TSL financial report released, Cathie Wood supports Musk's compensation plan

As Tesla's earnings report approaches, Ark Invest CEO Cathie Wood publicly supports Musk's new ten-year compensation plan, criticizing large asset management companies for having significant influence in voting while overly relying on proxy advisory firms, which undermines the independence of voting decisions. Tesla will release its latest quarterly earnings report on October 22, and after a record-breaking delivery volume last quarter, the market is also watching whether energy storage equipment and Robotaxi deployment can open new growth opportunities. Of course, Musk's comments during the earnings call will also be a focal point for investors.

When shareholders first voted on @elonmusk’s 2018 pay package, #Tesla was not in any index, and the pay package won decisively. In the second vote, forced by an activist Delaware judge, ( was 1.2% of the S&P 500, and the pay package won decisively. Now ) is 2.4% of the…

— Cathie Wood $TSLA @CathieDWood$TSLA October 20, 2025

Index funds dominate the market, Cathie Wood criticizes that voting has lost its independence.

According to statistics, index funds hold more than 50% of the shares of publicly traded companies in the United States, giving a few large asset management companies such as BlackRock ( and Vanguard ) significant influence in voting.

However, these institutional investors, due to holding too many shares, mainly invest passively based on indices and have not conducted much fundamental research on individual companies. Instead, they overly rely on proxy advisory firms, which undermines the independence of their voting decisions. Ark Invest CEO Cathie Wood criticized this situation as “socialism” because it centralizes voting power while lacking a true understanding of a company's long-term value. This model may harm the chances of innovative leaders like Musk receiving fair incentives, especially in the further compensation disputes surrounding TSL.

Cathie Wood strongly supports Musk's compensation plan

Wood pointed out that when shareholders first voted on Musk's compensation plan in 2018, Tesla (Tesla) was not included in any index, and most people felt the set targets were unattainable at that time. However, Musk achieved the goals two years ahead of schedule, resulting in an annualized 49% growth in EBITA, a performance that almost no one could surpass.

Despite the recommendation from the agent ISS not to use the plan, Wood believes that Musk's new compensation plan will achieve a decisive victory. The plan will be voted on at the annual shareholders' meeting on November 6, 2025. This “Musk Ten-Year Compensation and Voting Rights Plan” incentivizes Musk to drive the company's market value up to 8.5 trillion dollars, which translates to a projected TSLA stock price of up to 2,300 dollars.

(Follow Musk to trade stocks? The compensation plan will boost TSL's stock price to $2300 )

Bloomberg ETF analyst Eric Balchunas also stated that while he is a strong supporter of index funds, he can accept the removal of their voting rights, as this could save money and reduce hassle, which is a win-win for most stakeholders.

TSL will announce its latest financial report on 10/22.

TSL will announce its latest quarterly financial report on October 22. After TSL's record-breaking vehicle deliveries last quarter, the market is also observing whether energy storage equipment and Robotaxi deployment can open up new growth opportunities. Of course, Musk's statements during the earnings call will also become a focal point for investors.

This article reports that Tesla's financial report has been released, and Cathie Wood supports Musk's compensation plan. It first appeared in Chain News ABMedia.