Unlock the I in BIPOC by Investing in Native Women
Summary
In 2024, Roanhorse Consulting committed to launch Return on Indigenous (ROI) , an ecosystems approach to drive investment in Indigenous-led ventures aiming to impact at least 60 women fund managers by the end of 2026. ROI comprises three main pillars: the Rematriating Economies Apprenticeship, Moonsoon Fund, and Center Native. A centerpiece of this program, Rematriating Economies Apprenticeship aims to place Indigenous women in asset and fund management positions with the goal of overseeing $100 billion in assets over the next decade. This trauma-informed program is a four-month learning journey designed for Indigenous women. With more than 100 instructional hours taught by industry and subject matter experts, participants will gain hands-on experience in the foundation of investing principles, selecting and securing deals, creating a comprehensive investment strategy, and mastering the deal structure. Combined with other key supports, this commitment will increase investment to Indigenous womenled businesses, which currently receive just 0.004% of venture backing, while also increasing capacity in the investment sector.
Approach
Building on the groundwork laid over the past several years, RCLLC is launching an ecosystems approach, Indigenous-led venture studio named Return on Indigenous (ROI) . ROI is a direct response to the demand for support in starting nonprofits, for-profits, and activating philanthropy and investors to invest in Indigenous solutions, rooted in lived experience. As part of the launch of this studio, RCLLC is incubating three ventures: the Rematriating Economies Apprenticeship (REA) , Moonsoon Fund (MF) , and Center Native.
Rematriating Economies Apprenticeship (REA) , which will reach 60 women by the end of 2026, aims to place Indigenous women in asset and fund management positions, with the goal of overseeing $100 billion in assets over the next decade.This trauma-informed program is a four-month learning journey designed for Indigenous women. With over 100 instructional hours taught by industry and subject matter experts, participants will gain hands-on experience in the foundation of investing principles, selecting and securing deals, creating a comprehensive investment strategy, and mastering the deal structure. REA graduates will have developed a deep understanding of the investment sector, positioning themselves to showcase their potential and contribute to the sector.
As ROI builds, it will also roll out Moonsoon Fund (MF) – the first Indigenous-led revenue-based financing fund supporting Indigenous female founders with financing between $250,000 and $1,000,000, addressing the gap between traditional debt financing and venture capital.
Center Native is a tech-enabled platform focusing on Native-led and Native-serving efforts across New Mexico and the Navajo Nation, with goals to scale nationally. It provides an ecosystem for public and private stakeholders to create and monitor profiles, allowing funders to connect with groups of interest.
The team and majority partners are Indigenous and deeply connected to their communities. Their key partners partners include: Fireweed Institute, MJ Native Consulting, Cecily Rose, LLC, and Untapped Capital bring their expertise by leading curriculum development, program implementation, coaching, facilitation, and staffing in the investment industry. Common Future and New Mexico Community Capital (NMCC) are advisory partners. NMCC is our fiscal sponsor.
Action Plan
REA will follow a cohort model, with three cohorts of twenty women each. The Second Wave (cohort) will begin February 24 and end on June 30, 2025. Up to twenty Indigenous women will be selected to commit to increasing representation in the investment sector.
The implementation steps to the program’s start date include apprentice recruitment and selection, curriculum refining, engaging industry and subject matter experts, comprehensive impact evaluation development, fundraising, and networking events.
The recruitment and selection of the Second Wave are key focus areas. Recruitment begins August 1st and ends September 13th. The communication team will develop program recruitment collateral that is dispersed to networks and social media. The review and selection committees will confirm twenty apprentices by November 30, 2024.
Curriculum refinement is underway, with a target completion date of October 2024. RCLLC is enhancing core modules to ensure apprentices’ understanding of investment coupled with financial learning sessions to enrich the curriculum.
Outreach and engaging industry and subject matter experts will begin in October. Thirty experts will be confirmed by December 2024.
By the end of 2025, activities will commence to launch two cohorts in 2026 and Second Wave graduates will start their four to six month job placement during this time.
This foundation will enable RCLLC to create a robust business model and strategic plan transforming REA into a standalone entity, positioning it as a catalytic and impactful waterway for equitable economy building.
Their fundraising efforts for the program are an ongoing commitment. RCLLC is actively networking, attending events, and scanning for grants that align with their goals and values.
Background
In 2021, women raised 2% of $330 billion from venture capital. Of that, 0.004% went to Indigenous founders (Bay Street Capital Holdings) . Today, firms owned by white men manage 98.7% of the $69 trillion in the U.S. asset management industry (Fortune) . In response to these stark statistics, the Rematriating Economies Apprenticeship (REA) program was created to increase the number of Indigenous women in investment. Currently, there are only 15 Indigenous women in the sector. REA has already made a positive impact: six of those 15 women are REA alumni.
RCLLC knows that increased representation of Indigenous women in investment spaces will nourish the landscape of Indigenous founders. Indigenous women’s lived experiences will inform how they allocate and invest funds. One asset manager of color said: “I was the first person of color on my firm’s investment committee. Prior to my arrival, the firm would have never selected the deals I proposed. In venture capital, you invest in what you know and understand.” (BCG 2024) RCLLC already knew from the BCG report and one by Kauffman Fellows that diverse and women-led investment teams get better returns AND diverse- and women-owned businesses perform better. This is an outcome for Indigenous communities and for the entire sector.
RCLLC focuses on Indigenous women because 3 4 are the breadwinners of their families. The REA apprentices (all Indigenous women inclusive of femme, 2Spirit, trans, and non-binary relatives) will gain better financial stability. Participation in the REA program includes a stipend and access to REA technology and equity bundles – providing wifi boosters, laptops, educational materials, and emergency funds. After graduating from REA, apprentices will also have the skills and the network connections needed to attain a higher-paying job with an investment fund; average salaries are between $155,000-288,000 per year in the US (Glassdoor) .
Progress Update
Partnership Opportunities
RCLLC is seeking financial resources to scale REA and Implementation Partners to increase awareness and job placements for REA alumni. REA can provide more modules beyond venture capital so access to Topic Experts in workforce and educational development will be critical. To ensure the REA program model is being refined and meeting its goals, RCLLC will need funding for an ongoing evaluation which will be conducted by the RCLLC research and evaluation team.
Once REA is sustainable within its own legal entity, REA will be seeking national and international partners in order to expand to Indigenous communities in other countries as well as other BIPOC communities in the US. Attending the CGI Annual Meeting will help RCLLC expand the ecosystem and meet new implementing partners to co-create new entities creating systemic change for Indigenous and other BIPOC communities, RCLLC brings deep founder experiences, networks and investors to the table to provide support, advice and potential investment and job offers. RCLLC offers best practice and topic expertise around Indigenous worldview, trauma-informed project management, relationship and ecosystem building, co-creation, and community-based approaches. Through their work, RCLLC has built a robust ecosystem of practitioners, investors and organizations as well as connections to tools and resources. RCLLC will offer co-founding support through their new ROI Studio business model to eligible founders as REA grows.