Hey Matt, I'm still in SYCD. Check this out.
January 18, 2000
WALL STREET JOURNAL HIGHLIGHTS
Why Fed's Rate Raises Aren't Cooling Down A Sizzling Economy
By JACOB M. SCHLESINGER
Staff Reporter of THE WALL STREET JOURNAL
WASHINGTON -- Who's afraid of Alan Greenspan? Not Sy Picon.
For all the commentary devoted these days to the Federal Reserve chairman's campaign to cool the economy, Mr. Picon, a Northern Virginia entrepreneur, considers the central banker barely relevant to his prospects.
Higher interest rates -- the Fed's tool for drawing capital out of the system -- aren't making money scarce for SyCoNet.com Inc., a Manassas, Va., distributor of Japanese animated videos such as Pokemon and Speed Racer. "Everybody knows the Fed's going to raise rates in February, but as this comes closer, VCs are throwing even larger amounts of money at us," chortles Mr. Picon, who recently received a $5 million line of credit from a Florida venture-capital fund.
His backers, he says, "are looking for home runs, returns of 10 times, 30 times, over the next two to three years." In that environment, even a full percentage point increase in the cost of funds wouldn't be too menacing. |
