Two MBA students asked me separately for career advice. I was on a plane, so wrote them a long answer. I figured I’d share my thoughts here.

Venture capital is one of the best jobs in the world. It offers a rare combination: a high-level view into where technology and society are heading, paired with very practical exposure to how companies are built. You get to work with founders who are unusually ambitious, opinionated, and thoughtful about the future. For many people, including me, it is a dream job.

But it is not a career in the traditional sense.

Unlike consulting, banking, or operating roles, venture has no standardized progression. Getting an associate role does not imply a path to partner. Most venture firms are small and bespoke. They are optimized for investing, not for training or long-term career development. In fact, venture is often a poor place to learn the fundamentals of working. Judgment compounds slowly, feedback arrives years later, and it is hard to disentangle luck from skill. I’m almost 15 years into this and still trying to figure out if I’m good, hopefully great, or perhaps neither.

At the same time, venture can be an excellent launching point even if it does not work out long term. Many investors eventually become founders or operators, and the reverse is also common. But because there are so few seats, and because most firms are not designed to develop talent systematically, the opportunity cost of entering too early can be high.

This is why I tend to frame the question less as “Should I do venture or operating?” and more as “How do I transform myself into a node for talent, with durable judgment and credibility?”

There are several proven paths into venture. Some come through a professional apprenticeship: investment banking, private equity, hedge funds, or consulting, followed by an associate role. This path works best early, when firms are hiring junior talent. Others arrive through operating experience, by founding a company or holding a senior role at a fast-growing startup where they develop real responsibility and credibility with founders. This is harder to pull off but often comes in at higher levels. A third path, increasingly common, is to start investing independently as an angel or through small syndicates, and to build a track record over time. None of these paths is inherently superior.

For someone in an MBA program, especially one with unusually high founder density, the more important question is how to test the work now rather than optimizing abstractly for a future role.

I usually suggest a simple set of experiments.

• Develop a point of view. Effective investors are not generalists in the vague sense. They have a perspective on what is investable and why. When you meet investors, try to teach them something they do not already know, whether about a market, a geography, or a pattern they have not yet seen.

• Start building relationships with funds you admire early. Funds are not hiring all the time. They hire when they have a need – either someone leaves or they raise a new fund and need to grow the team. Research which firms are in fundraising mode and focus your immediate application energy there. But don’t let this stop you from acting now on relationships. When it is time, you want them to call you first. Stay on it.

• Build deal flow anchored in real relationships with founders. Many of the strongest companies of the last decade emerged from MBA cohorts, not because of the credential, but because of proximity, trust, and shared context.

• Finally, try the work directly. Start investing, even in small amounts. Writing a first check is less about capital and more about learning, signaling intent, and building reference points. Platforms like AngelList let you build portfolios for fractions than it once cost. The goal is to build a track record and a unique perspective into the technology markets. Fellowships, part-time roles, or summer stints at venture firms are often the fastest way to understand whether the day-to-day reality matches the idea of the job.

Seek skills and experiences that compound regardless of whether you enter venture now or in the future. For most people, the best strategy is optionality: building skills and credibility that matter whether or not venture works out. The things that will make you a great young investor are the same as what might make you excellent in other professions – domain expertise, a unique network, strong work ethic, self-starting hustle, etc. Ironically, that approach is also what tends to make someone more attractive to venture firms in the first place.

This post was originally published on my Forbes column here.

Last week, representatives from over 2,000 companies attended The Fintech Meetup in Las Vegas. What’s special about the event is that it isn’t a typical startup conference. The centerpiece is two days of back-to-back 15-minute meetings with startups, investors and other ecosystem players.

Reflecting on over twenty meetings and a few conversations with friends, I wanted to share the following observations.

VC Is Actively Deploying Again

Despite a tougher funding environment in recent years, the mood was positive.

All of the major fintech investors with whom I regularly coinvest were there. Over the last year, a number of new venture capital firms have emerged as well, including Thomson Reuters, ResilienceVC, Portal Ventures, among others. Absent over the last few years were the generalist investors. Perhaps more anecdotal, but they seemed to be starting to return.

But VCs were asking different questions. Entrepreneurs came ready to discuss unit economics, and field real questions about their cash efficiency, topics that would not even have entered the 2021 lexicon. Multiple pitches I heard started with the words “profitable”.

As readers of this column know, this is music to my ears – I love “camel” startups. Among early-stage startups, many explained the possibility of “seed strapping” strapping"—essentially being able to scale the business with a single round of funding, largely because of advances in AI. This one-and-done approach is of course not for everyone (and not achievable for many), but it was a topic I heard a few times. Either way, founders are thinking more about capital efficiency.

Since covering Money2020 a few months ago, two sectors have continued clearly as core fintech trends.

AI: The Industry’s Next Frontier

There were all manner of AI startups: credit scoring, fraud detection, underwriting, customer service, and personalized finance. The debate is shifting from “if” AI will change fintech to “how” and “who benefits.”

At the same type, there is meaningful hype in the space. Financial institutions and startups alike are looking for real-world applications. Some companies are rapidly scaling their revenue and providing real value. Yet, that won’t necessarily mean they will be enduring businesses, as OpenAI and other hyperscalers regularly expand their offering.

Investors, startups and corporates alike are looking for an answer here. To me, ultimately it will be about providing customer value. As Tim Hong, Chief Product Officer of MoneyLion told me: “As AI reshapes financial services, the biggest winners will be consumers and the businesses that prioritize delivering personalized, value-driven experiences. Consumers now expect seamless, tailored financial experiences, just as they do in travel (think Expedia) or e-commerce (such as Amazon). This is where AI steps in.”

Stablecoins Gaining Mainstream Traction

Stablecoins seem to be emerging as the killer app for crypto. Adoption over the last two years has skyrocketed.

Two specific shifts are occuring. Regulatory clarity seems to be emerging in many markets. Exits are also being demonstrated, notably with Bridge’s acquisition for over $1b by Stripe.

As a result, a whole set of ecosystem infrastructure is being built. This includes clear needs like money transfer, orchestration, and conversion, but also a number of applications built on-top of stable coins: dollarized bank accounts, payroll and remittances for example. Other use cases as well that I had not expected, as Michael Blaugrund, CEO of DriveWealth told me:" Stablecoins, if fully backed and transparently audited, represent a valuable opportunity for reducing risk and improving timeliness of funding for securities settlement, particularly for international firms with T+1 U.S. obligations.” Stablecoins are also seeing particular resonance in markets outside Silicon Valley.

How fintechs will navigate compliance and partnerships with traditional institutions remains an open question.

New Ideas Will Find Greater Resonance

One VC remarked to me that “many of the cards have been played, and a lot of innovation is derivative” Copycat investments in the same country – the next neobank, or lender – without a clear differentiated product, or go-to-market is poised for challenge because of VC fatigue, and the reality of unit economics at scale.

Companies that raised at sky-high multiples in 2021 are still struggling to reconcile valuation expectations with market realities. “Zombie” unicorns who are still alive, but unable to raise, and stagnating on growth. Down rounds, structured deals, and secondary sales are expected.

Per my point above on camels, fintechs that depend on heavy infrastructure, lending capital, or extended cash burn are under pressure. Even as VCs are deploying, capital-intensive businesses are at a disadvantage compared to leaner models.

Shriram Bhashyam, who is COO of Sydecar, an SPV provider, echoed this shift: "There's definitely been a shift among startup founder and executive discussions. Before, headcount was a traction metric, a sign of company progress. It's now starting to flip to headcount efficiency - ARR-to-FTE." -

Anecdotally, I met no full-stack lenders or banks this year. Alternative funding sources—corporate partnerships, revenue-based financing, and debt—are becoming more attractive, especially as the VC market recovers.

Looking forward

In conclusion, fintech seems to be on the upswing. The mood is certainly positive with high crypto prices, expected IPOs and massive public market stock price rebounds. But at the same time, the market is more selective.

Ultimately, next year will be defined by AI integration, payments innovation, regulatory clarity, and capital efficiency.

Sergio Fogel: From INSEAD to Uruguay Entrepreneur and Co-President and Chief Strategy Officer of dLocal

Within the startup ecosystem, the Silicon Valley playbook has long been the gold standard. Yet, outside the bubble of California, a new wave of innovators has been setting a different path—one rooted in local insights, driven by global ambitions, and dependent on flawless execution. The Uruguayan fintech payment firm dLocal has become a leader in cross-border payments for emerging markets and illustrates this approach.

The company became Uruguay's first unicorn and is presently listed on Nasdaq. They offer over 900 payment methods across 40+ countries worldwide and have a customer base that includes giant tech companies like Amazon, Uber and Booking.com.

Most pertinent to this column, dLocal has challenged the status quo, redefining the playbook for scaling globally.

In a recent discussion on The Pnyx, Sergio Fogel, dLocal's Co-President and Chief Strategy Officer, walked us through his playbook, explaining how they did this by building a unique early international strategy, a strong culture, and a unified offer tailored to growth in emerging markets.

Solving Real Pain Points: dLocal Innovation Rooted in Frustration

Alongside his cofounder, and after an INSEAD MBA, Sergio began his entrepreneurial journey selling virtual phone numbers. They learned first-hand the prevalence of fraud in online transactions and payments. Combining this insight with his experience in payments while traveling led to the original idea for dLocal.

“Focus on problems that hurt you,” Sergio argued. “Solve them, and you’ll find others with the same need.” dLocal’s platform addressed two widespread issues in emerging markets: high transaction rejection rates and the broader lack of international credit card access to a huge segment of the population. In Latin America, local payment methods like Pix in Brazil dominate, yet these are recent evolutions. A truly international payment solution was non-existent.

By enabling companies to tap local payment networks easily, the company has become one of the largest tech companies in the region. It is hard to understate the reach of the cross-border payment platform. [In 2024, the company processed $6.5 billion in total payment volume (TPV) in Q3 alone.

Here are three unique approaches to how they scaled:

1. Born Global: Market Size Constraints Create Entrepreneurship Necessity

Starting a company with a global approach creates meaningful challenges. In fintech, dealing with diverse regulation and payment systems adds more complexity to the equation.

But, starting from a small market, like Uruguay, market size is an important consideration. Ambitious entrepreneurs must think beyond their borders from the start. For dLocal, internationalization was not a strategy but a necessity. “We launched in Brazil before Uruguay,” said dLocal’s founder Sergio. This mindset led the company to scale rapidly, launching in five countries before addressing its home market. “It forces you to think internationally if you have ambition.”

2. Culture Over Geography: Building a Unified Global Team

Beyond operational complexities, scaling successfully in more than one continent requires a cohesive culture. For dLocal, this was possible through a mix of leadership by example and encouraging geographic mobility.

“We love it when people move geographically,” shared Sergio. “It helps us understand the challenges of working in another geography, diffuse the culture, and transmit how we like things done.” By embedding employees from different regions into new markets, the company fostered cross-cultural understanding while maintaining its core value. Sergio himself had a global background and worked across multiple markets, which set the stage for his own experience.

Today, dLocal’s 1,100 employees operate across South America, Africa, and Asia, sharing a common ethos despite their diverse backgrounds. This culture of “making things happen” and putting the customer first has been crucial in uniting the team.

When reflecting on the potential path of acquisitions to grow geographically, Sergio argued that this strategy be used only for very specific cases. “Integrations are a big challenge”. The bar for them is high. Sergio believes it has been an advantage in competing with companies that grew through acquisitions. Usually, the M&A playbook leads to companies offering different APIs, and integrations for every country, ultimately lacking product consistency, resulting in poor customer service. By contrast, dLocal offers a single product experience.

3. Turning Compliance into a Competitive Advantage

Operating in fintech across emerging markets is notoriously complex when it comes to regulation - with varied rules around currency flows, taxes, and cross-border payments. Rather than treating compliance as a hurdle, dLocal has used it to build trust and a defensible moat.

“We act as a cross-pollination sector of regulation,” explained Sergio. “We show regulators how Brazil handles this, or Nigeria, or Mexico.” This proactive engagement in every new market since the early beginning of the company has allowed dLocal to align with local regulators while helping shape the emerging regulatory frameworks.

Sergio believes the regulatory global landscape will continue to become more complex. Regions like the European Union are not only issuing new compliance requirements for next year, but are already setting terms for subsequent years, placing an ever-growing burden on fintech players. A lot of emerging markets may follow this trend. “It will become harder for newcomers to become compliant.” Even incumbents may struggle to adjust to consistently changing regulatory frameworks. If this trend continues, fintechs will continue to be able to build moats through deeper understanding of regulatory differences.

What to take away from dLocal's co-founder, Co-President and Chief Strategy Officer Sergio Fogel

dLocal’s journey offers a fresh approach to achieving international scale from an emerging market perspective. By being born global, solving real pain points, fostering a unified culture, leveraging regulation strategically, and scaling with a consistent offer, the company has created a playbook that goes beyond Silicon Valley norms.

For entrepreneurs around the world, dLocal’s story serves as a reminder that innovation doesn’t have to follow the Valley’s rules—it can thrive anywhere with the right mindset and approach.

Here are a few of my favorite quotes:

The disparities that we encounter in decisioning systems, whether they're in lending or in other domains, are not the result of people of bad faith building those models. They're largely due to limitations in data and mathematics

Is my decision fair? If not, why not? Could it be fair? What's the economic impact to our business of being fair?

If you've been locked out of the financial system or preyed upon the financial system, as for example, Black Americans have been, then, you know, the data that's available about you is very likely to be messy, missing, or wrong.

I think at every step of the customer journey, we are seeing the potential for AI to deliver better experiences, better experiences, more cheaply

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In this episode, we interview the formidable Rubenstein, co- founder of The Carlyle Group. We explored the qualities of successful investors and venture capitalists, as well as what qualities make an investor similar to an artist. While this episode deviates from our usual debate format, it offers considerable insights into the world of successful VC investing. Rubenstein noted that some of the most successful investors often have a few things in common: they challenge conventional wisdom, share blue-collar backgrounds, have great educations, and have a penchant for making the final decision. Join us as we delve into the minds of exceptional investors from an exceptional investor himself.

Show Notes & Links

• https://www.simonandschuster.com/books/How-to-Invest/David-M-Rubenstein/9781982190309

• https://www.youtube.com/watch?v=-Iq51NdatuM

• https://givingpledge.org/pledger?pledgerId=275

• https://www.forbes.com/sites/alexlazarow/2023/04/18/how-to-become-the-greatest-venture-capitalist-lessons-from-the-masters/?sh=7576e98432a0

This week, we're diving into the controversial topic of ESG investing, and we have two deeply knowledgeable debaters who will present their perspectives. Hans Taparia, a professor at NYU Stern and a critic of ESG, argues that ESG systems have been designed for profit rather than creating real change. On the other side, Charlotte Degot, CEO of C02 AI, emphasizes the need to measure impact accurately and to make ESG investing a force for good. The conversation revolves around the challenges of measurement, the pace of progress, and the role of regulations. Join us as we delve into this thought-provoking discussion and explore the complexities of ESG investing with our esteemed guests.

Show Notes & Links

• https://www.nytimes.com/2022/09/29/opinion/esg-investing-responsibility.html 

• https://www.stern.nyu.edu/experience-stern/faculty-research/world-may-be-better-without-esg-investing

• https://www.stern.nyu.edu/experience-stern/faculty-research/one-of-the-hottest-trends-in-the-world-of-investing-is-a-sham

• https://co2ai.com/

• https://www.innovatorsunder35.com/the-list/charlotte-degot/

In the inaugural episode of “The Pnyx”, your hosts Alex and Vikas discuss Affirm, Klarna, Afterpay and all the other actors that constitute the Buy-Now-Pay-Later (BNPL) phenomenon. Joined by panelists Marshall Lux and Jeremy Solomon, we dive deep into the pros and cons of BNPL, exploring its potential benefits for consumers, the inherent risks, and the implications for financial transparency and inclusion. This episode sheds important light on the complexities surrounding this popular, but still nascent financing model.

Show Notes & Links

• https://www.cnbc.com/video/2023/01/10/harvard-senior-fellow-mashall-lux-calls-buy-now-pay-later-financial-dynamite.html

• https://fintechfundamentals.substack.com/p/how-bnpl-really-works

• https://www.forbes.com/sites/vikasraj/2020/11/30/embedded-inclusive-fintech/?sh=795ae50310cc