Part 3/13:
Baron’s backing is significant because it reflects a deep confidence in Musk's ability to steer Tesla into its next growth phase. The firm’s vote is set to support Musk’s compensation plan, asserting that it aligns incentives with long-term shareholder interests. Baron emphasizes that governance issues around executive pay are often driven by fund managers who lack personal or direct exposure to Tesla, thereby having weaker incentives to support Musk’s ambitious targets.