What I don't get, economically speaking, is how we can both be in a bubble and in a barely recovering economy. In other words, how do these angels and VCs still have that much money to invest in such companies?
They need investment opportunites and investing in real estate probably isn't popular. Hence angel funds have tons of money to throw around.
The pension isn't using that money (right now anyway), so the VC is free to do with it what they want, and in the end the money comes back to the pension in multiples.
At least this is my understanding talking to an actual VC (not in a fund-raising situation, just casually).
http://www.theaustralian.com.au/national-affairs/laundry-sta...