"The biggest macro factor for DRIV isn't consumer demand or battery costs. It's trade policy: tariffs and industrial incentives that determine where EVs get built and sold. DRIV holds $340 million in assets split between US tech giants and global automakers. When tariff threats emerge or federal EV tax credits shift, the fund's diverse holdings react differently. Watch for announcements from the Office of the US Trade Representative on Chinese EV and battery component tariffs. These typically surface quarterly or around major trade negotiations."
"With the fund up 33% over the past year (more than double the return Chinese EV leader BYD shares), and now the question is whether US technology's lead can hold. Tesla and US chipmakers like NVIDIA (NASDAQ:NVDA) and Qualcomm (NASDAQ:QCOM) lead in autonomous driving and semiconductor innovation. But BYD's competitive pressure continues to mount against Tesla (NASDAQ:TSLA), with the Chinese manufacturer expanding its global market share rapidly."
DRIV is a diversified ETF focused on electric and autonomous vehicles and has risen roughly 33% over the past year. US firms such as Tesla, NVIDIA and Qualcomm lead in autonomous driving and semiconductor innovation, while BYD is rapidly expanding global market share and increasing competitive pressure. Trade policy — especially tariffs and federal EV tax credits — is the primary macro factor determining where EVs are built and how returns are allocated. DRIV holds about $340 million split between US tech giants and global automakers, and information technology comprises 29% of its holdings.
Read at 24/7 Wall St.
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