VERY DISRUPTIVE NEW TECH CARMAKERS

This is a 12-page note which is part 1 of a 3 part series. 

This note will be of interest to investors who want to understand:

1. how is the car market going to be changing in the next few year, faster than most have anticipated. 
2. How could this impact on Tesla.
3. Which Chinese stocks could benefit from these changes.
4. Why you want to own parts companiess and not the assemblers.

Summary of my research note China One Belt One Road on Real Vision

Summary of my research note China One Belt One Road on Real Vision July 21, 2017

This week we got a lesson from Scott Laprise in how the Chinese think. I believe we are currently witnessing a seismic shift in the global order. We may look back at the emergence of Donald Trump as POTUS, side by side with the emergence of China’s One Belt, One Road strategy, as a seminal moment in geopolitical history. As the US becomes more insular, their hegemonic status is eroded, whilst China is emerging as a reluctant superpower.

In the age of computer algorithms and central bank distortions, it is hard to find an edge in markets.Competing over the short term with huge financial institutions that have preferential access to information and fast computers is a thankless and very often financially ruinous task.

As both Raoul Pal and Scott Laprise suggest, an edge can be gleaned by having patience and a long time horizon. Drowning out the noise and stepping out of your echo chamber can be incredibly rewarding, both financially and intellectually.