The electric vehicle story could be the hottest investment story of the year.
Automakers rolling out nes EV models, including the now-available Ford Mustang Mach-E, Lucid Air, Rivian RIT & RIS, the Audi e-Tron GT, the Mercedes-Benz EQS, the GMC Hammer, and the Nissan Ariya.
“A new report by Cairn Energy Research Advisors, a research firm focused on the battery and EV industries, predicts a surge in electric vehicle sales in 2021 as countries around the world push new programs to encourage consumers to buy battery powered vehicles. Cairn estimates global sales of EVs in 2021 will jump 36% and top 3 million vehicles for the first time ever.”
Unfortunately, there’s a major supply issue.
Many know we’re already running short of lithium supply, silver, and graphite. However, we’re also running short on metals like cobalt. “We simply may not have enough supply. Research from MIT suggests there’s not enough ability to mine and process the material to meet demand,” reports Wired.
While you can always buy a stock like Wheaton Precious Metals (WPM), another great way to gain exposure to cobalt and other battery metals is with an ETF.
Look at the Amplify Lithium & Battery Technology ETF (BATT), which carries a portfolio of companies generating significant revenue from the development, production and use of lithium battery technology, including: 1) battery storage solutions, 2) battery metals & materials, and 3) electric vehicles. BATT seeks investment results that correspond generally to the EQM Lithium & Battery Technology Index. At $18 a share, it offers exposure to BHP Group, Tesla, Nio Inc., LG Chemical, Glencore PLC, and BYD Company Ltd.