Tesla CEO Elon Musk has announced the formation of a new U.S. political party, leading investment firm Azoria Partners to postpone the launch of its Tesla-focused exchange-traded fund (ETF).
Musk revealed the creation of the “America Party” on X, the social media platform he owns, declaring, “Today the America Party is formed to give you back your freedom.” The announcement came a day after he polled his followers on the platform.
Azoria Partners had planned to launch the Azoria Tesla Convexity ETF next week, focusing on investments in the electric vehicle company’s shares and options. However, following Musk’s political move, Azoria CEO James Fishback expressed concerns over Musk’s ability to fulfill his duties as Tesla’s CEO.
In a series of posts on X, Fishback criticized Musk’s new political venture and reiterated his support for former U.S. President Donald Trump. He urged Tesla’s board to seek clarification from Musk regarding his political ambitions.
“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,” Fishback stated.
Fishback believes that Musk’s announcement has shaken shareholder confidence in Tesla’s future, especially after Musk stepped back from his role leading the Department of Government Efficiency in May.
Tesla did not immediately respond to requests for comment. Musk’s announcement also follows his strong opposition to Trump’s recent tax-cut and spending bill, which was signed into law on Friday.
Azoria Partners is also offering the Azoria 500 Meritocracy ETF, investing in the top 500 U.S. companies that do not impose hiring targets under diversity, equity, and inclusion programs.
As investors watch closely, Musk’s new political endeavors raise questions about the future direction of Tesla and the potential impacts on the company’s leadership and operations.
