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October 06, 2005



Great to know that people can bounce back after hitting a abysmal low in their life. I will be here to check your post regulary

Michael Parekh

Well said, Henry. Good luck on your own Web 2.0.

Preston Wily


Great comments and damage control - maybe you should consider a career in PR in your next life :) Everybody deserves a second chance.



Henry, put your demons to bed. The phoenix has risen and the clouds have parted. Time to get busy livin'...

Internet Hype

24/7 Media
Internet Capital Group


I am fascinated by your re-emergence into the public sphere. Particularly given the warm welcoming that many highly notable people have given you in top tier periodicals and venues. As you point out the positive as outweighed the negative response. It is a masterful rehabilitation that would not be given to many.

I am very curious to know what you attribute this to?

Chris Austin

I'm a 27 year old investor, father of 2 and new to the game. My initial impression of what you've written here is that you couldn't have been the only one who got it wrong. In the few years I've been into this, there have been a number of stocks bearing a Buy rating that I've gotten into and sold at a loss...happily I might add, as most of them reach lower a lower base and the reccomendation eventually changes.

Carpe diem (being a former Latin student, I hope I got that right) - this is the most important thing for investors to keep in mind.

Unless you were paid by the companies you were providing analysis on, I'm not assuming your story is any more scandalous than that of millions who over the span of history have made mistakes and paid dearly for it.

You're brave for getting back in the game, and I'll be reading your opinions with an open mind.


Pablo Escobar

Henry - count me on the positive side of the register. You've experienced the accolades and the opprobrium, but you've retained your voice. I'm looking forward to hearing your future stories and analyses.


In response to chaacke, he WAS paid by the companies. Not directly, but the advisory fees (IPOs, mergers, acquisitions, disposals and financing)went into the big investment bank melting pot of a bonus pool that he may have been credited with getting a disproportionately large share of on the back of his work.

I can’t condone what he did but I do understand. Morality is determined by society, not the individual. It wasn't that long ago that it was okay to send small children up chimneys or to own black people as slaves. The merged bonus pool was standard practice for all banks (and to a certain extent still is) but perhaps ML felt the wrath of Spitzer more than most because of its significant base of retail customers.


and in response to Internet Hype, whether you make money investing depends on your entry and exit points (unless the company goes bust of course, but even they you may still get a positive return on liquidation).

Your examples:
InfoSpace - 570% return since Sept 2002
24/7 Media - 221% return since May 2005
Lifeminders - 325% return since Mar 2001 - 234% return since April 2005
Excite@Home - liquidated
Internet Capital Group - 153% return since April 2005

Hindsight is a wonderful thing. Pick any technology company you like and predict its revenues for 2010. If you can do this to within 10% then please apply to your nearest investment bank for your $250k position.


Great to see the work, you have done to bounce back in life. Best of luck on your Web 2.0.

Randy Charles Morin

And thanks for 724.


I don't know if I'd have the balls to show my face after the public dress-down you received and the legal issues that ensued. Hats off to you for that alone. But just like VC's who, frankly, look for people that have been wildly successful *or* have failed hugely, both have learned and both have value. You obviously have learned quite a bit, have the gonads to wear your Scarlet Letter publically and are moving forward.

Set your intention and go. Forget about those that will naysay forever (provided your intentions are, in fact, honorable). You've learned a lot and have played the game at a high level and undoubtedly fully understand what's in front of you to regain the trust and credibility in this space. Good luck.

Anders Kargaard Jensen

Henry - thanks for comming back! You are making hugely valuable contributions to many people's investment decisions including mine. My main focus is the batlle between Google, Yahoo! and Microsoft. Your recent report on "The Web War Is Over and Microsoft Has Lost" - FANTASTIC! I hope you don't mind, that I link to it from my blog:

I will be an often reader of your thoughts - thanks for sharing!

seth goldstein

I only wish it was you up there on the stage at Web 2.0 discussing the future of the Internet and not you know who. It is a sad irony that at a celebration of Web 2.0 we remain stuck in a Wall Street 1.0 mindset. The Internet industry continues to shuffle deck chairs on the Titanic that is Wall Street. The lessons you (and I and others) learned from the end of the first bubble need to be shared openly. It is nice to believe that things have changed since 2000 in terms of disclosure and a level playing field for companies and investors; while the fact remains that transparency has been a victim not a beneficiary over the past few years. The public does not really need another startup AJAX MSFT-killing word processor; nor does it need another vertical search application monetized through Adsense. It does however need an honest, humble context for making sense of all this noise. And that is where you come in. Your readers will vote with their clicks and RSS subscriptions. These are far more meaningful than the votes of a mutual fund or the discretionary bonus of a sell side boss.


I'm looking forward to your comments in a forum which allows you to express your true opinions. Hit 'em hard.

And I meant what I said in my post from a while are a hero...

Freddie Daniells

Henry: there seems to have been a lot of rear mirror thinking going on in regulatory circles. Until 2000 I worked for a number of US investment banks and all followed the same practices around chinese walls and remuneration. Unfortunately to my mind you (and probably Quattrone) became the fall guys. Still it is now time to move on. You will I am sure bring great value to this online debate. You are now on my RSS list and best of luck!

Alan Kelley

Henry, I wish that I could have seen you up on stage at the Web 2.0 conference - as a host, panelist or presenter. I look forward to reading again your insights. Alan

Jonathan Marks

Great to read that you're back in business. I remember reading the events in Amsterdam. Glad that the clouds have parted and that Version 2 is going to fun again.


Welcome back Henry! Know that there are a lot of us out here that think that the attacks on you, legal or otherwise, were complete BS. Looking forward to reading more of your insights.

Sam S. Park


You had a tough fall, and we know that certain pressures you probably dealt with were overwhelming. I didn't agree with all of your calls, but valuing techs was never an easy task. However, I did enjoy reading your work, whether I agreed with them or not. Anyhow, best wishes on your blog, and I look forward to reading and commenting on your future posts.

Jim Hillhouse

Henry, I'm from Texas, the West, where a man can go to restart a life that may not have gone right. You admitted you're short-comings. Fair enough. Like others have said, it's time to roll up our sleeves and move on. I've screwed up too--two failed start-ups--and it is tough to come back. But back here is where you need to be. And unincumbered by the BS that is still out there in the market. Frankly, I can't think of anyone that can give those of us who have not worked in the markets a better and more insightful vantage point into the how's and why's than you. Youre talent speaks for itself. So, I'm glad you're here.


you burn, author!


Very cool stuff what and when do you think will be the out come of IPV6.



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