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Fund Investors: Where’s Your Tesla?

FYI: Time to take a look at the imprint of Tesla Motors (TSLA) on funds in the wake of the auto-making upstart offer to buy SolarCity (SCTY).
Regards,
Ted
http://blogs.barrons.com/focusonfunds/2016/06/22/fund-investors-wheres-your-tesla/tab/print/

Comments


  • As I recall TSLA was a top-5 holding in PRGTX until last December when they dumped it for something else. As a holder of PRGTX I had mixed feelings about that move b/c I think the company does have some great prospects in the long-long term. But whatever. :)
  • I wish it were in my garage....I think the Model S is one of most gorgeous cars on the road.
  • edited June 2016
    PLANS IN THE PIPELINE

    In a hastily arranged call with investors and Wall Street analysts early on Wednesday, where Tesla executives defended the deal, Musk said institutional shareholders had some idea of the plan.

    He had not disclosed the deal, he said, but over the years, "this idea has been bandied about with some of our largest shareholders, institutional shareholders. Yeah, there have been discussions."

    The manager of the second largest mutual fund investor in Tesla, the $12 billion Fidelity OTC Portfolio, which is also the largest institutional holder of SolarCity, praised a tie-up in comments earlier this year.

    “We remain fans not just of Tesla products, but of the concepts and potential future partnerships behind the company. We foresee fruitful synergies between say, Tesla and SolarCity – or any company that can benefit from superior battery technology,” Gavin Baker, who runs the Fidelity OTC fund FOCPX , said in his first-quarter commentary for investors. It owns 2.1 percent of shares.

    Baker and Will Danoff, who runs the $100 billion-plus Fidelity Contrafund FCNTX, the largest mutual fund investor in Tesla with 3.5 percent of stock, have both told Reuters in interviews that they tend to give more leeway to founder-run companies which they believe are still in the early stages of growth.

    Musk, a founder of Tesla and SolarCity who owns about a fifth of each, will recuse himself from board and shareholder votes, leaving the fate of the deal in the hands of outside investors, led by major fund companies such as Fidelity Investments.
    https://www.yahoo.com/news/behind-tesla-carnage-signs-support-musks-solarcity-deal-005255105--sector.html?ref=gs

    FOPCX
    $ 77.31
    1-Day Total Return
    -0.83 % as of 22 Jun 2016 |

    FCNTX
    $ 96.89
    1-Day Total Return
    -0.34 % as of 22 Jun 2016 |

    OTCRX SCHEDULE OF SECURITIES SOLD SHORT
    AT JANUARY 31, 2016 (Unaudited)
    Automobile Manufacturers: 0.9%

    11,028 shares
    Tesla Motors, Inc
    https://www.sec.gov/Archives/edgar/data/811030/000089418916008671/ottercreek-pmp_nq.htm

    OTCRX
    $ 12.01
    1-Day Total Return
    +0.25 % as of 22 Jun 2016 |
  • Perhaps some investors find favorable that the U.S. gov't (uh, you) have a large investment in Mr. Musk's projects. Might this change for reasons x, y or z???
    Too many other investment fish in the sea, IMO.

    http://www.latimes.com/business/la-fi-hy-musk-subsidies-20150531-story.html
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