ET Capital raises £270K to back Cambridge startups with an index approach
ET Capital has closed a £270,000 first close for its Cambridge Venture Index SEIS/EIS Fund 1, positioning the vehicle as an alternative to traditional venture capital “winner-picking” in the University of Cambridge ecosystem.
The fund, backed by Cambridge Capital Group and other local investors, plans to build a diversified portfolio of up to 10 ventures connected to the University of Cambridge. Rather than concentrating capital into a single perceived standout, the strategy applies predefined selection criteria designed to spread risk and aim for more predictable returns.
Faster, founder-friendly capital with lighter diligence
ET Capital, founded in 1992, is led by Managing Director Martin Rigby alongside James Griffiths and David Gill. The team says the fund is intended to reduce the time founders spend navigating lengthy due diligence processes and to widen access for angel investors who may be excluded from oversubscribed deals.
According to the firm, its method is process-driven rather than software-led. It is based on an analysis of 200 Cambridge-area startups spanning 1992 to 2024 across four accelerators. The model targets minority investments of around £100,000 in first external rounds and aims to keep diligence focused on essentials such as title and claims checks.
Pipeline and expansion plans
The fund is reviewing its first five potential investments sourced from organisations including Cambridge Enterprise and Deeptech Labs. ET Capital said it aims to complete investments in 10 ventures by the end of the financial year, focusing on post-2020 cohorts with modelled returns above 40%.
Over the longer term, the firm plans follow-on index-style funds targeting the Oxford and London clusters, with an ambition to grow assets under management beyond £50 million.
TFN contacted ET Capital for comment on its diversity and inclusion strategy; no response was received at the time of publication.
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