Growth Strategy
Our Best Work - Concentrated Positions in Ethical Leaders
Our Growth Strategy represents the best investing we can do within our ethical framework. Through 15-25 concentrated positions in our best ideas, we focus on long-term capital appreciation with exceptional companies that survive our rigorous screening process.
Target: Investors seeking maximum long-term growth potential who can accept higher volatility
Strategy Overview
🎯 Strategy Highlights
- 15-25 Best Ideas - High conviction positions in our top picks
- Long-Term Focus - 5+ year investment horizon
- Best Work - Our most concentrated ethical approach
- Higher Volatility - Expect fluctuations for superior returns
Portfolio Composition
Top 5 Holdings
- MercadoLibre (MELI) - 11.1% | Latin American e-commerce and fintech leader
- Nintendo (NTDOY) - 11.1% | Premium gaming and entertainment platform
- Federal Agricultural Mortgage (AGM) - 9.2% | Agricultural finance with sustainable focus
- Hudson Technologies (HDSN) - 6.2% | Refrigerant reclamation and sustainability solutions
- ELF Beauty (ELF) - 6.2% | Cruelty-free cosmetics with accessible pricing
Investment Verticals
- Innovation: 59.4% | Disruptive technology and business model innovation
- Infrastructure: 21.5% | Essential services and logistics platforms
- Lending: 12.9% | Values-aligned financial services
- Real Estate: 6.2% | Income-generating property investments
Portfolio Characteristics
- Holdings: 20 individual positions
- Average P/E Ratio: 33.2x (growth premium)
- Portfolio Yield: 1.6% weighted average
- International Exposure: 35% of portfolio
- Market Cap Range: $443M - $125B
- Median Market Cap: $7.7B
- Average ROE: 10.0% across holdings
- Concentration: Top 5 = 43.8% of portfolio
Ethical Implementation
Exclusion Impact
Our growth strategy excludes approximately 2,100 companies from the growth universe - about 65% of potential investments that fail our ethical criteria.
🛡️ Key Exclusions
- Product-Based: Animal agriculture, fossil fuels, weapons, addictive products, surveillance
- Conduct-Based: Human rights violations, environmental misconduct, governance failures
- Strategic Commitments: Israeli apartheid, petrochemicals, Plant Based Treaty alignment
Investment Process
Selection Criteria
- ✅ Ethical Screening - Must pass all exclusion criteria
- 📈 Growth Potential - 15%+ revenue growth potential
- 👑 Market Leadership - Dominant or emerging market position
- 💪 Financial Quality - Strong balance sheet and cash flow
- 🎯 Management - Ethical leadership aligned with stakeholders
- 💎 Valuation - Attractive risk-adjusted return potential
Performance Summary
Monthly Performance History
📊 Complete Track Record (October 2021 - August 2025)
| Month/Year | Growth Strategy | Benchmark | Excess Return |
|---|---|---|---|
| 2025 | |||
| August 2025 | +7.85% | +2.68% | +5.17% |
| July 2025 | -8.87% | +1.02% | -9.89% |
| June 2025 | +5.51% | +4.64% | +0.87% |
| May 2025 | +7.44% | +5.71% | +1.73% |
| April 2025 | +5.92% | +0.76% | +5.16% |
| March 2025 | -5.65% | -3.81% | -1.84% |
| February 2025 | +2.49% | -0.35% | +2.84% |
| January 2025 | +2.74% | +3.28% | -0.54% |
| 2024 | |||
| December 2024 | -7.60% | -2.57% | -5.03% |
| November 2024 | +8.49% | +3.94% | +4.55% |
| October 2024 | -4.06% | -2.17% | -1.89% |
| September 2024 | -0.91% | +2.19% | -3.10% |
| August 2024 | +5.36% | +4.29% | +1.07% |
| July 2024 | +3.54% | +1.39% | +2.15% |
| June 2024 | -1.76% | +2.02% | -3.78% |
| May 2024 | +3.94% | +4.75% | -0.81% |
| April 2024 | -4.87% | -3.27% | -1.60% |
| March 2024 | +1.93% | +2.22% | -0.29% |
| February 2024 | +4.52% | +3.36% | +1.16% |
| January 2024 | -3.22% | +0.34% | -3.56% |
| 2023 | |||
| December 2023 | +9.03% | +4.09% | +4.94% |
| November 2023 | +15.23% | +7.94% | +7.29% |
| October 2023 | -6.08% | -2.92% | -3.16% |
| September 2023 | -7.08% | -4.24% | -2.84% |
| August 2023 | -1.15% | -2.01% | +0.86% |
| July 2023 | +2.07% | +3.52% | -1.45% |
| June 2023 | +5.47% | +4.57% | +0.90% |
| May 2023 | +0.36% | -0.95% | +1.31% |
| April 2023 | +0.55% | +1.47% | -0.92% |
| March 2023 | +0.70% | +3.21% | -2.51% |
| February 2023 | -0.10% | -4.17% | +4.07% |
| January 2023 | +8.14% | +7.38% | +0.76% |
| 2022 | |||
| December 2022 | -4.74% | -4.65% | -0.09% |
| November 2022 | +10.58% | +8.30% | +2.28% |
| October 2022 | +4.29% | +6.18% | -1.89% |
| September 2022 | -7.18% | -9.22% | +2.04% |
| August 2022 | -3.91% | -3.87% | -0.04% |
| July 2022 | +14.38% | +6.31% | +8.07% |
| June 2022 | -4.83% | -7.52% | +2.69% |
| May 2022 | -0.11% | +0.49% | -0.60% |
| April 2022 | -11.59% | -8.56% | -3.03% |
| March 2022 | +2.93% | +3.62% | -0.69% |
| February 2022 | -1.21% | -3.85% | +2.64% |
| January 2022 | -13.97% | -4.47% | -9.50% |
| 2021 | |||
| December 2021 | +0.70% | +4.84% | -4.14% |
| November 2021 | -2.77% | -2.85% | +0.08% |
| October 2021 | +6.13% | +4.51% | +1.62% |
Strategy TWR = Time-Weighted Return. Benchmark = MSCI ACWI (All Country World Index)
Performance Analysis
Portfolio Composition
Top 5 Holdings
- MercadoLibre (MELI) - 11.1% | Latin American e-commerce and fintech leader
- Nintendo (NTDOY) - 11.1% | Premium gaming and entertainment platform
- Federal Agricultural Mortgage (AGM) - 9.2% | Agricultural finance with sustainable focus
- Hudson Technologies (HDSN) - 6.2% | Refrigerant reclamation and sustainability solutions
- ELF Beauty (ELF) - 6.2% | Cruelty-free cosmetics with accessible pricing
Investment Verticals
- Innovation: 59.4% | Disruptive technology and business model innovation
- Infrastructure: 21.5% | Essential services and logistics platforms
- Lending: 12.9% | Values-aligned financial services
- Real Estate: 6.2% | Income-generating property investments
Portfolio Characteristics
- Holdings: 20 individual positions
- Average P/E Ratio: 33.2x (growth premium)
- Portfolio Yield: 1.6% weighted average
- International Exposure: 35% of portfolio
- Market Cap Range: $443M - $125B
- Median Market Cap: $7.7B
- Average ROE: 10.0% across holdings
- Concentration: Top 5 = 43.8% of portfolio
Ethical Implementation
Exclusion Impact
Our growth strategy excludes approximately 2,100 companies from the growth universe - about 65% of potential investments that fail our ethical criteria.
🛡️ Key Exclusions
- Product-Based: Animal agriculture, fossil fuels, weapons, addictive products, surveillance
- Conduct-Based: Human rights violations, environmental misconduct, governance failures
- Strategic Commitments: Israeli apartheid, petrochemicals, Plant Based Treaty alignment
Investment Process
Selection Criteria
- ✅ Ethical Screening - Must pass all exclusion criteria
- 📈 Growth Potential - 15%+ revenue growth potential
- 👑 Market Leadership - Dominant or emerging market position
- 💪 Financial Quality - Strong balance sheet and cash flow
- 🎯 Management - Ethical leadership aligned with stakeholders
- 💎 Valuation - Attractive risk-adjusted return potential
Portfolio Rules
- Maximum position: 10% of portfolio
- Minimum position: 2% of portfolio
- Sector limit: 40% maximum concentration
- Rebalancing: Quarterly review and adjustments
Risk Considerations
Suitability Assessment
✅ Appropriate For:
- Investors seeking long-term capital appreciation
- Values-driven investors comfortable with growth volatility
- Those with 5+ year investment horizons
- Investors wanting concentrated, high-conviction exposure
❌ May Not Be Suitable For:
- Conservative income-focused investors
- Those requiring broad diversification
- Short-term oriented investors
- Risk-averse investors uncomfortable with equity volatility
Get Started
All investments involve risk of loss, including loss of principal. Past performance does not guarantee future results. ESG investing may limit investment opportunities and affect performance relative to strategies that do not use such criteria. This information is not intended as investment advice and should not be used as the sole basis for investment decisions.
Invest Vegan LLC DBA Ethical Capital is a Utah-registered investment adviser (CRD #316032). Registration does not imply a certain level of skill or training. All investing involves risk and potential loss of principal.