01 Objective
Seeks long-term capital appreciation by investing in companies tied to long-term growth themes, diversified across themes, sectors, regions and company sizes.
Thematic Innovation
An actively managed portfolio across several long-term growth themes, with companies screened on fundamentals and valuation before they earn a position.
How themes and companies are selected
We believe high-quality growth exposure comes from owning companies whose business models tie directly to a long-cycle driver. Thematic Innovation starts with long-term growth themes that have lasting demand and a long runway, then screens the names within them on profitability, capital efficiency, margins, and valuation before any position is sized.
Themes are identified top-down and names are selected bottom-up, so every position needs both a structural tailwind and strong fundamentals.
The portfolio is diversified across multiple long-term growth themes rather than concentrated in one. Across the active book today: AI infrastructure, the power and grid buildout, cybersecurity, robotics and automation, precision healthcare, enabling defense, and critical minerals – themes that rarely line up at the same time in a cap-weighted index. No single theme or name drives the strategy.
The fundamental screen is designed to keep the portfolio from chasing whatever theme is in favor. The screen weighs profitability, capital efficiency, and valuation for every name, and the committee reviews themes regularly and benches the lowest-conviction ones.
Overview
02 Approach
Long-cycle research identifies the themes, and a fundamental screen selects the companies within them on profitability, capital efficiency, margins, and valuation.
03 Implementation
Each theme is held as a focused basket of equities drawn from a defined universe of global, U.S.-listed companies. The strategy is tax-aware and is designed to complement broad growth indexes such as the Nasdaq-100.
How it works
The process starts with long-cycle drivers and builds theme baskets from companies with direct business exposure and supportive fundamentals.
01
Identify the theme
Find structural shifts with large addressable markets, lasting adoption, and a long runway.
02
Define pure-play exposure
Build a universe where revenue, capital spending, or product leadership ties directly to the theme.
03
Screen on fundamentals
Review profitability, revisions, capital efficiency, margin growth, and valuation before sizing exposure.
04
Build the basket
Own a selected basket by theme, then review as catalysts, valuations, and leadership rotate.
Long-term tailwinds
Large market
Lasting adoption
Theme basket
Fundamentals
Valuation
Quality
Where it fits in a portfolio
A satellite inside the growth bucket of an aggressive allocation, alongside a large-cap growth core.
Sample aggressive portfolio allocation
Illustrative aggressive portfolio, not a recommendation.
Talk with us about Thematic Innovation
Walk through the current themes, the screening discipline, or how the sleeve would sit alongside a growth core.