Tesla Motors

Tesla’s governance record shows need for ESG monitoring

June 18, 2019

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Tesla is a perennial most-discussed company, showing up in the top 10 list of companies for event volume captured by Truvalue Labs year after year. With prolific coverage, how can investors focus on key governance concerns for Tesla?

  • “Teflon Elon” has resisted oversight, but ESG research demonstrates a range of governance issues for shareholders
  • Board independence issue (the lack of it) is seen with Tesla corporate governance score -15% in the past 3 years
  • Tesla corporate governance score +35% in quarter after Musk agrees to resign as chair
  • Musk has himself shaken off governance-related criticisms for years, as seen in a famous 2017 “buy Ford” tweet

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