Exit at Tesla: Europe's Largest Pension Fund Draws Consequences

The largest European pension fund, Stichting Pensioenfonds ABP, sold off its entire stake in Tesla, valued at 571 million euros, in the third quarter. The decision is primarily related to disagreements regarding Tesla CEO Elon Musk's compensation package. The fund's spokesperson emphasized dissatisfaction specifically with the substantial salary awarded to Musk. Additionally, considerations of costs, returns, and sustainable investment criteria contributed to the decision to divest from Tesla. As further reported by the Dutch business magazine Het Financieele Dagblad, concerns about working conditions at Tesla also played a role in the fund's decision. Last month, Elon Musk's compensation package came under fire again and was rejected by a Delaware court despite shareholder approval. The options, initially valued at 2.6 billion dollars, had increased in value to 56 billion dollars before being annulled. As early as June, ABP had voted against the package and called it "controversial and exceedingly high.