Rubicon Interview with Gustavo Montezano

Rubicon Carbon and YvY Capital Recently announced a partnership to scale up green investments in Brazil and the Latin American region. In this interview, Rubicon Carbon CEO Tom Montag sat down with YvY Capital founder Gustavo Montezano. Gustavo explains the genesis of YvY Capital and why he believes Brazil can be the center of a global low-carbon economy.

Gustavo, nice to see you again. Let’s start by having you tell us how  YvY Capital got started. What was the founding motivation?

We founded YvY Capital to accelerate the transition to the green economy and drive positive change. Our founding motivation was to create a platform that aligns financial success with positive environmental impact. 

Based on my experiences leading Brazil's National Development Bank, I recognized the obstacles to financing sustainable projects. At the same time, I saw opportunities for a unique institution that combines public expertise with private-sector innovation. With a multidisciplinary team, our mission is to make a difference and scale the transition to the green economy.

From the outside, YvY Capital looks like an all-star team: who are you working with, and how does the team’s experience influence how YvY operates and views the world?

The YvY team comprises experienced professionals with multidisciplinary expertise in financial intelligence, international trade, regulatory policy, and environmental issues. 

This breadth of experience influences our vision and vast knowledge of operations, ensuring a comprehensive approach to investment decisions and an in-depth understanding of market challenges and opportunities. 

For example, a few of our members include Paulo Guedes (Former Minister of Economy), Roberto Azevedo (Former Director General of the World Trade Organization(WTO)), Joaquim Leite (Former Minister of the Environment), Rodrigo Xavier (former CEO of Bank of America Merrill Lynch Brasil and UBS Pactual), and the former Top Management of BNDES (Brazilian Development Bank), amongst others. 

Together, our partners drive YvY Capital's mission forward, combining technical expertise with a deep understanding of the opportunities and challenges of operating in this region of the world.

Funds often operate on an investment thesis: what is the YvY investment thesis? What kind of opportunities are you looking for?

YvY Capital's investment thesis is that Brazil has the potential to be a protagonist in the transition to the green economy, which is a global priority. There is no environmental climate solution that does not have the potential to thrive in Brazil.

These solutions contribute to the transition to sustainable food security, energy efficiency, and a low-carbon economy. This potential extends to agricultural areas and the Amazon region, with an enormous competitive advantage. We actively seek opportunities that align with our mission, including investments in the bio-economy and forest restoration. Our global objective is to invest in projects that generate financial returns and produce a positive environmental impact, such as reducing greenhouse gas emissions, increasing biodiversity, restoring ecosystems, and improving the quality of life of local communities.

In this regard, our Carbon Platform permeates all these elements – we believe that the world lacks carbon storage, and this currency is crucial to achieving the global goals of net zero emissions.

Why do you think Brazil is uniquely positioned to develop regenerative industries? How will Brazil have changed in 10, 20, or 30 years?

Brazil's unique position lies in its vast natural resources and biodiversity, including the Amazon rainforest. As the world increasingly prioritizes sustainability, Brazil has the potential to lead in regenerative energy, reforestation, carbon markets, and sustainable agriculture. In the coming decades, I hope Brazil will play a fundamental role in global efforts to combat climate change and promote environmental management.

What do you hope to achieve working with Rubicon Carbon?

We’re excited to work with Rubicon Carbon, given that many of us have successfully worked with you in the past. Partnering with Rubicon Carbon lets us leverage your expertise in carbon markets and nature-based solutions. Your vertically integrated business model is an attractive framework for helping carbon projects move from inception to distribution and sale. We aim to create innovative projects that generate financial returns and positive environmental impact. Rubicon Carbon's experience complements our mission, and we hope to share knowledge and collaborate on increasingly relevant and necessary initiatives for the planet.

Thank you for your time today, Gustavo.

To learn more about Rubicon Carbon, visit rubiconcarbon.com. To learn more about YvY Capital, visit yvy.capital