Saudi Arabia reportedly hedges its exposure to Tesla
Tesla CEO Elon Musk. Photo: Robyn Beck, Pool/Getty Images
Saudi Arabia's Public Investment Fund hedged the majority of its 4.9% stake in Tesla on Jan. 17, taking out other positions to protect itself from fluctuations in the electric automaker's stock, the Financial Times reports.
The backdrop: Tesla CEO Elon Musk settled fraud charges last year — coughing up $10 million to the SEC and losing his position as Tesla's chairman for at least 2 years — over his tweeted claim that he had secured funding to take the company private, which occurred just after news broke that Saudi Arabia had acquired its stake.