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Themed Investing: A Case Study on Motif Investing


In a campus investment contest held by MotifInvesting, two 11-year-old children in from a fifth-grade math class were unintentionally involved and they earned a yield rate of 21.6 percent on a four-month investment term, beating a group of MBA students from an Ivy League School. While this example could be considered inconceivable, MotifInvesting did help "non-professional investors" to easily participate in investments, and to achieve good earnings. MotifInvesting was established in California in 2010. It is an online securities broker that provides investors with "theme investment" services, and it has several features which are low threshold, low cost, ultra-convenient and highly transparent. Compared with traditional securities brokers, it has undertaken innovation and transformation in investment and transaction costs. MotifInvesting’s investment products are mainly stocks and ETFs, and its investors can either trade their own theme or trade the investment portfolio provided by the trading platform, with the integration of social elements for transaction promotion and incentives. Up to now, there are 151 kinds of investment portfolio provided by the platform and more than 75,000 kinds of investment portfolio built by the users in MotifInvesting. At the same time, its expanding financial advisory business has been favored by investors, and more wealth management markets have been opened step by step. How did MotifInvesting emerge and develop its practice the "themed investment"? This article provides answers to these questions.