Want an ETF that Tracks the EV Secular Trend? Try This One

The absolutely incredible rise we’ve witnessed in the stock prices of EV companies such as Tesla Inc. (NASDAQ:TSLA) of late has enticed many investors to jump on board to achieve market-beating returns. Investors who have avoided stocks exposed to these impressive growth trends have been penalized. As such, many investors may be looking to approach these secular trends with a basket methodology.

There happen to be exchange traded funds (ETFs) out there to accommodate nearly every secular trend these days. In the EV sector, there are a number of options to choose from. One of the best ETFs I’d recommend investors check out is the Global X Autonomous & Electric Vehicles ETF (NASDAQ:DRIV). I like this ETF not only for the broadly diversified portfolio of companies encompassed in this fund, but the weightings this portfolio applies to its top 10 holdings.

No one company in this fund makes up more than 3.5% of the overall portfolio. This is a very broad basket of companies across the entire EV supply chain. Everything from chips makers to software companies are included in this fund. This is more of a broad-based tech ETF with a tilt toward the EV secular trend. This is an ETF I have on my radar today, and would consider buying on any secular dips we see on the horizon. Currently, this sector is in the nosebleeds in terms of valuation, however I do like the long-term growth prospects of the companies included in this fund.

Invest Wisely My Friends.