Driving into the future with
global automotive innovators
As populations grow and cities become increasingly congested, mobility presents itself as a challenge. The traditional model of those who can afford to buy a car owning one and making their personal journeys may not always be sustainable. Better solutions for individual and shared mobility will be needed to ease the burden on people’s finances, the infrastructure of cities, and the environment.
Fortunately, the automotive and mobility industry is evolving rapidly. Technological innovation is fostering a new ecosystem of mobility which will help overcome the challenges. At WisdomTree, we believe this ecosystem will be built on four megatrends driving the automotive and mobility industry forward. These are as follows:
Shared Mobility:
Sustainable Automotive Innovations
With cities becoming congested and unable to meet individual mobility needs, shared mobility will offer an alternative solution. This could not only reduce the financial burden on individuals and city planners, but also help the environment by cutting emissions.
Electrification:
Automotive Technological Innovation
Battery electric vehicles could account for 53% of passenger vehicle sales worldwide by 2034, up from 6% in 2021, and 73% by 2040 (Bloomberg, 2022). The environmental benefits of electric vehicles will continue to impel governments to facilitate this technology.
Autonomous Driving:
Innovative Automotive Solutions
Benefits of autonomous driving include safety, fuel efficiency, cost reduction, and freeing up human time. In addition to its use in passenger vehicles, it can also create new solutions for long-haul trucking, last-mile distribution, and public transport.
Connectivity:
Benefits of Innovation in the Automotive Industry
Connected vehicles will not only improve on-board communication but turn vehicles into another edge device, facilitating data exchange between the car and its environment. Technology changes towards software-defined vehicles are coming that will unlock an entirely new level of functionality for drivers.
In partnership with automotive and mobility industry experts
WisdomTree has brought this existing partnership between the two industry experts into an investable solution.
Why WT Global Automotive Innovators UCITS ETF?
Capturing four megatrends:
A pure yet diversified approach to encapsulate four megatrends in automobility: connectivity; autonomous driving; shared mobility; and electrification.
Driven by experts:
The selection of companies in the index is done by experts in the automotive and mobility theme. Our partners Berylls Strategy Advisors (Berylls) bring dedicated automotive industry expertise and LeanVal Research (LeanVal) bring extensive experience in fundamental research.
Built with robustness:
A unique methodology that combines Berylls’ focus score (alignment with the megatrends) with LeanVal’s fundamental score (an equity multi-factor approach).