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Earlier this week, 234 scientists and researchers of the United Nations' Intergovernmental Panel on Climate Change (IPCC) released the panel's sixth assessment report (AR6). Coming in at 3,949 pages, AR6 is only the latest addition to a growing body of scientific research that shows human activity is driving greenhouse gas emissions, which are in turn warming the atmosphere and destabilizing the climate.

AR6 was so shocking, U.N. Secretary-General Antonio Guterres claimed it represented a "code red for humanity." Bloomberg noted the IPCC authors have finally done away with some of the cautious, waffling, or hedging language of past reports.

The climate anxiety isn't unwarranted, and the impact of climate change is becoming increasingly apparent in the massive disasters wreaking havoc outside front doors and bedroom windows across the planet.

Summertime in the Northern Hemisphere has been marred by large wildfires, severe heat waves, and drought, particularly in the Western United States and Canada. Unprecedented - and very deadly - flooding has occurred across Europe, where 177 people died in Germany alone, and China, where at least 300 have died this summer.

This past week brought us disturbing footage of people fleeing sprawling wildfires in Greece. And, very unnervingly, one of the coldest places on the planet, Siberia, has experienced severe heat and forest fires every summer for several years running now.

That's the bad news. But there is good news, and I'm going to talk about that in a second. The news is particularly for investors able to spot early opportunity and get in on one stock at the ground floor of what's shaping up to be an unprecedented and highly lucrative, global, economic transformation.

What AR6 Means for the Markets

The IPCC report's unequivocal emphasis on scientific understanding likely means key findings will be formulated as statements of fact, and not just by climate change activists. Politicians around the world, including in the United States, will use the AR6 findings to drive policy at all levels.

I'm not the only one who anticipates a surge of support for the 2015 Paris Agreement and alternative energy solutions by politicians here in the United States. In its very own homepage marketing material, JPMorgan Asset Management writes "Climate change is a global challenge that we cannot afford to ignore. Momentum is growing for ambitious carbon transition policies that will create winners and losers across companies, sectors, and markets. For investors, the time to act is now."

That's the long and the short of it; this is the beginning of massive changes to the way businesses are run - and what stocks will flourish and fail in a post-AR6 world.

Time and again, climate change reports point the finger of blame toward fossil fuels and other carbon dioxide-, methane-, and sulfur-emitting culprits. The difference now is that changing politics and climate anxiety will drive investor capital into new alternative technologies and push them beyond daydreams and into reality.

And that's the good news. The better news is some of these technologies are here already, ready for investors.

This is the Savvy Way to Go Green and Make Green

I've talked about my love of the electronic vehicle (EV) space before as a moneymaking stock trend, but the technology's roots lie in the need to reduce carbon dioxide (CO2) which, along with methane, is one of the two most potent, plentiful greenhouse gasses filling the atmosphere right now.

That's mostly common knowledge, but what's not so well-known is that, as recently as 2019, China's CO2 emissions exceed those of the United States, India, the European Union, Indonesia, Russia, Brazil, and Japan combined, according to research published by the Rhodium Group. China's CO2 emissions accounted for 27% of the 2019 total, much more than double the United States' 11% and more than 12 times Japan's emissions.

It's not hard to figure out why: China's hard-charging economy is driven by electricity largely derived from coal burning plants, and its roads are jam-packed with a rapidly growing number of gas-guzzling internal combustion engine-powered vehicles.

This puts China in the global hot seat, and China's leadership knows this. That's why it's pushing EVs on a scale unmatched anywhere in the world. In fact, it's already the world's largest market for EVs and is setting new goals for EV adoption, which, of course, support Chinese EV makers like Nio Inc. ADR (NIO), Li Auto Inc. (LI), and Xpeng Inc. ADR (XPEV).

The environmentally and financially savvy play here - the really big payoff for your bottom line and the planet's - isn't necessarily to invest in these carmakers. Don't get me wrong; they're all good companies, and good bets, but if you "zoom out" a bit to the bigger picture, you see the serious money will be made by Chinese EV battery makers - the only thing that can make all those EVs go.

My favorite one right now is Ganfeng Lithium Co. Ltd. (GNENF). Ganfeng mines lithium in China, of course, and Argentina, too. It has operations in Ireland and Mexico, and it manufactures lithium batteries it sells to all of China's big EV makers I just mentioned.

The company generates solid revenue and sports an incredible 25% profit margin - extremely profitable. This is why Ganfeng has generated a compounded annual growth rate (CAGR) of 41% since 2015. This year, earnings growth is expected to hit the triple digits, which is absolutely spectacular in a stock.

I have seen the future, and it is electric. With performance and potential like this, owning Ganfeng at its current $20 level makes perfect sense for forward-looking investors who can sense a change in the weather as China and, ultimately, the world, transition to electric vehicles.