Etho Capital's mission is to build the world’s best investment strategies by simultaneously providing superior environmental, social, and financial performance.
In 2014, Etho Capital’s co-founders, Conor Platt and Ian Monroe, were introduced by a mutual stakeholder in both of their respective companies. Conor was managing his own absolute return fund, Confluence Capital, LP. Ian had started Oroeco, a web application where users calculate their individual carbon footprints and compare them. Believing the two entrepreneurs might learn from each other, and that a meeting to share ideas would be valuable, their mutual stakeholder made the introduction.
The first meeting began as a dialogue on how best to carbon-footprint Oroeco users’ individual investment portfolios. Ian, an expert in sustainability, life cycle assessment science, and a lecturer at Stanford University, felt Conor could facilitate that project because of his lengthy experience as a financial analyst and fund manager. But, over the ensuing hours, they began to explore other ways to work together.
Eventually, a more interesting concept came to light: Develop an entirely new, innovative investment process based upon Environmental, Social and Governance (ESG) sustainability data. Given their respective backgrounds and expertise, it became clear they would complement each other well.
Ian had access to and could properly interpret numerous ESG data sets, while Conor could develop a systematic way to analyze them and generate actionable investment ideas. After many months of due diligence, the two had created what is now known as Etho Capital's Smart Sustainability Process.
With a core investment thesis and process established, Ian and Conor knew they next had to form a new company, develop compelling strategies, and eventually offer them to the investing public. A handful of early supporters and founding partners helped them launch Etho Capital, LLC in the summer of 2015. The company's flagship strategy, known as the Etho Climate Leadership Index – US, officially began calculating a few months later. An exchange-traded fund (ticker: ETHO), which tracks the index, started trading on the NYSE in late November 2015.
Since then, additional investment solutions based upon the Smart Sustainability Process have been developed - including active and hedged strategies. Company expansion plans are being implemented, key partnerships forged, and talented people continue to join the team. Thank you for your interest in Etho Capital.