Thanks for your article Nicolas. In my experience, thematic investors tend to pick macro-themes that have already become rather obvious to most investors (water scarcity, ageing populations, growth in diabetes in advanced economies, urbanization in EMs etc.) The error is invariably poor valuation work; do the valuations of the associated investments (debt or equity) not already reflect that these themes have been widely detected? Your empirical studies suggest even worse: those assets are already over-valued by the time thematic funds get involved; hence the proclivity for those assets to subsequently underperform.