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Comment by TheRealPomax | Hacker News Reader

Remember: Hacker News is not a financial service, and people upvoting articles about financial behaviour is not the same as financial advice. If it sounds too good to be true, it probably is, and was probably written by someone who mistook the luck of doing the right thing at the right time for a transferable skill.

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boasting about a 15% annual return with an illiquid stake in a early to mid stage private tech company is the opposite of “too good to be true”

I'm a little slow this morning but am having trouble parsing what the opposite of "too good to be true" is. Too bad to be false?

meaning it's plainly bad

the risk you take to earn 15% is way too high to justify such a small return. if you want to earn 15% just invest in some REITs and call it a day

Could you please expand "REITs"? (no clue what a REIT is)

REITs are "real estate investment trusts." Basically they are stocks in companies that own tons of property, bring in large amounts of rental income, and have to pay out a percentage as dividends. Many people like them for that guaranteed dividend.

Creating a 20-years projection based only on data after the crisis of 2008/2009 might not be wise.

And pitching small stocks (which appear to be unlisted) that return 15% yoy - sounds rather shady.

Predicting that a company will grow at 10% a year forever (never flat, never down) when their growth has been steadily falling their entire history is particularly presumptuous.

Yes, big question if Buffer represents average return profile for "late-stage SaaS"... time will tell!

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