Traditional VCs have always had one huge advantage over individual investors and angel groups: access to follow-on capital. AngelList's new Syndicates product is going to change that.
Starting immediately, accredited investors can begin syndicating their investments via AngelList and earn a carry, in much the same way that a traditional VC would earn carry through their fund. In other words, individual investors and angel groups can begin to behave like traditional VC funds without the hassle of setting up an actual fund. That's huge.
If you're an angel group or an influential accredited investor, this is your opportunity to rise above the crowd and raise more money for your founders. If you're a VC, you probably should consider using Syndicates to let certain angels "fill in" portions of your rounds. This is another big step towards efficiency in the private markets -- not just in Silicon Valley, but all over the world.