New fund launched by ET Capital set to ‘democratise investment’
A new investment fund has launched with a mission to “democratise investment” by make investing in Cambridge’s thriving start-up ecosystem more accessible to investors – “particularly individuals”.
The Cambridge Venture Index (CVI) SEIS/EIS Fund has been developed by a team led by long-time Cambridge-based angel investor and mentor Martin Rigby, alongside directors James Griffiths and David Gill, also managing director of St John’s Innovation Centre. The fund follows an index-style diversified investment approach by backing a broad range of early-stage businesses originating in the Cambridge cluster rather than focusing on a few selected start-ups.
Developed by ET Capital – founded by Martin in 1992 – the strategy has evolved via an analysis of the performance of nearly 200 companies within the Cambridge cluster over the past 30 years to validate that this approach can achieve superior returns to the stock market or to a conventional, selective venture capital investment strategy.
“We want to offer participation in the Cambridge cluster to the widest possible range of people – to democratise investment to coin a phrase,” says Martin Rigby. “By using a diversified, ‘index’ approach to investment, we can reduce risk and generate good returns for individual investors who might otherwise be unable or unwilling to invest in the cluster.
“This is a key point for us; by making the fund more attractive to more people, we can increase investment in the cluster and ultimately benefit the communities it supports. This is what we mean by democratising investment.”
The roll-out of the fun will see a series of funds starting with CVI S/EIS 1, as ET Capital director James Griffiths explains.
“Our first fund, Cambridge Venture Index SEIS/EIS Fund 1, will invest in 10-15 startups from April 2025 to March 2026,” says James. “This fund is geared toward individual investors looking to support and benefit from Cambridge’s long-term success. We recognise that many of those people will themselves have contributed directly to the cluster’s growth which is why we see the fund helping to democratise investment in Cambridge’s future success.
“For individual investors, this combination of diversified investments and tax advantages (through SEIS and EIS) presents a unique opportunity to engage with the UK’s innovation economy. Investors will also benefit from ET Capital’s extensive network enabling access to high-quality deal flow from Cambridge’s leading incubators and investment originators.
“We plan to launch further funds structured for the needs of institutional investors and family offices, as well as individual investors, following the same diversified index approach."
