The upheaval in the motor industry right now presents an investment opportunity, believes Andrew Dittberner, the chief investment officer of Old Mutual Private Client Securities.
He thinks four JSE-listed companies could benefit from the move to electric cars:
"A large diversified miner that produces copper, nickel and cobalt, all of which are critical elements in the manufacturing of batteries used in electric vehicles."
"A leading manufacturer, distributor and retailer of energy storage solutions and motor vehicle products. Metair produces start-stop batteries for motor vehicles, which is seen as a first step towards full electric vehicles. They have also recently converted a vehicle from an internal combustion engine in to a full electric vehicle."
"An aluminium-manufacturing business that plays a critical role in the production of Tesla vehicles. Hulamin has the contract as the sole supplier of battery box base plates that go into every Tesla built."
"The first step towards full electric vehicles (will be) the move to hybrid vehicles. Platinum and its derivatives will (therefore) remain critical in reducing carbon commissions through their use in catalytic converters as the global vehicle pool grows."