Most Disruptive New Idea in the Entire Auto Sector

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-Karim Rahemtulla, Head Fundamental Tactician

I thought this idea was quite innovative…

Pretty original… and rather paradigm-shifting.

In fact, it just might be the most disruptive new idea in the entire auto sector.

So here’s the situation…

In this new era of ride-sharing and low-commitment business decision making, Volkswagen (OTC: VWAGY) just introduced “AutoAbo,” a subscription-based service that gives users access to more than 2,000 of its all-electric models.

For around $600 per month, you get it all: insurance, registration, maintenance and 500 free miles on any electric Volkswagen vehicle. Basically, it’s a combo between leasing and car-sharing.

By 2030, Volkswagen believes that 20% of its sales could come from alternative plans like subscriptions and car-sharing, which I think is a creative and unique idea.

Why pay for a car – or commit to a two-to-four-year lease – when you can pay $600 a month for any EV car in Volkswagen’s fleet? It seems so simple – and so logical – that I had to bring it to your attention today. If this idea catches on, then it’s time to buy Volkswagen now.


Action Plan: With Volkswagen shares tracking back down to $30 (which has served as a strong support level four times since May), I believe this is a great spot to accumulate some Volkswagen shares – just in case this creative business model takes hold.

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