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Andreas Birnik

Passionate about building and scaling technology companies

Andreas Birnik is a seasoned entrepreneur with a passion for building and scaling technology companies. He is the founder of The Modern Wine Club under Modern Wine Group, which offers a premium wine club experience at affordable prices by leveraging member buying power and a precision matching algorithm. Andreas has a rich background in venture capital, having been a Partner at Antler, where he was instrumental in scaling the fund to 9 locations and making over 200 investments in B2C and B2B companies. Prior to this, he was involved in the early days of FortuneCity, a pioneering dot com unicorn. He has a history of collaborating with successful serial entrepreneurs and has held leadership positions in various companies in the telecommunications sector. Additionally, Andreas has a strong academic background, having taught at the National University of Singapore Business School for several years and published numerous articles in scientific journals. He holds advanced degrees from prestigious institutions like Harvard University, Stockholm School of Economics, and Cranfield University. Andreas has lived in 11 countries and traveled extensively around the world.

Highlights

May 6 · linkedin

Aileen Lee is back with a recap of The Unicorn Club ten years after first coining the term. A few notable observations:

Unicorns ballooned 14x in the past decade, from 39 to 532! They now serve a wider array of sectors (we’re tracking 19) from climate and crypto to vertical SaaS.

The pendulum swung hard to enterprise (78%), the inverse of 2013.

It’s a bloated herd that will thin in coming years (likely to about 350) because… • A whopping 93% are ‘Papercorns’ - privately valued companies.  • 60% are ‘ZIRPicorns’ - their last valuation is from ‘20-22, when interest rates were near zero. Many are running out of runway. • Many are on the cusp: 21% are valued just at $1B (sorry?!) • ~40% are trading below $1B in secondary markets.4 • BUT. There is lots of substance in this herd. • And we see evidence of a Software Unicorn Power Law - the US will be home to more than 1,000 unicorns by 2033.

There’ve been very few exits - only 7% (35 companies) vs. 66% a decade ago.‍

Capital efficiency declined significantly. This will be bad for exits, venture returns, founders and employees. ‍ OpenAI looks to be the 1st superunicorn of the decade, and AI likely the megatrend.

May 6 · linkedin

On Saturday, Warren Buffet's Berkshire Hathaway held its annual meeting for shareholders. The event has been called "Woodstock for Capitalists" after the movie from 2005. But how well has the "active" stock-picking strategy of Warren Buffet held up against the "passive" strategy of simply putting one's money into an S&P 500 index fund like Vanguard's VOO ETF (with 0.03% fees)? It turns out not that great with the S&P 500 Index actually outperforming the "Oracle of Omaha" over the past 20 years.

Adjusted for fees (e.g. management fee, carried interest), the S&P 500 is arguably the key index to beat when you are investing - whether in public equity, private equity or in venture capital.

Andreas Birnik
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Location

Singapore