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Motif Investing Offers Proven, Wall Street Investment Strategies to Main Street At Low Cost


New Library of “Investing Classics” Motifs Lets You Invest Like Ivy League Endowments, a “Boglehead”—and Set Target Dates for Retirement

San Mateo, CA, Feb. 12, 2013

Motif Investing, the company that pioneered ideas-based stock investing, announced a new library of what it calls “investing classics” motifs designed to shape the core holdings of investors’ portfolios. The motifs—collections of stocks, fixed income ETFs and other ETF strategies give Main Street investors access to classic, proven money-management strategies without hefty fees.

The inaugural set of “classic” motifs includes one that follows the investing strategy of some prominent Ivy League endowment managers, who favor significant exposure to real estate and inflation-protected securities in addition to U.S. and international stocks.

They also include a motif modeled on the type of indexing strategy made popular by Vanguard’s Jack Bogle and his devoted Internet following of “Bogleheads”; motifs geared toward investors planning for specific retirement dates; and another investing in ETFs that link non-correlated assets, like gold and bonds, to create a “permanent portfolio”, similar to the approach popularized by investor and author Harry Browne in the 1970s.

“Motif has always been focused on giving investors the tools to create intuitive and diverse investing strategies customized just for them,” said Hardeep Walia, Motif’s chief executive. “Our new lineup of classic investing motifs just adds to this toolkit and gives our customers even more options to build—and stay in control of—diversified, portfolios.”

The specific new motifs being announced include:

  • Ivy League“—Suited for investors interested in seeking a diversified approach that emphasizes ETFs and other securities related to real estate and inflation protection, in addition to stocks and bonds. The motif includes some U.S. securities outlined by Yale’s famed endowment manager David Swensen in his book, Unconventional Success: A Fundamental Approach to Personal Investment.
  • Index Fans“—Designed for Bogle followers who want to assemble an index of ETFs weighted approximately 10% to precious metals, 54to stocks and 36% to fixed income. This motif is intended to provide a tax-efficient, low-fee investing strategy that could generate steady returns over time.
  • Retiring 2020“—This motif and related ones offer target dates ranging from 2020 to 2055 for investors who desire a diverse portfolio across multiple asset classes, and want to adjust their asset allocation each year ahead of a set-date retirement. Investors nearing retirement, for example, will see their portfolio rebalanced to favor investments like short-term bond ETFs and ETFs containing U.S. Treasury Inflation-Protected Securities.
  • Permanent Strategy“—This motif pairs non-correlated assets in an attempt to offer stability during various economic cycles, such as those marked by growth, recession, inflation and deflation. This strategy was popularized by Harry Browne.

About Motif Investing

Motif Investing is an online broker that lets you invest in a world of big ideas. The company, based in Silicon Valley, is changing the face of online investing through an innovative new platform that allows individuals to invest in stock and bond portfolios based around everyday ideas and broad economic trends—and share those ideas with friends. Motif is a registered broker-dealer and a member of SIPC. The company’s investors include Foundation Capital, Ignition Partners and Norwest Venture Partners. Learn more at https://www.motifinvesting.com.

The Exchange Traded Funds prospectus contains its investment objectives, risks, charges, expenses and other important information you should read and consider carefully prior to making an investment decision. Please review the current prospectus, available from the Prospectus link.

ETFs have unique features that you should be aware of, which can include distribution of any gains, risks related to securities within the portfolio, and tax consequences. The data quoted herein represents past performance and is not indicative of future results. The investment return and principal value of an investment will fluctuate so that your investment, when redeemed, may be worth more or less than their original value. Current performance may be lower or higher than the performance data provided. Please review the prospectus or other research tools provided on this site for more recent performance information.

Investing in securities involves risk, you should be aware of prior to making an investment decision. An investment in individual stocks, or a collection of stocks focused on a particular theme or idea, such as a motif, may be subject to increased risk of price fluctuation over more diversified holdings due to adverse developments which can affect a particular industry or sector. The views and opinions contained herein are intended for informational purposes only and not representative of results an investor can expect to achieve. The investment strategies mentioned herein do not represent a recommendation for a particular investment or strategy. Investors are responsible for determining the appropriateness and suitability for all investment decisions they make.

The principal value of a Target Date Motif is not guaranteed at any time and will fluctuate up to and after the target dates. There is no guarantee the motifs will provide adequate income at or through retirement.

Target Date motifs are subject to market volatility and risks associated with the underlying investments. Risks include exposure to international and emerging markets, small company and sector equity securities, and fixed income securities subject to changes in inflation, market valuations, liquidity, prepayments, and early redemption. The motifs are built for investors who expect to start gradual withdrawals of assets on the target date, to begin covering expenses in retirement. Target date motif asset allocations are subject to change over time in accordance with prospectus for each ETF in the motif.

Fixed income securities are subject to increased loss of principal during periods of rising interest rates. Fixed income investments are subject to various other risks, including changes in credit quality, liquidity, corporate events, tax ramifications, and other factors. In addition, investments in other securities such as REITs and precious metals carry unique risks that you should be aware before making an investment decision.

Standard pricing: $9.95 total commission per motif transaction, or pay $4.95 per stock for individual transactions within a motif. For details on fees and commissions, please visit www.motifinvesting.com. ETFs are subject to management fees and commissions, which are described in their prospectuses.

Marisa Lam
GMK Communications for Motif

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