Asset managers with large weightings to Tesla in their portfolios have defended their decision to hold the stock, following news yesterday that it was booted out of the S&P ESG index.
In a blog post published on 17 May, S&P head of ESG indices for North America Margaret Dorn said Tesla was "ineligible for index inclusion" in its fourth rebalance, citing concerns relating to Tesla's working conditions, the handling of an investigation into deaths and injuries linked to its driver-assistance systems, a lack of low-carbon strategy and codes of business conduct. According to data from FE fundinfo, a total of 145 funds in the Investment Association universe hold Tesla as one of their ten largest weightings, with the likes of PGIM Jennison Global Equity Opportunities, Capit...
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