The beginning of the year is a perfect time to revise a portfolio. Portfolio managers from Wall Street, including James Davolos, have provided traders with practical advice. The professionals have unveiled their assumptions about potentially profitable stocks and analyzed new trends.
A portfolio manager at Simplify Volt Robocar Disruption and Tech forecasts a jump in electric car production. He believes that in 2022, the sector may also show good results like in the third quarter of 2021.
That is why the fund focuses its assets, about 20%, in Tesla shares. The main advantage of Tesla is its ability to rewrite its vehicle software to use the alternative chips. It means that the company is successfully dealing with the shortage of semiconductors. However, there are some young enterprises such as Lucid and Rivian, which may compete with Tesla in the near future. The portfolio manager recommends investors focus on them.
Meanwhile, James Davolos, Portfolio Manager at Inflation Beneficiaries recommends investing in companies with reliable assets and small capital. The fact is that such firms are likely to benefit from the ongoing inflationary pressure and other trends. For example, Charles River, a US pharmaceutical company, occupies 5.71% in the fund’s investment portfolio. Texas Pacific Land is also among the fund’s favorites. The firm has the smallest possible commercial and administrative expenses.
Portfolio managers are also closely monitoring the development of the metaverse and blockchain ecosystem. Simplify Volt Robocar Disruption and Tech has access to the metaverse via shares of Meta Platforms and Snap. Notably, smaller market players such as Roblox also attract investors’ attention.