How Could This Election Impact Your Investment Opportunities?

HOW COULD THE ELECTION IMPACT YOUR INVESTMENT OPPORTUNITIES? Midterm elections can mean big changes for some hot-button topics. Take a look at each side's position on the following issues, along with supporting data, and consider adjusting your investment portfolio VOTE based on the recent outcome. HEALTHCARE *1 Year Return on Motifs determined based on closing prices as of 10/29/2014 Could I benefit from the implementation or repeal of Obamacare? DEMOCRAT REPUBLICAN Increased numbers of insured Americans Obamacare negatively affects the healthcare system with additional sales means financial gains for healthcare providers. taxes and reduced reimbursements. In the past year, the number of Expanding Medicaid will cost the uninsured Americans decreased government $630 billion. º1 by 26%. OBAMACARE REPEAL OBAMAÇARE 1-YEAR RETURN Top Stocks: ESRX, CERN, UHS Top Stocks: TECH, LH, DGX 30.5% 5.9% -30 -20 ENERGY CRISIS Could I benefit from smart grid technology or lifting the ban on crude oil? T DEMOCRAT A REPUBLICAN The ban on crude oil negatively Smart grid technology supports energy efficiency and economic growth. 131 affects the current market. (5) American government and utility companies dedicate $7.8 billion to smart grid technology. Each year between 2002 and 2012 oil prices saw a compounded growth rate of 14%. 1 - (4] SMART GRID BLACK GOLD 1-YEAR RETURN Top Stocks: ROP, BMI, ESE Top Stocks: XOM, CVX, RDS.A -2.3% -2.2% -20 -10 10 20 ENVIRONMENT Could I benefit from green/renewable technologies or crude oil? DEMOCRAT REPUBLICAN Renewable energy is the environmentally responsible energy source to pursue. Demand for oil is greater than production. Worldwide, governments have adopted renewable portfolio standards and committed $89.6 billion to promote Fracking could allow natural gas to supply 25% of US energy needs by 2035, 18] clean energy development. 7 CLEANTECH EVERYWHERE FRACK ATTACK 1-YEAR RETURN Top Stocks: TSLA, CREE, TERP Top Stocks: HAL, HP, NOV -5.0% -7.1% -20 -10 10 20 DEFENSE Which threat is more concerning to our nation's security: a cyber attack or ISIS? DEMOCRAT REPUBLICAN Cyber threats are a grave danger to national security. ISIS is a major threat to national security. Cybererime costs our nation $$113 billion annually. 18] 90% of Americans think ISIS is a serious threat to US national security, 191 CYBER SECURITY MODERN WARFARE 1-YEAR RETURN Top Stocks: TCHKP, SYMC, PANW Top Stocks: LMT, RTN, NOC -11.2% 25.6% -20 -10 SOCIAL ISSUES Could I benefit from LGBT economic empowerment or the repeal of the NY SAFE Act? DEMOCRAT REPUBLICAN Economically empower this community. Support the constitution. Gay and lesbian consumers represent $3.2 million is allocated to the a market worth $790 billion, so corporations who support them create brand loyalty. 10j New York SAFE Act, a law that they believe violates the Second Amendment. (11] GAY FRIENDLY GUN, GUARDS, GATES 1-YEAR RETURN Top Stocks: AAPL, MSFT, HSBC Top Stocks: TYC, ASCMA, ADT 13.3% -5.7% -20 -10 20 EQUAL OPPORTUNITY Could I benefit from more women-run companies or opposing a national minimum wage increase? DEMOCRAT REPUBLICAN Women in senior executive positions boost Raising the minimum wage reduces jobs. profitability. Estimated 500,000 jobs would be cut by the second half of 2016 In 2013, there were 21 women CEOS of Fortune 500 companies, up from just one woman CEO only 16 years ago. 121 with a wage hike, (13] NO GLASS CEILING INCOME INEQUALITY 1-YEAR RETURN Top Stocks: IBM, PEP, LMT Top Stocks: WMT, LUX, TJX 10.9% -7.0% -20 -10 20 POLITICAL AFFILIATION Now that the cap on political donations has been lifted, who could benefit most, Democrat or Republican- aligned companies? DEMOCRAT REPUBLICAN Companies supporting Democratic campaigns could see benefits from maintaining control of the Friends of the GOP are betting big on benefits from potential Republican senate. victories. DEMOCRATIC DONORS REPUBLICAN DONORS 1-YEAR RETURN Top Stocks: MSFT, CMCSA, IPG Top Stocks: HD, CSx, GS 10.9% 16.2% -20 -10 10 Investing in securities involves risk, including the possible loss of principal; individual investments or a collection of individual stocks such as motifs which are concentrated in an idea or theme may face inereased risk of price fluctuation over more diversified holdings due to adverse developments within a particular industry or sector. Performance of motifs is for informational purposes only and is not intended to be representative of results you could expect to achieve. Information provided is for illustrative purposes only and not intended to represent recommendations for investment of any particular investment or strategy. Investing in stock involves risks you should responsible for all investment decisions you make. aware of prior to making your investment decision. You are *1-year performance returns for referenced motifs are based on performance of motif index as of close of market on October 29, 2014 and does not take into consideration any fees or commissions an investor can expect to achieve. Performance is quoted for informational purposes only. Go to www.motifinvesting.com to see how we calculate returns. REFERENCES 1 http://www.whitehouse.gov/the-press-office/2014/10/02/remarks-president-economy-northwestern-university 2 http://www.forhes.com/sites/hardeepwalia/2013/10/14/how-to-profit-from-obamacare-whether-it-stays-or-is-repealed/ 3 http://www.democrats.org/news/blog/bringing_jobs and_smart_grid_technology_to_rural_america 4 http://energy.gov/oe/smart-grid-investment-program-0 5 http://www.reuters.com/article/2014/09/25/us-oil-exports-texas-lawmakers-idUSKCNOHKOCP20140925 6 http://www.ioga.com/Special/erudeoil_Hist.htm 7 http://www.unep.org/pdf/GTR-UNEP-F'S-BNEF2.pdf http://www.economist.com/node/21558458 9 http://nationalinterest.org/feature/four-reasons-isis-threat-the-american-homeland-11317 10 http://www.denverpost.com/entertainment/ci_20859201/moving-past-gay-vague-ads-aim-marketing-at, 11 http://legalinsurrection.com/2014/05/why-did-ny-gop-lawmakers-fund-the-safe-act/ 12 http://www.huffingtonpost.com/2013/12/11/women-in-leadership-roles_n_4418725.html 13 http://www.cbo.gov/sites/default/files/cbofiles/attachments/44995-MinimumWage.pdf motifinVESTING © 2014 Motif Investing, Inc. All rights reserved. Member: FINRA | SIPC