Innovation + Evolution = Opportunity
We believe wealth creation is driven by profound innovations that power the evolution of technology, business models, industries, and the economy as a whole.
Evolutionary Tree Capital Management is an investment manager that specializes in innovation-focused, concentrated-growth investing using a long-term approach we call Evolutionary Investing.
This diagram is Darwin’s Tree of Life notebook sketch from 1837 visualizing his key insight of how species are created through branching generations over time. We believe that technologies and products or services also evolve through generations, spawning new industries and creating investment opportunities. We drew inspiration from this sketch for our firm’s name and logo.
Inspired by Nature’s Evolutionary Process
Everything evolves. We live in an age where the pace of innovation, and thus evolution, is accelerating.
We draw inspiration from nature’s evolutionary process as a powerful metaphor for understanding how strategic change creates investment opportunity.
While on his voyage of discovery sailing in the HMS Beagle around South America, Charles Darwin studied the local birds of the Galapagos Islands, including different varieties of finches. Years later, Darwin and colleagues realized each bird’s beak was exquisitely adapted, or evolved, for different diets, and this became a key clue in his development of the theory of evolution.
“It may be said that natural selection is daily and hourly scrutinizing, throughout the world, every variation, even the slightest; rejecting that which is bad, preserving and adding up all that is good…
…from so simple a beginning endless forms most beautiful and most wonderful have been and are being, evolved.”
Charles Darwin, On The Origin of Species
A Differentiated Approach: Evolutionary Investing
We apply an evolutionary framework to identify quality, sustainable growth companies benefiting from secular trends and important innovations.
This unique evolutionary lens is the key to building innovation-focused, concentrated-growth portfolios for high-net-worth and institutional investors.
This chart is the only illustration in Darwin’s 1859 book, On the Origin of Species, and shows how species evolve over many generations through time, diverging and branching into new varieties and eventually species.
"Only those variations which are in some way profitable will be preserved or naturally selected."
Benefit from Our Team’s Focus and Experience
Our team is singularly focused on exploring and uncovering breakthrough innovations that have the potential to drive wealth creation for our clients.
Evolutionary Tree has united a team of key professionals that have worked closely together and have deep experience across portfolio management, research, and operations.
Butterflies are known to evolve their coloration pattern on their wings as a defense mechanism against predators. For example, the owl butterfly mimics the pattern of an owl face to scare away predators. Likewise, our team searches for companies with clear competitive advantages and an ability to out-evolve their competition.
Connect with the Power of Innovation
Most investors intuitively sense the power and impact of innovation in their lives.
Our objective is to provide an attractive pathway for investing in profound innovation and evolutionary shifts.
The evolution of a technology starts with its invention. And invention – from the light bulb to the airplane – can be traced back to the discovery of scientific or conceptual principles that provide an explanation of a phenomenon or effect. The light bulb, for example, takes advantage of the scientific concept of passing electricity through a filament to produce light. Humankind has progressively learned to harness various phenomena across our world, developing the basic science foundation that eventually spawns entire new industries.