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I am a thematic investor. I look themes and trends in life and then try to find investments that fit those themes. An example of a theme could be an aging population demographic. I try to go out and find an equity investment that will fit that theme, perhaps a healthcare company.

There is one new theme I'm very focused on. It is something that is quite literally in its infancy.

Think back to when you were a child. For me, it was the 1980s and 1990s. I would come home from school every day and before I'd start my homework, I'd relax for little bit and watch a couple of cartoons. If for some reason I came home late, I'd miss it. The chances of me seeing that episode again were really slim. So, I made sure every day that if I wanted to see a particular show, I'd have to be home for it and in front of that TV.

Of course, ad agencies knew they had the attention of the 7-to-12-year-old demographic, so the ads on TV would be tailored to me, a child. When it came to consuming content, everything was set to a schedule with planned interruptions. I consumed the content when the media company wanted me to consume the content. I saw the commercials the ad companies wanted me to see. So, to me, watching on demand, as we are all becoming used to today, is a luxury.

Let's fast forward. It's now 2016. I have a five-year-old daughter and a two-year-old daughter. If they want to watch TV, the experience is completely different. They live in an on-demand world. If they want to watch five episodes of their favorite shows in a row, they just sit and watch. No commercials, any time of the day. They are being trained to get whatever content they want, when they want it, without interruption. The media companies have no control over when the content is being viewed. Perhaps if they are lucky, they can run a 15-second ad prior. However, kids hate these ads. They don't even understand the concept of the ad. If the ad is too long before the show, they switch to something else, something without an ad.

This is a very real thing happening today and the traditional media companies are going to have to their hands full trying to figure out: how to control this content and profit it from it. There are families out their recording their lives and their children's lives and airing it on places like Alphabet's YouTube. These families likely have nothing more than smartphone to record video, with a basic movie editor. Some of the families have over a million subscribers on YouTube. The cost to make these clips is just the person's time. How does a production company with a budget compete with something like this?

If you have kids or grandkids around the age of five, you probably know exactly what I'm a talking about. If you talk to someone whose kids are in there teens or older, the adults haven't a clue.

This is the next generation, these are the on-demand children. They are here and more are coming.

Disclosure: Mott Capital Management, LLC is a registered investment adviser. Information presented is for educational purposes only and does not intend to make an offer or solicitation for the sale or purchase of any specific securities, investments, or investment strategies. Investments involve risk and unless otherwise stated, are not guaranteed. Be sure to first consult with a qualified financial adviser and/or tax professional before implementing any strategy discussed herein. Past performance is not indicative of future performance.