Introducing Hub&Spoke Investing, Pythia Capital’ direct private investing service anchored in nature’s complex systems principles.
Summary of Hub&Spoke Investing:
1. Investment Philosophy and Approach
We focus on direct private investing in global companies, targeting entrepreneurs developing breakthrough products and services with systemic value propositions. Our investment process leverages nonlinear, complex adaptive systems principles, which are more likely to identify important innovations and effectively manage risks.
We aim to have sufficient capital resources within our network of investors to invest early and throughout a company’s life cycle. Our approach helps identify potential winners in emerging areas such as artificial intelligence, regenerative agriculture, environmental health, cellular regeneration, new energy technologies, and quantum science.
2. Transparency and Investor Relations
We offer unprecedented transparency to our investors through:
– A multi-media, online data room with detailed project and company deal information
– A research portal showcasing our research process
– Virtual conferences and expert webinars
– Educational tools demonstrating our investment process using actual deal examples
We ensure our investors align with our business goals and financial objectives.
3. Unique Investment Model
Our investment model differs from typical venture capital syndicates:
– We use a variety of novel financial and business strategies
– We follow lean/efficient investment principles to manage risks
– We focus on integrated solutions not possible with traditional investment structures
– Our approach is iterative, slower, but more efficient, creative, and resilient
4. Expert Network and Partnerships
We maintain an on-demand expert network and continually seek valuable partners. Our flexible model aims to solve important problems effectively while providing long-term returns that are more resilient to market fluctuations.
5. Ecosystem-Based Approach
Our ecosystem-based investment approach:
– Mimics dynamics of sustainable and balanced systems
– Helps select entrepreneurs who innovate in win-win ways
– Contrasts with dysfunctional “winner-take-all” financial systems
– Commits to aligning business and financial interests with key stakeholders
6. Investor Qualifications
Our service is open to accredited investors and enlightened institutions that:
– Align with our philosophies
– Engage in direct investing outside formal fund structures
– Commit to our corporate values and principles
We expect strong long-term returns with favorable risk profiles.
7. Interdisciplinary Approach
Our investment process benefits from interdisciplinary collaborations among scientists, engineers, mathematicians, data scientists, and professionals from various other fields. This diverse approach is made possible by new scientific and technical tools.
8. Investing Company Profiles
– Companies where we feel we can get an exit within 24 to 36 weeks,
– Companies that do not fit the existing venture capital model but have essential services or products for society (we use lean business practices and creative financial terms to pursue creative and innovative opportunities that are largely ignored today),
– Where we feel we have an analytical edge in fringe science or technology with breakthrough potential,
– Buy-out of troubled pieces of larger companies or buy out of previous investors that meet our screens
– Growth equity for businesses that need expansion capital. We are flexible with financial terms and follow lean investment principles that enable more creative problem solving, better risk management and also strong returns for investors.
– Web 3.0 projects to the extent we can use our living complex systems investing principles to get comfortable with the value proposition and risk.
9. Diagram of Our Direct Private Investing Approach
