Norway’s sovereign wealth fund—a key Tesla shareholder—on Tuesday announced it will vote against the electric carmaker’s proposed new compensation package for CEO Elon Musk, marking the latest investor pushback against the lucrative pay deal, which will be worth around $1 trillion if the company achieves a set of ambitious goals over the next decade.
Read the full story on Forbes: https://www.forbes.com/sites/siladityaray/2025/11/04/norways-sovereign-wealth-fund-will-vote-against-musks-1-trillion-tesla-pay-deal/
Subscribe to FORBES: https://www.youtube.com/user/Forbes?sub_confirmation=1
Fuel your success with Forbes. Gain unlimited access to premium journalism, including breaking news, groundbreaking in-depth reported stories, daily digests and more. Plus, members get a front-row seat at members-only events with leading thinkers and doers, access to premium video that can help you get ahead, an ad-light experience, early access to select products including NFT drops and more:
Stay Connected Forbes newsletters: https://newsletters.editorial.forbes.com Forbes on Facebook: http://fb.com/forbes Forbes Video on Twitter: http://www.twitter.com/forbes Forbes Video on Instagram: http://instagram.com/forbes More From Forbes: http://forbes.com
Forbes covers the intersection of entrepreneurship, wealth, technology, business and lifestyle with a focus on people and success.
00:00On Tuesday, Norway's sovereign wealth fund, a key Tesla shareholder, announced it will vote against the electric car maker's proposed new compensation package for CEO Elon Musk,
00:11marking the latest investor pushback against the lucrative pay deal, which will be worth around $1 trillion if the company achieves a set of ambitious goals over the next decade.
00:21The proposed pay package was outlined by the Tesla board in an SEC filing in September.
00:27Under the proposal, Musk would gain an additional 12% stake in the electric car maker spread across 12 tranches.
00:35To receive his full compensation reward, Musk will need to meet the ambitious goal of raising Tesla's market cap from around $1.47 trillion at present to $8.5 trillion within a 10-year period.
00:48Norge's Bank Investment Management, which oversees Norway's government pension fund Global, outlined its voting plan for Tesla's annual shareholder meeting,
00:59noting that it will vote against Musk's, quote, CEO performance award.
01:03The Norwegian government pension fund Global owns a 1.14% stake in Tesla, which in June was worth around $11.7 billion.
01:12The fund said the vote was consistent with its views on executive compensation and noted that it did not mitigate key person risk,
01:21a scenario where a business is overly dependent on an individual.
01:25The fund, which is also known as the Oil Fund, said, quote,
01:29While we appreciate the significant value created under Mr. Musk's visionary role, we are concerned about the total size of the award.
01:37This is not the first time the fund has opposed a proposed compensation plan for Musk.
01:43In 2024, the company voted against Musk's earlier pay award that was worth around $56 billion.
01:50Last month, a letter sent to the car maker's shareholders urged them to vote against the pay proposal
01:56and accused the company's board of harming Tesla's reputation in their relentless pursuit of retaining Musk.
02:03The signatories of the letter included Tesla Investors' SOC Investment Group and the American Federation of Teachers.
02:10The state treasurers of Nevada, New Mexico, Connecticut, Massachusetts, Colorado,
02:16and the comptrollers of Maryland and New York City also signed on.
02:20The annual meeting is set to take place on Thursday,
02:23and Tesla's board has described it as a critical inflection point for the company.
02:28For more on the story, check out the article at the link in the description.
02:33Thank you very much.
02:39We'll be happy with you.
02:41You've got questions.
02:42We'll be back to the audience.
02:43If you're back to the one foundation and you'll be back to the other.
Be the first to comment