There may not be a more important material in the world right now and for the future than lithium. The combination of expanded use of mobile devices and the projections of the electric vehicle industry rising in the next decade, the demand for lithium and the materials comprising lithium is expected to increase significantly. There’s enough evidence that lithium will be relied on heavily in the future, but investors should still tread carefully when it comes to their investment strategies. Market volatility is likely to be present in the coming years, so consider these points when pursuing any lithium investment opportunities.
Types Of Lithium To Invest In
Lithium is found in brine and mineral rock deposits primarily. Regardless of the source of the deposits, the two types of lithium materials to invest in include lithium hydroxide and lithium carbonate. There are also some specialty compounds used in specific applications, but those don’t offer great investment opportunities generally. The tricky thing investors need to be aware of is how the different types of lithium are measured. For example, a metric ton of lithium carbonate is not the same as a metric ton of lithium hydroxide, so it’s important to understand the differences when considering investment strategies so you can make apples-to-apples comparisons.
Investment Opportunities With Lithium Producers
One of the main reasons why investors consider investing in lithium is because of the current demand and expected growth of demand for batteries. This involves everything from rechargeable consumer batteries to electric vehicle batteries and anything in between. Some of the top lithium producers worldwide to consider include Albemarle, Livent Corporation, SQM, Orocobre, and Lithium Americas. Albemarle is the lithium production leader worldwide, mainly due to owning assets in high-value brine and rock. Each of the lithium producers has unique characteristics to consider for your investment strategies, but investors need to look closely at the company’s history, financial stability, and other factors to determine whether they are the right fit for their portfolio.
Lithium Has Only Scratched The Surface With Investment Potential
As hot of a topic as lithium is today, its potential has only scratched the surface. With the electric vehicle industry expected to rise significantly in recent years, lithium will be heavily relied on for battery production. And of course, there will always be different investment strategies to pursue when you consider manufacturers of energy storage products. Market volatility will be a factor in the coming years as it relates to lithium, so having a long-term vision is critical for investors.
Stock Investing Info understands investing in lithium may not be the most exciting investment, but the most lucrative investments aren’t always the most exciting ones. Any interested investors should find a niche they enjoy following, such as electric vehicles, and consider the impact lithium will have on it. There are plenty of investment opportunities to consider with lithium today, and those opportunities are expected to increase. Don’t hesitate to contact us at any time if you’d like to pursue different investment options with lithium now or in the future.