<i>My first piece of advice for startup job seekers is that equity, all things equal, you can’t pick ‘em. On a risk-adjusted basis, startups are likely to be about the same. If there is information that a company has significantly de-risked, it will be priced in. Despite the market often being very wrong, you are unlikely to outsmart it.</i><p>I don’t understand the argument for this. Isn’t the whole basis of venture investment being able to identify business that will return above the risk-adjusted return? Given many investors lack the technical understanding to know a good risk from a bad one how could this be priced in?