The one thing that Elon Musk has managed to not fuck up in his slow-motion meltdown at the helm of Tesla Motors is cultivating powerful enemies within the company. Or so we thought...
Funds run by BlackRock Inc voted in favor of a recent shareholder proposal that would have required Tesla Inc to replace Elon Musk with an independent chairman.
BlackRock-managed funds voted for a measure requiring the chairman be an independent director, according to BlackRock’s filing with the U.S. Securities and Exchange Commission on Thursday. The proposal, which was defeated, would not have affected Musk’s standing as Tesla’s chief executive officer.
But it's maybe not personal. According to the world's largest hedge fund, it's just hedging.
“BlackRock’s approach to investment stewardship is driven by our fiduciary duties to our clients, the asset owners,” a BlackRock spokeswoman said in an emailed statement. “Our approach to engaging with companies and proxy voting activities is consistent with our commitment to drive long term shareholder value for our clients.”
We'd usually mock this approach and say that it's not unlike investing in the Catholic Church but hedging on The Pope, but these days that also seems like a solid investment philosophy.