Putting my money where my mouth is: Electric Vehicles, Cloud, and Supply Chains
We will continue to see demand for creative solutions to megatrends like environmental responsibility and sustainability, automation and autonomous technologies, and cloud and artificial intelligence. It is one thing to say you have convictions, but can you put your money where your mouth is? Given the recent pandemic, I’ve reallocated my portfolio and invested in these stocks:
1) General Motors because it committed to an all-electric future and will invest $2B in a joint venture with LG Chem to mass produce car battery cells for electric vehicles.
2) Microsoft because its cloud platform, Azure, and virtual work tools like Microsoft Teams have continued to scale while increasing margins which is indicative of growing acceptance.
3) Delta Airlines because air travel will recover long-term, and, short-term, the company has repurposed some flights to ship freight to help with the air cargo crunch. Also, a government bailout is a very likely insurance policy.
Now stocks are great, but I’m a venture capitalist and what am I thinking for my longer-term private market investments? The supply chain has been disrupted globally, and COVID-19 has raised valid working conditions and operational design concerns. Marrying recent events with accelerated megatrends, I want exposure to supply chain technologies that advance the digital footprint like mobile robots that leverage IoT and supply chain optimization software. I expect significant investment as companies look to not only improve their current supply chain operations, but also look to increase predictability and reduce operational costs to withstand future shocks in supply or demand.
Find me on LinkedIn or Twitter @KeithWilliamsVC