While primarily a financial term, "Angel Rush" also appears in niche contexts:
: The best time to enter a market is often when others are scared, rather than when everyone is excited by recent gains.
An "angel rush" occurs when a surge of new angel investors enters the market, often driven by the fear of missing out (FOMO) on high-profile startup successes or following "easy money" trends.
: Many new angels are high achievers in other professional domains (like manufacturing or corporate leadership). However, the skills that led to success there—such as tight operational control—can be counterproductive in the ambiguous, hands-off world of early-stage investing.
To avoid the common pitfalls of a market "rush," experienced advisors suggest the following:
: True professional angel investing follows a power law distribution , where a tiny percentage of "big winners" accounts for the majority of returns, while most investments fail. During a rush, many investors fail to account for this high failure rate. Strategic Recommendations for Investors