Erik Moore is a recovering investment banker who is now the managing partner & founder of Base Ventures. Moore has invested in nearly 25 startups, including Tracksby, Ecomom and Socialcam. He was one of the first investors to finance Zappos, a shoes and apparel company sold to Amazon for $12 billion. He worked for Merrill Lynch and for 15 years before perusing entrepreneurship, founded FlickrLaunch, which was a digital streaming platform on Facebook for feature length movies. Moore is an influential figure among the tech world and a well seasoned investor who continues to invest in startups through Base Ventures. He grew up in Richmond CA, and is an avid mentor of inner city youth and very involved in his community.
Merrill Lynch, where Moore developed a lot of his financial savvy, is one of the largest wealth management businesses in the world. Wealth management is the science of enhancing wealthy peoples financial situation. It is now owned by the Bank of America after a massive buy out in 2008. Consultants who work for Merrill Lynch would have to give financial advice to customers who want help building an investment portfolio geared to specific financial goals. Many wealth managers are judged internally on how many new clients and additional assets they bring to the company and not how well the investment chosen does.The products they offer to clients aren’t necessarily the cheapest and they don’t have to act in fiduciary capacity. Wealth managers also benefit from compounding fees, are not necessarily experts and won’t always give you the best advice on taxation, insurance, pension and real estate management.
Erik Moore would have to be have significant knowledge of the financial markets for him to successfully invest in so many startups. Startup businesses are a riskier positions to consider when looking to invest, but the returns can be much greater. Crowd funding websites such as kickstarter and Indiegogo are changing the face of the usual investment progress and is helping get unique products and services to market. It’s a shame that people like Erik Moore aren’t getting the mass exposure they deserve as they would be able to positively benefit a lot more people this way. These are the types of role models young kids need to have. These are the types of role models the media should be promoting.