Norway’s $2.1T Sovereign Wealth Fund Opposes Elon Musk’s $1T Tesla Pay Plan

Norway's sovereign wealth fund, the world's largest, has announced it will vote against Elon Musk's proposed $1 trillion compensation package at Tesla's upcoming shareholder meeting, citing concerns about the plan's excessive size, dilution, and the risks associated with Musk's dominant role. Despite acknowledging Musk's significant value creation as Tesla's CEO, the fund opposes the plan as inconsistent with their views on executive compensation and has previously opposed Musk's large pay packages. The package, which ties Musk's rewards to Tesla hitting ambitious valuation milestones over the next decade, is considered the largest CEO pay deal ever proposed and has sparked debate among major investors. While Tesla's board argues the plan is essential for retaining Musk and promoting long-term growth, critics and influential proxy advisory firms have urged shareholders to reject it. The fund, which holds a 1.12% stake worth about $17 billion in Tesla, will also vote against some Tesla directors' re-election and the company’s broader employee stock compensation proposals. This opposition from a major institutional investor could influence the shareholder vote and signal growing scrutiny over executive pay in high-profile tech companies.