this post was submitted on 13 Jan 2025
515 points (98.5% liked)

World News

39609 readers
3080 users here now

A community for discussing events around the World

Rules:

Similarly, if you see posts along these lines, do not engage. Report them, block them, and live a happier life than they do. We see too many slapfights that boil down to "Mom! He's bugging me!" and "I'm not touching you!" Going forward, slapfights will result in removed comments and temp bans to cool off.

We ask that the users report any comment or post that violate the rules, to use critical thinking when reading, posting or commenting. Users that post off-topic spam, advocate violence, have multiple comments or posts removed, weaponize reports or violate the code of conduct will be banned.

All posts and comments will be reviewed on a case-by-case basis. This means that some content that violates the rules may be allowed, while other content that does not violate the rules may be removed. The moderators retain the right to remove any content and ban users.


Lemmy World Partners

News [email protected]

Politics [email protected]

World Politics [email protected]


Recommendations

For Firefox users, there is media bias / propaganda / fact check plugin.

https://addons.mozilla.org/en-US/firefox/addon/media-bias-fact-check/

founded 2 years ago
MODERATORS
 

Summary

Dutch pension fund Stichting Pensioenfonds ABP sold its $585 million Tesla stake over concerns about Elon Musk's "controversial and exceptionally high" pay package and unspecified labor conditions.

ABP previously voted against Musk's performance-based compensation, which has faced shareholder lawsuits and judicial scrutiny.

A Delaware judge recently invalidated the pay package, citing insufficient shareholder approval.

While Tesla's Model Y remains popular in the Netherlands, European sales fell 15% in 2024.

ABP stated the divestment was not politically motivated despite Musk's ties to the Trump administration.

you are viewing a single comment's thread
view the rest of the comments
[–] [email protected] 19 points 4 days ago (4 children)

Remember that for them to sell over half a billion dollars worth of stock, somebody (many people) bought it. Probably it was the other major stockholders that were ok with Musk's pay.

It's not always a good thing when the one sensible voice goes "fuckit. I'm out".

[–] [email protected] 12 points 4 days ago

Institutional investors like pension funds selling a stock is kind of a big deal though, as a) there are a lot of them for a stock as "big" as Tesla, b) they are far less risk averse then individual investors, and c) the managers of these funds tend to pay attention to what other funds with similar holdings are doing. If one this big sells, others will wonder if they should get out now as well.

This could, in theory, be the start of a mass selloff of Tesla stock by institutional investors wanting to get out before the bubble bursts and they stop seeing gains from Tesla stock.

[–] [email protected] 5 points 4 days ago* (last edited 3 days ago) (1 children)

They didn't want to be caught holding the hot potato when the music stops.

The fact that someone else is willing to take that risk (or doesn't see that risk) doesn't mean too much in the big picture.

[–] cheese_greater 1 points 4 days ago* (last edited 4 days ago)

So much depends upon a hot potato

[–] SkunkWorkz 3 points 4 days ago* (last edited 4 days ago)

In the financial industry they call retail investors dumb money. Probably lots of dumb money bought the stock. Also they didn’t sell everything in one day. They probably spread it acrosss weeks so it wouldn’t affect the stock price too much

[–] Visstix 2 points 4 days ago (1 children)

Seems only a downside for those owning stock.

[–] [email protected] 1 points 3 days ago

They have more power now.