From Yahoo Finance: 2025-05-24 12:00:00

Lehigh County, Pennsylvania’s pension fund voted 4-2 to suspend future purchases of Tesla stock due to CEO Elon Musk’s political public profile impacting Tesla’s brand and market performance. The board will create a plan to divest entirely from Tesla, prioritizing fiduciary responsibility amid a 71% earnings drop and 20% auto revenue decline.

Denmark’s AkademikerPension and Dutch ABP pension fund previously divested from Tesla, citing concerns over Musk’s actions and governance. The decisions to sell-off nearly $600 million in Tesla stock were influenced by Musk’s controversial decisions and bonus approvals, leading to a decline in the company’s value and brand perception.

Lehigh County’s pension board’s decision to halt Tesla stock purchases due to Musk’s activities with DOGE has stirred controversy. While Controller Mark Pinsley justified the move as a fiduciary duty, Commissioner Ron Beitler criticized it as a politically motivated headline grab. Beitler emphasized the importance of making sound financial decisions irrespective of political affiliations.

Despite differing opinions within Lehigh County’s pension board, the commitment to sound financial decisions remains a priority. The focus is on delivering steady, reliable returns for retirees through tough markets. The board’s decision to cease buying Tesla stock underscores the significance of fiduciary responsibility and financial prudence over political considerations.



Read more at Yahoo Finance: Lehigh County, Pennsylvania Pension Fund’s Board Votes To No Longer Purchase Tesla Stock