'MANTRA' is an acronym that stands for Mass Affluence, New Technology, Restructuring and Aging. These are long-term structural themes, in place for many decades. There are industries—and companies within those industries—that can grow sustainably faster over a five-, 10- or 15-year period than other parts of the economy. The theme approach captures those.
Mass affluence has recently been driven by the emerging consumer in the developing world. Since 1990, the growth phenomenon of emerging markets has made several billion people economically active, and this is a huge opportunity for well positioned global companies that make the things that people want. You do not necessarily have to find a local player to take advantage of this. The emerging market consumer has demonstrated a healthy preference for the products and services of large multinational Western companies, whether for food, personal care, beverages or luxury goods. The strength of a brand in emerging markets is very strong, and for many Western-based companies, the opportunities out there are significant, and they are going to remain so for many years to come.
As economies become more affluent and service oriented, profitable niches are created. For example, we have found some logistics companies with powerful business models, under-penetrated market positions and the ability to grow over time. Another great variation on the theme is to replicate business models that emerge in the U.S. For example, drug store chains and fast food franchisees have been stellar performers in some markets.
In new technology, there are companies that face substantial growth opportunities on a global basis, no matter where they're headquartered. The rate at which data is generated practically doubles in any given year. Broadly there are advantaged companies that deliver, store, and manage data. Deliver it: telecommunications, telecommunications equipment, satellites and cable systems. Store it: We have companies that are directly or one degree of separation related to the big data warehouses, Web hosting services, and the technologies on which data is stored. Manage it: a host of software opportunities. This has been growing relentlessly and will continue to do so. And the economy's slow growth has not tamped down the potential.
The restructuring part is stock specific. Restructuring a company provides a great release of value. There are wholesale industrial restructuring opportunities that can create new sector leaders as well. We prefer them within our themes, but just being alerted sharpens our radar.
As for aging, we know the number of people who will be 65 years old in 20 years, and it will be substantially bigger. Twenty years ago, this meant pharmaceutical stocks. But we prefer to invest in improving the quality of life, ultimately a consumer discretionary spend. We own several companies in the eye care business—sticker shock over lenses and frames knows no bounds—so we like the profitability. We have a number of companies that are in hearing aids also—things like that.