One of Denmark’s largest pension funds, AkademikerPension, has officially blacklisted Tesla and sold off all its shares in the automaker, citing concerns over Elon Musk’s leadership, labor rights violations, and problematic corporate governance.
“Our patience has run out,” said Jens Munch Holst, the fund’s CEO, in a statement to Bloomberg.
He explains that the decision was driven by growing unease over Musk's behavior and Tesla’s direction under his management.
“In short, it is our view that Elon Musk is destroying Tesla’s brand and value.”
AkademikerPension pointed to three main reasons behind its divestment: first, Elon Musk’s political statements; second, Tesla’s lack of transparency and clarity in corporate governance; and third, the company’s ongoing disregard for workers’ rights to unionize.
The fund, which manages over $22 billion, previously held a significant stake in Tesla, worth up to $72 million at its peak.
The final shares have now been sold, though it’s not yet known how much was lost in the process.
The decision comes amid mounting labor tensions involving Tesla, particularly the company’s year-long dispute with Swedish union IF Metall.
The conflict has attracted solidarity from other Scandinavian unions, including in Denmark, and is starting to resonate with institutional investors in the region.
Across the Øresund, Sweden’s Seventh National Pension Fund (AP7) has also raised concerns.
“This is a worrying development we are seeing around Tesla,” said Mikael Lindh Hök, press manager at AP7. “It cannot be ruled out that the Seventh AP Fund will blacklist the company if other measures have no effect.”
Though AP7 has not yet made a formal move, it is currently reviewing its ownership strategy and how to respond.
Growing Debate in the Nordic Region
While some funds like AkademikerPension are choosing full divestment, others remain cautious. LO, the Danish Confederation of Trade Unions, expressed a more reserved stance, emphasizing the role of ongoing engagement through shareholder ethics councils.
“We trust the [Ethical Council] to do its job, but we are of course following developments,” said Jens Lundberg, LO's press manager. “The more time that passes in the conflict, the less appropriate it becomes to have ownership.”
Tesla’s falling stock price adds financial context to the ethical concerns.
The company’s market value has dropped by nearly 50% since its peak — a staggering loss of nearly $8 trillion in value.
