Want To Invest Alongside Elon Musk? Here’s A Surprisingly Easy Answer
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Elon Musk has an uncanny ability to make his way into the news…
Over the past week, Musk — the billionaire founder of the electric car company Tesla Motors (TSLA), as well as SpaceX, his space travel brain child — has hit a number of milestones regarding his ventures.
First, this past weekend, Tesla finally unveiled the first working prototype of its humanoid robot, Optimus. Optimus danced on a stage while being widely panned by critics for being behind the robots developed by automation leader Boston Dynamics (BSX).
However, not everyone was skeptical. One Tesla analyst argued that the unveiling of the robot bodes very well for the underlying technology and is a big win for the automaker’s autonomous driving software.
“What we’re excited about is the learning cycles that we’re seeing the company execute on the AI side,” Oppenheimer’s analyst Colin Rusch said in an interview with Yahoo Finance. “That’s where I think the real value is.”
Rusch noted that if Tesla opens up its AI software to other companies, it could bring in “a couple billion” in sales at a relatively “high margin.”
In addition to this breakthrough, Musks’s privately held space travel and exploration company, SpaceX, had another breakthrough of its own…
SpaceX furthered its partnership with NASA in order to send four people to the International Space Station from Florida on Wednesday, as the company keeps up a steady pace of crewed missions.
There is a great reason why both companies are taking on their respective ventures, and there is a lot of value to be generated in each.
Some have even gone as far as saying Elon’s SpaceX venture could be setting him up to be the world’s first trillionaire.
Let that sink in for a minute…
Once you let that mellow, think about what that could mean for your portfolio should the company go public in the next few years.
If the sounds of these ventures make your ears perk up, you’re not alone.
A colleague of mine used to work in the private equity industry, more specifically, a private equity company with a vested interest in SpaceX. Something he once told me is the very impetus of this edition of the newsletter.
He told me that when the committees convened over this very deal, one of the main reasons the investment got the final OK was because these investors were willing to bank on Elon’s track record of innovation and success.
In other words, the investment was in the man as much, if not more, than the venture itself. So that got me thinking… how can we invest in a way to gain exposure to the man himself? How can we invest in Elon Musk?
By searching for Elon Musk, we have options to gain exposure to both of the above ventures.
The first is obvious — a direct injection of capital into TSLA itself; however, digging into the mutual fund options, we discover something VERY interesting.
Even as SpaceX is still private, the Baron Partners – Retail Class (BPTRX) mutual fund has interest in the investment. If you’re OK holding mutual funds in your portfolio and you believe in the future of this company, this could be a great option for you.
This is yet another example of how powerful a tool Magnifi is to have in your investment arsenal.
Today’s feature: Elon Musk
