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Business Insider
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Why one of Europe's largest pensions sold its entire $585 million stake in Tesla

1. Dutch pension fund ABP sold its entire Tesla stake over Musk's controversial pay. 2. ABP's divestment was due to disapproval of Musk's compensation and work conditions. 3. Tesla's share price was previously affected by a Delaware judge's ruling against Musk's pay. 4. Despite declines in European registrations, Tesla Model Y remains popular in the Netherlands. 5. ABP's stake was valued around $585 million, impacting shareholder confidence.

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FAQ

Why Neutral?

While ABP's sale signals concern over governance, it may not drastically change investor sentiment. Past events show skepticism around exec pay can temporarily impact stock, but TSLA’s fundamentals remain strong.

How important is it?

The article outlines significant shareholder concerns regarding corporate governance, which can affect stock price perception, yet TSLA's operational performance is solid.

Why Short Term?

The immediate backlash may affect TSLA sentiment but is unlikely to influence long-term performance. Historical events indicate that stock corrections may happen quickly after governance concerns.

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