One of the biggest investors in Tesla has defended the explosive growth in the US electric carmaker’s share price, arguing that it is “far from an aberration”.
Baillie Gifford, the Edinburgh-based investment manager that runs the Scottish Mortgage Investment Trust (SMIT), has been the second-biggest winner from Tesla’s rocketing share price, beaten only by Tesla’s outspoken chief executive, Elon Musk.
Tesla has rapidly risen to become the world’s most valuable carmaker, outstripping the likes of Volkswagen and Toyota despite producing only a fraction of the cars. Its shares have risen from the equivalent of about $7 in 2013, when Baillie Gifford first invested, to more than $438 after trading closed on Thursday. Its market value has quintupled during 2020 to $415bn. Read more….
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Former Reagan economist Art Laffer on the upcoming election, President Trump’s economic policies and the markets.