The global economy faces a vexing set of challenges over the next year with stubbornly high inflation and rising recession risk. So far, corporate earnings and employment have remained strong, while this is certainly positive for the economy, it’s less so for the stock market which must contend with a hawkish Fed.
Amid this mess, investors should focus on growth themes that are going to persist regardless of economic or monetary factors. There is no better example of that than electric vehicles (EV). Last year, 6.6 million EVs were sold globally, and this figure is expected to reach 26.8 million annual sales by the end of the decade. The major drivers are government policies supporting the adoption of EVs due to lower pollution, lower cost, and increased efficiencies.
