only 5-10% of the VC industry is made up of women.  Only 25% of all VC partnerships have a single women partner and only 7-8% have more than one women partner.  Anecdotally, even fewer women are "management company GPs" as opposed to "employee GPs" - in other words, true owners of VC funds as opposed to deal partners.  What other major industry remains 90-95% male-dominated?  What's the deal?

An outstanding Kauffman Institute study, “Gateways of Venture Growth”, analyzes this issue and comes up with some thoughtful but unsurprising conclusions.  They point out that the industry remains very clubby, and the lack of female role models creates a self-perpetuating cycle. Professor Myra Hart of Harvard Business School writes, “Women trying to launch or further careers as VCs have fewer first-degree connections with those (men) in positions to hire or promote them.”

Another issue that holds women VCs back is the fact that the academic backgrounds of VCs tend to be in technical areas, such as computer science, engineering and biotechnology where, again, females are in the minority.

In talking to my women VC friends, they reinforced these two major issues, but held out some cause for optimism going forward.  Irena Goldenberg of Highland Capital in Europe (an formerly an associate with us at Flybridge Capital before she went to HBS and then Geneva), believes there are more female VCs in life sciences as the medical field has a higher ratio of women to men then, say, engineering.  Our senior associate, Robin Lockwood, told me she thinks VC profiles simply lags entrepreneur's profiles.  As more women entrepreneurs emerge, more women will become VCs.

Here's a thought-provoking observation that an anonymous woman pointed out to me (and please do not accuse me of channeling Larry Summers on this - I'm just passing along what I heard):  she believes the VC industry is male-dominated because men are more wired to take risks than women.  Gambling, she points out, is more popular amongst men than women.  Thus, risk-taking with capital is more likely to be comfortable for men than women.

Some women have been able to break out as strong investors and industry leaders.  In my informal survey, a few experienced women VCs stood out as strong role models:  Venetia Kontogouris at Trident Capital, Annie Lamont at Oak, Patricia Nakache at Trinity and Nancy Schoendorf from Mohr Davidow.

I guess when you have a clubby, tightly-woven, self-perpetuating network, it's hard for women to break in.  It's a stubborn phenomenon, but I hope we can figure out how to correct it.  Otherwise, our industry is tragically losing out on 50% of the world's best talent!
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Posted by Jeff Bussgang at Oct 20, 09 10:50 PM | Permalink
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Emeri Gent
[Em] 10:41am:  When we talk about a "gender gap" it is still principally focused on the body, and society still focuses on the body.  If we can forget about the gender thing downstairs and just concentrate on the human mind, there is a very different perspective to discovery.

What I love most of all is intelligent women, and to appreciate intelligent women, one must make an absolute conscious effort to look for them.  I am afraid this talk of bodily difference cuts zero mustard with me.  I totally agree with the sentiment of Jeff Bussgang's last line. 

Let me focus on the reality of appreciating masculine and feminine intelligence as a whole.  There is no need to go Yin and Yang on this but do something far simpler, such as surveying our twitter preferences:

When I study who Jeff Bussgang follows on Twitter, I get an instant snapshot of intelligent women that inform Bussgang cerebral intent.  This is not about the person but the reality we all need to change.

At the time of survey Jeff Bussgang (using for example only) is following 83 people or entities. 

78% of those Twitter mindsets are MALE
15%
of those Twitter mindsets are ENTITIES (Brand or Organizations)
  7%
of those Twitter mindsets are FEMALE

That means that on five occasions during 83 requests to follow someone, Jeff chose a female mind less than the number of fingers he has on his hand.  This is not something isolated that Jeff Bussgang does, but is common to everybody.  It is the prevailing mindset and it is also fed by our media.   This is not fed by Indian media or Israeli media because they have had female leaders elected to their highest political office.  This is a western thing and not a zen calling.

What I write about here is my cerebral intent, it is review of my own perspective.   Having written this, I will look at these words later and ask myself if this really represents who I am, never mind who I want to be.   The road to wisdom requires an introspection which is not easily undertaken, but the road to wisdom should not involve calling others to notice what they are doing. 

Jeff Bussgang in his note above has already shown more wisdom in regards to the place of women in the world of Venture Capital, but it is a perspective born of suffragette mentality.  Our gender parts emit physical substance, it is our minds which emit intelligence.  For sure that we are all equal in our inequality but intelligence is a choice that requires us to appreciate the 50% of thinking we have typically rejected or ignored.

When biology students look at a female brain and a male brain, I am sure they principally see one huge similarity, both are capable of incredible feats of intelligence.

[Em] 10:59am
Emeri Gent – November 2, 2009 07:53 AM
Jack_Strong
There are significant valid reasons why women are not represented nearly equally in venture capital, or business management for that matter, but they are all politically incorrect.

(1) Women on average are innately less capable than men performing quantitative analysis and analysing spatial relationships. This well documented fact, verified through numerous credible studies involving infants and very young children, means women are less likely to earn technical degrees, which is pretty much essential to becoming a venture investor or a member of top management.

(2) The female psyche is innately oriented to nurturing young, whereas men are innately oriented to hunting and procuring sustenance. Nurturing young infants is a solitary role, where the woman tenaciously guards her babies, whereas hunting evolved as a role requiring cooperative group behavior. For this reason, men have evolved psyches that are better at working cooperatively in a professional environment than women.

(3) Women have physically debilitating monthly menstrual cycles, which render them emotionally volatile for significant percentages of their working life. This, along with their highly territorial nature based on evolving as protectors of their infants and children, also tends to diminish the relative ability of women to work productively in a professional environment.

(4) Many women opt out of the workforce to have children, which further diminishes the pool of capable women. Indeed, it is too bad more women don't opt out of the workforce, because in aggregate, intelligent women are essentially committing voluntary genocide by failing to reproduce.

When you take all of this into account, the reality is that capable women are paid more than equally capable men. They are the benficiaries of reverse discrimination in many institutionalized forms. While there are many very capable, excellent examples of female executives and venture partners, and while this politically incorrect analysis in no way intends to diminish the value of their contributions to society, the reality is unless women grow more quantitatively adept brains and men develop the ability to get pregnant, the minority status of women will only be remediated through unnatural and ultimately futile legislative means.
Jack_Strong – November 3, 2009 02:12 PM
Emeri Gent






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[Em] 10:13pm


I don’t have any reason to write this when I should be focusing on getting on with my own life, other than having read what Jack Strong wrote, left me deeply wondering whether any studies have been done regarding what a penis does to the collective consciousness or at least if it provides one gender a feeling of “fact-based” superiority.
 
The idea of “valid reasons” makes no sense to me when neuroscientists claim they haven’t even begun to fathom the power of the human brain.  I read this story today from an Alltop tweet about a woman born with half a brain and found delight in its overall implication:


RT: GuyKawasaki : Woman lives full life despite being born with half a brain http://om.ly/cQKB
 
For IMHO what is the point of citing any prior studies when the rewiring of the human mind depends on the promise of the 21st Century rather than the continued scars of 20th Century thinkers that have clawed into dark marks of human history?  We are yet to fully understand what it means to enter an age where cerebral transformation is more dominant because of new ways of engaging both sides of our minds that an information ocean future portends. 
 
In the article above, the point is driven home how this particular story has turned medical thinking upside down.  Medical thinking about human behaviour and our mental fitness will be re-written not just because Steve Jurvetson is investing in serious human-interface technologies or that Ray Kurzweil has predicted far more dramatic human transformation, but because we really are beginning to know that what we don’t really know, no matter how many studies makes us feel that we breathing the air of pregnant certainty.
 
I am tired of the word “political correct or incorrect”.  Even the boys-club venture capitalists are slowly being replaced by both a venture industry shakedown and by other adult VC’s such as Fred Wilson who refuse to live in this self-serving bubble or allow themselves to be led by such socially limiting beliefs; and how VC culture became so stereotypical is not important at all, if we are to spare our own attention away from the superfluous and/or redundant human behaviours, which today are the self-crowning royalty of modern entertainment.
 
What appears as “fact” to me is that I see people like Jeff Bussgang are turning “venture capital” into “vision capital”, to allow all of us who are not tethered to the past to enable and envisage a future from perspectives that befit and grace the dynamic promise that is the 21st Century.
 
We have at least two years to shift from this pre-21st Century thinking, to human thought that revolutionizes the way we engage our world, otherwise IMHO the gig’s up on life venture (not just VC) and we may all go to the giant toilet in the sky in the final flush of our collectively exercised ignorance.  Gigglers with lots of empty money need not apply for visa’s for this passport of human transformation, but Jurvetson, Wilson, Bussgang – they are already on this flight towards imagining (if not investing) in new collaborative possibilities and the potential for dynamic (not simply competitive) advantage. 
 
As for me, why I am contemplating long-term transformation right now is beyond me, especially since I have significant stuff to think to simply navigate a period of personal short-term transformation. 
 
I thank Jack Strong for feeding me this steak of attention and I am foolish for lapsing in my own concentration to take this bait, but what I can’t have is me thinking about what Jack Strong said, when I really need to be focusing on key decision points that affect my own life right now . . . (again, I wish all a happy new year to all, and hopefully writing this, got this particular fly in the ointment kind of distraction out of my own system while I get back to some personal basics that writing all of the above sure does not serve me one iota).
 
[Em]
Emeri Gent – November 22, 2009 07:16 PM
 
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