Because every investor in the world put their money in the US. They knew the best companies and people would centralize around that hub.
When the US is a rogue, isolated idiocracy -- already true, but the world takes time to adapt to this new reality -- how much of that money do you think will flow to the US?
American public pension funds alone hold $6 Trillion in AUM [0] and American endowment funds hold a little under $1 Trillion in AUM [1], and tend to be the LPs for most VC funds as most institutional investors follow the Yale Investment Model.
[0] - https://www.census.gov/newsroom/press-releases/2025/2024-ann...
Neither of your citations has any relevance to this at all. That endowments and pensions funds have money...what is your point? Ah, the old HN "look I've provided citations so upvote me, even if they don't support my contention".
Canadians alone hold almost $4 trillion dollars in US securities. Because the US was the centre of the capital universe. Just like we saw it as the centre of the media and music universe. Americans mistook the free world basically anointing the US into some confused notion that it was actually some earned accomplishment.
it's a common pattern in GPs comments
pretty certain he just asks the "AI" for citations on whatever he's written
(for a VC he sure has a lot of time to waste shit-posting on the internet)
When we in the VC/PE space raise a fund, we are investing other people's money. Most of that money is of American origin and American domiciled.
You do see some large players like in Canada and Europe, but even they are not similar in size to American pension funds and endowments, let alone other American institutional investors.
Edit: Can't reply
> these will often end up being national level and will look individually much smaller than the ones from the US, purely because the US has more people.
Absolutely! And that's what makes it so difficult for Europe to decouple from the US or China.
Most attempts at EU federalization are undermined by national level politicans as the keys to hard power (defense, foreign policy, FDI attraction) remain under the purview of individual European states, becuase push comes to shove, an American employer or fund can threaten to leave and that country's entire political apparatus will work to appease us at the expense of Brussels.
This is how Meta and Amazon have been able to neuter the GDPR thanks to Ireland [0] and Luxembourg [1] respectively.
Even India got the FTA with the EU by using the carrot on France [2] and Italy [3] and the stick on Germany [4].
Europe is in a very tough position because the incentives of a politician who wants to build their career in Brussels is different from one who wants to build their career in Berlin, Bucharest, or Bratislava.
[0] - https://www.euractiv.com/news/irish-privacy-regulator-picks-...
[1] - https://www.aboutamazon.eu/news/policy/amazon-leaders-meet-l...
[2] - https://www.reuters.com/world/india/india-signs-74-billion-d...
[3] - https://www.lagazzettamarittima.it/2025/10/30/rixi-in-india-...
[4] - https://www.reuters.com/business/autos-transportation/volksw...
This reads like wishful thinking from a butthurt European. I am not a fan of many of Trump's policies and I think ex-US investor sentiment has definitely soured. But it's not like the USA is now DPRK.
> how much of that money do you think will flow to the US?
If there's one thing you can be sure of about aggregate investor behavior, it's that investors seek good risk-adjusted returns regardless of any moral or political objections.
So long as capital flows remain unimpeded, property rights are respected, and US companies have good expected future returns, investors' money will continue to flow in to the US.
Thank you.
