We’re often asked, “why ophthalmology”? We enthusiastically respond with some variation of an answer that includes a combination of our deep domain expertise, market insights, technological breakthroughs and attractive investment returns. This specific strategy may be described by some as thematic investing in that we’ve identified eye care as a particular theme for investment. This would be an incomplete view. We decided to publish our thesis on the site to provide a more complete picture of our approach. Publishing an investment thesis is hardly a novel concept with well-known versions coming from Union Square Ventures and Andreessen Horowitz ('a16z'). This level of transparency provides a level of accountability that we embrace and ultimately believe will make us better investors.
In addition to having our initial insight that ophthalmology is an attractive field in which to invest, we wanted to be sure that this insight was durable and that it would continue such that it warranted the founding of our firm. To do that, we have spent significant time over the last 4 plus years discussing where the market is going over the next ten plus years. It was not sufficient for us to merely specify ophthalmology as a field meriting investment. We wanted to define our thesis such that every investment would be filtered through our long-term outlook. This would serve two purposes: it would make sure we were staying true to our initial insights and long-range views while preventing the potential for mission drift.
Of course our thesis, like our outlook, isn’t static. As the premises underlying our investment outlook continue to evolve, technology advances and markets develop we continue to revisit and revise our thesis to account for this new information. This is the fun part of our work, staying on top of breakthrough technologies and thinking critically about the future of vision care. We hope sharing this helps inform the market about our process and view. Our transparency will also keep us accountable.
You can read the full thesis here.