"The biggest secret in venture capital is that the best investment in a successful fund equals or outperforms the entire rest of the fund combined." Thiel emphasizes the importance of understanding the power law in venture capital, where a small number of investments yield the majority of returns. This means that VCs should focus on finding and backing companies with the potential for exponential growth rather than diversifying their investments. | Peter Thiel | Zero to One

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The Power Law in Venture Capital

"The biggest secret in venture capital is that the best investment in a successful fund equals or outperforms the entire rest of the fund combined." Thiel emphasizes the importance of understanding the power law in venture capital, where a small number of investments yield the majority of returns. This means that VCs should focus on finding and backing companies with the potential for exponential growth rather than diversifying their investments.

-- Peter Thiel