The cost investors pay for chasing growth

The primary problem is not opportunity scarcity but investors' soaring anxiety.

Anxious investors overpay for growth, treating companies that offer growth as deserving higher valuations.

Early overpayers act as thought leaders, driving themes and stock prices up, leading more investors to chase at elevated valuations.

As institutional buyers chase liquidity, companies raise capital at high valuations, satiating demand.

Once capital is raised, expectations outpace performance, and supply exceeds demand, setting up disappointment.