Pushing for maximum requires us to go beyond statistical observations to focus on the levers of action that unlock the full expression of potential.
The idea that power law returns are a 'driver' is an oversimplification; it is a consequence, not a proactive driving force.
True performance stems from decision-making quality and rigor in allocation, notably the ability to identify and invest in companies that can navigate regulatory constraints and reach a global scale.
For example, focusing solely on the 'power law' as a driver of venture capital strategy may cause us to overlook thorough due diligence and active management crucial for cross-border flows and policies in mainland China that create unique return asymmetries in Hong Kong.