The enormous correction in the stock market back in April was actually a good thing for the Twin Cities. Finance and Commerce was a co-sponsor of the event. Obviously, Karlgaard is not basing his argument on the value of personal stock portfolios versus what they were last year at this time. Gone are the days of spending like a drunken sailor, Karlgaard said.
Cash is now king.
According to Karlgaard, the new cash is king mentality bodes well for the Twin Cities because our area is so affordable compared with the traditional tech hot bed of Silicon Valley. Karlgaard also pointed to enormous starting salaries for engineers as a deterrent for technology companies wanting to make Silicon Valley home. In addition to his bullish outlook on the Twin Cities, Karlgaard told the audience of entrepreneurs not to give up on their dreams of being funded by venture capitalists. Although money s not flying around like it was a year ago, Karlgaard said there s still plenty of investment capital out there, due mainly to two new classes of venture capitalists. One class is made up of large corporations.