Fund selectors should be looking at electric car component producers instead of whole car manufacturers as the whole value chain has involved into a new mega trend, according to RobecoSAM.
The firm’s senior client portfolio manager, Johannes Weisser, said there would be up to 40 million elective vehicles by 2030 driven by regulation and cost.
“We will see battery prices coming down quite a lot they halved over the last 10 years and they will half probably again over the next five years,” he said.
Weisser noted that electric cars were not just about Tesla but about the whole value chain including batteries, engines, and electronics involved.
Watch the video above to find out the future of electric vehicle production.