Azoria Delays Tesla ETF Launch Following Musk's Political Move
Investment firm Azoria Partners has decided to postpone the launch of its Tesla-focused exchange-traded fund (ETF) after Tesla CEO Elon Musk announced the formation of a new political party in the United States.
The Birth of the 'America Party'
Elon Musk revealed on social media platform X that he is establishing the "America Party", aiming to "give you back your freedom." The announcement came just a day after Musk polled his followers about the idea, signaling a surprising turn in his public engagement.
ETF Launch Put on Hold
Azoria Partners had planned to launch the Azoria Tesla Convexity ETF next week, an investment fund focusing on Tesla shares and options. However, the political announcement triggered concerns.
James Fishback, CEO of Azoria, voiced his apprehension through several critical comments on X. He emphasized the need for clarity regarding Musk's political ambitions and their compatibility with his role as Tesla's CEO. Fishback urged the board to convene promptly to discuss these developments.
"I encourage the Board to meet immediately and ask Elon to clarify his political ambitions and evaluate whether they are compatible with his full-time obligations to Tesla as CEO." – James Fishback
Investor Confidence Wavers
Fishback pointed out that Musk’s recent announcement has unsettled investors' confidence in Tesla’s future. This unease follows Musk’s earlier decision in May to scale back his involvement at the Department of Government Efficiency.
So far, Tesla has not commented on the matter.
Context: Political and Economic Backdrop
The announcement coincided tightly with former President Donald Trump signing a new tax-cut and spending bill into law—a package Musk had previously voiced strong opposition to.
Azoria’s Investment Strategies
Aside from the delayed Tesla ETF, Azoria also manages the Azoria 500 Meritocracy ETF, which invests exclusively in the top 500 U.S. companies that do not implement hiring quotas under diversity, equity, and inclusion (DEI) programs, reflecting the firm’s distinctive investment approach.