There are several different ways to interpret the role of “politics” in investing. But my personal investing style tends to frame things in terms of regulations and subsidies.

When actual dollars are tagged to support innovation, it can be a huge benefit to the companies who emerge as leaders in those new technologies. This hits close to home for me, as my previous experience was developing the renewable energy business of one of America’s largest oil companies.

While there is still a ton of speculation on what the election’s outcome will be, Tesla (Nasdaq: TSLA) would be a clear beneficiary of a Joe Biden victory. Biden has spelled out an interest in putting $400 billion to work into emerging R&D research (including battery technology and renewable energy) and purchasing electric vehicles for government fleets. Those funds could unleash Tesla’s innovation-obsessed leader Elon Musk on more than a few new creative ideas.

A more direct impact to Tesla’s existing business could be Biden’s plan to invest in electric vehicle charging stations. Biden’s plan calls to expand the number of nationwide EV charging stations from an estimated 68,000 last year to more than 500,000. This would essentially be laying the infrastructure for “all of the highways we’re going to be building in the future” to be driven by Tesla’s electric vehicles.

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