U.S. Bank’s Ascent Private Capital Management, which serves multigenerational families with $75 million or more in net worth, and Motif Investing, which provides thematic investing for individuals and financial advisors, announced a partnership last week.
“We believed that we needed to provide our clients with advice that’s long term in nature, and thus, we’ve developed a capability and a discipline that we call our thematic investing discipline,” Ascent’s chief investment officer Dan Rauchle said in an interview.
“In that context, we’ve developed knowledge around seven long-term themes that we think are going to play out over 10 years or more.”
According to Rauchle, Motif is collaborating with Ascent’s professionals on constructing a proprietary portfolio that is designed to benefit from each theme.
Work on two of the themes is nearly complete, he said, while work is just beginning on the others.
Rauchle ticked off the seven themes:
- Aging of the world’s population
- Expansion of the global middle class
- Reurbanization of America
- The U.S. energy advantage
- China transforming into economic adulthood
“We continue to monitor and review the trends we’ve developed, and we continue to develop new trends over time,” he said.
If a theme plays out as Ascent’s assessment has suggested, Rauchle said, exposure to those investments will likely do better than the average market return.
How It Works
Rauchle said Motif has a research philosophy approach and capability that can help Ascent construct investment portfolios that are highly focused on its themes.