I didn’t think that identifying the good bets was what YC was wanting to do? Sam mentioned a couple of days ago that if YC was doing their job right the median long term valuation of all YC companies should be 0 (i.e. more than half should fail). Unless you are able to invest in all YC companies, then as "dumb money" you are very likely to end up investing only in the duds.
this is of course, assuming that VC money is any smarter than LP money. But is it really? Many LPs are successful business people or investors themselves. VCs are closer to the action and get better deal flow, but keeping deal flow constant, they are no better at picking stocks than my betta fish
