The Norwegian sovereign fund Norges Bank Investment Management (NBIM), which manages assets worth approximately $1.9 trillion, has officially expressed its disagreement with the new compensation package for Tesla CEO Elon Musk. This package includes a potential bonus that could exceed $1 trillion, which Musk would receive upon achieving a series of ambitious company goals over the next decade.
This is reported by Finway
Reasons for NBIM’s Opposition and Market Impact
During the upcoming shareholder meetings, a proposal will be considered to grant Musk an additional 12% of Tesla shares. This package will only be available if the company’s market capitalization exceeds $8.5 trillion within a specified period. In its statement, NBIM emphasized the risks associated with the size of the compensation and the potential dilution of shareholder stakes. The fund also expressed concerns about Tesla’s excessive reliance on one key individual.
In its statement, NBIM noted: “The fund acknowledges Musk’s contribution to Tesla’s development, but is concerned about the excessive size of the compensation, the risk of dilution of shares, and the company’s dependence on one key individual.”
NBIM, which owns 1.2% of Tesla shares and ranks sixth among the company’s institutional investors, traditionally influences corporate policy formation. Experts believe that NBIM’s position may serve as a benchmark for other large shareholders during the voting process.
Voting and Future Prospects for Tesla
The shareholder vote on Elon Musk’s compensation package is scheduled for November 6, 2025. If a positive decision is made, Musk will receive a new package valued at over $1 trillion. To qualify for the bonus, Tesla must achieve production of 20 million vehicles, launch a million robotic taxis, and secure 10 million active subscribers for the Tesla Full Self-Driving service.
In addition to NBIM, several American pension funds and the two largest corporate governance consulting firms—Institutional Shareholder Services and Glass Lewis—have also opposed this package. Meanwhile, Musk, who controls about 15% of the voting shares, has the opportunity to personally participate in the vote, which could significantly influence the outcome, considering the support from some private investors.
It is worth noting that in 2024, NBIM already voted against Musk’s 2018 compensation package, which was subsequently annulled by a Delaware court. Tesla is appealing this decision in the state Supreme Court, and its outcome may impact the current vote.
As a reminder, Tesla recorded $80 million in unrealized gains from investments in Bitcoin in the third quarter of 2025.