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Norway's Sovereign Wealth Fund Will Vote Against Tesla's $1 Trillion Pay Proposal For Musk

1. Norway's sovereign wealth fund opposes Tesla's new CEO compensation package. 2. The proposed pay could reach $1 trillion based on ambitious goals. 3. The fund owns a 1.14% stake, worth approximately $11.7 billion. 4. Concerns center on the size of the award and key person risk. 5. Tesla's shares dropped 2.61% in premarket trading after the news.

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FAQ

Why Bearish?

The opposition from a major shareholder indicates potential governance issues. Historical examples, like a previous vote against Musk's pay, coincide with stock volatility.

How important is it?

The article highlights growing shareholder unrest, which may drive future stock price declines. It's crucial for Tesla to maintain favorable investor relations.

Why Short Term?

Immediate investor sentiment is likely to be impacted due to shareholder discontent. Similar events historically have led to short-term price fluctuations.

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