The final whistle of the recent season saw Angel City FC conclude its National Women’s Soccer League (NWSL) campaign in eleventh place among thirteen teams, a competitive outcome that might, at first glance, appear underwhelming for the Los Angeles-based franchise. Yet, this performance on the field scarcely scratches the surface of a far more profound narrative, one that is fundamentally reshaping how the investment community perceives and engages with women’s athletics globally.

The Angel City Blueprint: A Commercial Triumph

Co-founded in 2020 by venture capitalist Kara Nortman, Angel City FC has transcended its on-pitch results to become a seminal case study in establishing a commercially robust women’s sports entity. Its innovative model has even been dissected within the hallowed halls of Harvard Business School, illustrating a new paradigm for success. The team’s initial allure was significantly amplified by an impressive roster of celebrity owners, including Academy Award winner Natalie Portman and tennis icon Serena Williams, whose involvement generated an unprecedented level of public interest and media attention. This star power, coupled with a shrewd approach to corporate partnerships and fan engagement, allowed the franchise to secure record-breaking sponsorships even before its players graced the pitch for their inaugural match.

Nortman, reflecting on Angel City’s inception, highlighted its rapid ascent. "We went from zero to $30 million in revenue. We sold out games. We built something people didn’t think was possible," she shared in a recent interview. This early commercial validation, detached from immediate championship aspirations, provided the foundational blueprint for Monarch Collective, the groundbreaking investment fund Nortman launched in 2023. This $250 million fund stands as the first investment vehicle exclusively dedicated to the burgeoning women’s sports market, signaling a significant shift in capital allocation within the industry.

Monarch Collective: Forging a New Investment Path

While its genesis is rooted in a team still striving for its first playoff victory, Monarch Collective’s influence and portfolio have rapidly expanded beyond Angel City’s training grounds in Thousand Oaks, California. The fund has strategically acquired stakes in three other NWSL clubs: the San Diego Wave, Boston Legacy FC (set to debut in the upcoming season), and its most recent international venture, FC Viktoria Berlin. The acquisition of a 38% stake in the German club marks Monarch Collective as the first foreign investor to enter Germany’s women’s soccer market, underscoring a global vision for the fund.

This diverse collection of investments reflects Nortman’s unwavering conviction that women’s sports have reached a critical inflection point, one where individual team performance does not solely dictate market potential. Her optimism is substantiated by compelling market data. Nortman points out the vast disparity and rapid growth trajectory: "The overall men’s sports market globally is estimated to be about half a trillion dollars. The women’s sports market, when we started Monarch in 2023, was thought to be about half a billion dollars. It’s now closer to $3 billion." This exponential growth, from a mere fraction of the men’s market, highlights both the historical undercapitalization and the immense untapped potential.

Historical Context and Overcoming Past Hurdles

The current boom in women’s sports is not without its historical precedents, which Nortman frequently references to underscore the need for sustained, strategic investment. A striking example from 1920 saw 60,000 spectators gather in Liverpool, England, to watch the Dick, Kerr Ladies play football – a crowd size that would rival many Premier League matches today. Tragically, this promising moment was abruptly curtailed the following year when the English Football Association banned women from playing on their affiliated grounds, effectively sidelining the sport for decades. This historical episode serves as a stark reminder that surges in interest, however organic or significant, require robust institutional support and ongoing investment to translate into lasting success.

In the United States, the journey of women’s professional soccer has also been marked by cycles of hope and dissolution. Following the success of the U.S. Women’s National Team (USWNT) in the 1999 FIFA Women’s World Cup, the Women’s United Soccer Association (WUSA) launched in 2001, only to fold after three seasons due to financial struggles. A subsequent attempt, Women’s Professional Soccer (WPS), emerged in 2009 but also ceased operations after three years. These earlier leagues struggled with inconsistent funding, limited media exposure, and a failure to build sustainable business models. The NWSL, established in 2012, learned from these predecessors, adopting a more cautious, league-subsidized model initially, which has gradually transitioned into a more commercially driven league, propelled by strategic investments like those from Angel City and Monarch Collective. The passage of Title IX in 1972, mandating equal opportunities in education and sports, laid the groundwork for increased female participation at collegiate and amateur levels, creating a deeper talent pool and fan base for professional leagues to eventually draw upon.

A Unique Playbook for a Growing Market

Nortman emphasizes that tapping into this growth requires a distinct playbook, one that cannot simply replicate strategies from men’s sports. "It’s not a simple rinse-and-repeat," she explains. The approach for women’s sports often involves integrating unique fan experiences and partnerships that resonate with a diverse and engaged audience. She cites examples like Sephora boxes parachuting from rafters, Fenty beauty cams at WNBA games, or Angel City’s Hello Kitty collaboration nights, where merchandise sells out instantly. These innovative marketing tactics illustrate a deeper understanding of the consumer base, blending sports entertainment with lifestyle and cultural trends.

This innovative approach to marketing and community building proved highly effective for Angel City. In late 2023, the franchise secured a record-breaking $250 million valuation when a majority stake was acquired by power couple Bob Iger, former Disney CEO, and Willow Bay. This transaction solidified Angel City’s position as the most valuable women’s sports franchise globally, further validating Monarch Collective’s investment thesis. Nortman’s decision to depart from traditional venture capital at Upfront Ventures to dedicate herself full-time to women’s sports underscores her profound belief in this burgeoning market. Despite the occasional critique in sports media regarding Angel City’s competitive performance versus its commercial success, the team has undeniably demonstrated that women’s sports can generate substantial revenue with the right strategic components in place.

Beyond Soccer: A Broader Vision

Monarch Collective’s investment interests extend beyond the realm of soccer. The fund strategically targets sports that Nortman defines as having "no product-market risk," meaning established formats with proven audiences and high watchability. "Is this a sport people like to watch on their computer or television?" she asks, distinguishing these from purely participatory sports like pickleball, which may not translate into compelling spectator events.

While Monarch currently holds stakes in four soccer clubs, its strategic focus encompasses women’s basketball, golf, and tennis. These sports boast substantial media revenue potential and benefit from existing infrastructure, established fan bases, and global recognition. The meteoric rise of college basketball stars like Caitlin Clark, for instance, dramatically shifted perceptions. Nortman recalls the initial skepticism: "When we started raising the fund, nine out of 10 conversations were, ‘Yeah, we don’t think [women’s] basketball is really a thing.’" However, Clark’s record-breaking viewership numbers and the subsequent surge in WNBA popularity swiftly transformed women’s basketball into one of the hottest sectors for sports investment, compelling Monarch to increase its initial fundraising target from $100 million to $250 million.

The firm’s current limited partners include influential figures such as Melinda French Gates, former Netflix executives, and other high-net-worth individuals, indicating a growing conviction among serious investors. This expanding interest validates Nortman’s overarching thesis: successful investment in women’s sports is not about identifying a singular, perfect team, but rather about cultivating an entire ecosystem where multiple franchises can flourish. Some teams will achieve championship glory, while others might face competitive challenges but still excel commercially. The crucial element is the deployment of sufficient capital and operational expertise across the market to navigate individual setbacks and foster collective growth.

Sustaining the Momentum: A Strategic Imperative

Angel City’s pioneering approach has already inspired a ripple effect across the NWSL and beyond. "You started having other teams — Kansas City, Bay FC, Washington D.C. Spirit — with female-led ownership groups come in and show they could build a real P&L," Nortman observes. Whether by direct intention or indirect influence, Angel City has become a functional template for others seeking to establish viable women’s sports franchises.

As women’s sports appears to be entering a sustained boom period—evidenced by the debut of new WNBA teams like the Golden State Valkyries, continued NWSL expansion, and increasingly lucrative media rights deals—Nortman maintains a perspective of cautious optimism. She is acutely aware of past surges in interest that ultimately failed to sustain momentum. For her, the longevity of this current wave hinges on fundamental elements: robust league governance, unwavering owner commitment, significant infrastructure investment, and the cultivation of authentic community connections. While media attention can create invaluable opportunities, it is operational excellence that ultimately underpins long-term sustainability.

"Every spike is an opportunity to create a consistent experience around it," Nortman asserts. "You have to look at all the underlying criteria to see where it’s likely to stick around." This analytical and hands-on approach, where Monarch Collective takes concentrated positions and actively engages in operations, differentiates it from traditional venture capital. The fund aims to help teams achieve profitability in their core operations, positioning them to fully capitalize on the expanding, higher-margin media revenue streams that are increasingly defining the value of professional sports properties. By focusing on these enduring principles, Kara Nortman and Monarch Collective are not just investing in women’s sports; they are actively constructing a resilient, profitable, and enduring future for female athletes and their leagues worldwide.