Sequoia Cao Xi: Making Investment Is Like Doing Math Problems, Which Makes Me Close To The Truth Of Business

In the history of China's local venture capital industry, Sequoia China is worthy of heavy color from the perspective of history, performance and self evolution.

One of the lowest investment ideas of Sequoia is to cover the whole chain and all stages, and to be the earliest and most important enabling investor for entrepreneurs.

In such a diversified organization, each investor has a different understanding of investment. Cao Xi, a partner of Sequoia Capital, said, "I think the investment is a mathematical expectation of the value of the project."

Cao Xi is a post-85, together with Guo Shanshan and Zheng Qingsheng, is responsible for the investment of Sequoia Chinese seed fund.

It means that Sequoia's formal capital investment chain from June to June is more flexible, which means that Sequoia's investment in June will be more flexible.

The reporter of 21st century economic report learned that since its establishment more than two years ago, Sequoia China seed fund has invested in more than 70 projects, including enterprise services, science and technology, medical it, education informatization, education, consumption Internet, etc.

In November this year, Cao Xi talked about his thoughts on VC market, new generation of investors and personal growth of young VC.

21st century: what changes are taking place in VC industry?

Cao Xi: This is my 10th year of investment. If the investment is compared to a mathematics paper, from the point of view of the efficiency of scoring in unit time, when we first enter the industry, there are a lot of questions in front of us. Generally, we will do those multiple choice and judgment questions which are easy to get points, because in this case, the rate of return on time investment is the highest.

With the Internet industry entering the deep-water area and the second half, this paper has reached a relatively complex part, with many investment themes that are more technical, more in-depth thinking and more investigation and research. It's more necessary to do the hard and right things.

This is the biggest difference and change between me and the past.

But on the other hand, there is no essential change. In the final analysis, investment is still done in mathematical problems, just like when it comes to application problems, what changes are the "bucket", "train" and "chicken and rabbit" in the stem, while the number itself does not change.

21st century: what can be called intergenerational characteristics in the investment style of post-80s investors?

Cao Xi: I think the style differences between different generations of investors are essentially influenced by the theme of the times.

In different times, whether investors have enough insight, whether they are lucky enough and hard enough to identify and grasp the most important context of that era is particularly critical.

Therefore, the so-called "intergenerational difference" is actually "the difference of times". How do you face your own needs?

"21st century": Top VC firms have experienced for many years, what is the biggest harvest in Sequoia?

Cao Xi: Sequoia is an institution with high information density and energy density. I am very grateful for the opportunities, opportunities and resources that Sequoia has brought to me. It is very lucky for young investors to grow up on such a platform.

The biggest gain in Sequoia is the opportunity to be closer to the truth of the world, especially the business world.

Whether it's talking to the founders of 10 billion dollar or 100 billion dollar companies, or seeing some enterprises that have "raised high buildings, entertained guests, and collapsed buildings," these processes have been very fruitful. In addition, investment institutions can see the development process of many different enterprises in a "multi thread" way. It's very helpful for individuals to build a sense of the business world and even the world as a whole.

21st century: what are some suggestions for young investors who are new to the industry?

Cao Xi: first, look and think more, work hard, have enough curiosity, be realistic and pragmatic;

Second, deep thinking and unity of knowledge and practice;

Third, we should have the courage to do different things and challenge the rules and regulations.

Finally, gradually clarify their own values, it is the methodology of methodology, many things will be a choice of values in the end.

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