ITK with Cathie Wood | Elon Musk's Pay Package
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- čas přidán 24. 07. 2024
- On episode LVI of "In the Know," (June 7, 2024) ARK CEO/CIO, Cathie Wood discusses Elon Musk’s pay package, and weighs in on M2 money supply, the 10 year treasury yield, gold value, and more.
This month we’re again responding to a few requests by supplementing this episode with charts and data to help illustrate ARK’s perspective on and outlook for the global economy.
As always, Cathie discusses fiscal policy, monetary policy, market signals, economic indicators, and innovation. We hope you find this monthly series useful, especially during periods of heightened volatility. Stay Healthy. Stay Innovative.
0:00:00 Intro
0:02:05 Elon’s Pay Package
0:12:51 Fiscal Policy
0:17:09 Monetary Policy
0:17:13 M2 Money Supply vs CPI Inflation
0:21:52 Velocity Of Money M2 Money Supply (YOY % Change)
0:25:54 Velocity Of Money M2 Money Supply (QOQ % Change Annualized)
0:29:38 Yield Curve - 10 Year Treasury Yield Minus 2 Year
0:32:37 Economic Indicators
0:37:15 Market Signals
0:40:03 Gold
0:43:25 Metals/Gold Ratio vs US 10 Year Treasury
0:49:47 Earnings Season and Innovation
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Disclosure: arkinv.st/39rzF94 - Věda a technologie
Serious question here. ARKK is up 1.69% on 5-year basis. How come this is a growth strategy with a 5-year horizon?
It's not value, it has no dividend, that must make it growth :)
Read the prospectus to find out. Better question is, why up only 1.69% over 5 years?
You've picked the "wrong" 5 years! 🤪
Because she’s a terrible investor how can the fund not be up in a bull market that is driven by disruptive innovation 😂
You mentioned 5 year horizon a thousand times, when did the 5 year start from? I have been holding ARk many years and still down.
Tesla hit her last "crazy" price prediction, ahead of schedule. Maybe it'll be on time, maybe it'll be late this time. All I know is Elon always delivers, late-early- or on time.
@@samuelfox8126her so called 5 year time horizon can’t be based on one stock
I just read “Elon Musks Package” and clicked. This isn’t what I was expecting. Gotta get me some new glasses.
Note: She's been predicting deflation on these updates for about 2 years now - thanks to the cyclical nature of economics she'll eventually she'll be right - lol. She's also said month after month for the last 2 years, that the Fed was overly compensating on rate cuts, yet they keep lowering without impact - eventually she'll be right on this one too. Still I find her analysis interesting - but it really just goes to show that the science of the markets isn't a very solid science. With all the charts and knowledge presented, there's always many other variables that make medium and long-term economic predictions impossible.
She’s also just a really bad investor come on 19 month bull market driven by disruptive innovation namely AI how can you be wrong on every single stock when that’s your theme she’s got lucky once that’s it
A deal is a deal. Pay the man.
It was a "deal" he essentially "negotiated" with himself. That's why the court tossed it out and now it's going to a shareholder vote. A corporation's board of directors is supposed to be independent from the CEO. They work for the shareholders, not the CEO. But in Tesla, the board is completely controlled by Musk.
Her top 10 stocks in 2022-2023 during her highest conviction era where, Tesla, Zoom, Teladoc, Twilio, Spotify, Exact Sciences, Coinbase, Unity Software, Uipath and Roku. She sold Spotify which was the wrong move it went up after that 3x. In stead she kept buying Zoom, Teladoc, Twilio and Unity software, And now she is selling all of them around all time lows! This is really the worst invester fund manager for this decade. What a shame to have millions for research, and a whole team. And this is your reputation. So in the end she sold 6 of 10 of her highest conviction names around all time lows. What a shame! The only stock she was right about post-pandemic was Coinbase. The rest underperformed all the broad indicies. Like what are they doing? It is like a joke never seen before. She kept hoping on 0 interest rates again and that is where she based her stock picks on. And Selling Nvidia below 300, gosh, She kan never recover from this bad reputation, maybe only with genomics. Now iam following Cathie for years, and I think she just picks every hyped stocks, and wait it until it plays out to prime with. And if not she is selling it around all time lows.
This should be top comment we are in a 19 month bull market which is driven by disruptive innovation namely AI and she hadn’t got a single thing right not one stock in regards to AI even worse she sold the most remarkable company on earth this is beyond bad it’s just an embarrassment, and she’s still on CNBC talking rubbish
@@Bboy235 shes talking about the macro economy here. Risk asset averse economy. M2 money supply and velocity of money are weak/reversing, which should bring inflation down soon.
Ark funds are lagging. Kathy why don’t u talk about that?
Wish she would explain why her funds are performing so poorly when compared to S&P500 index funds. Investors in her fund are paying a premium only to find her funds underperform the index funds.
Elon's chugging raw milk as he reads the comments.
When is your Tesla updated price target coming out?
Yes please! 🙏
What about uipath is it going to be replaced?
velocity of money chart seems to match charts labeled "money printer go brrrr"
Can you please talk about the stocks you bought?
She sold Nvidia at 275, she pounded the table yet for what
Nvidia has better multiples than Tesla, that says it all!
The world's biggest seller of Tesla shares is Elon, so much faith does he have in Tesla, now he wants to rob the Tesla shareholders in broad daylight too. Elon makes me think of Enron
Still waiting to break even on my Ark investments, I'm down 60% Kathy, 5 year horizon is still out of sight
I was down 60% too. Finally decided to sell it all and move to a winner. Best decision ever. In two months, I am up 50%. Still didn't break even with my loss with Cathie Woods. She lost my respect when everything is up 30, 50, 100, 1000% and ARKK either goes down or stays the same.
Ha. Trust her predictions tho, you may get to lose it all.
Get out and reallocate she will never make that money back
Outstanding analysis and commentary. Thank you.
Love how Cathie speaks out explaining every bits of the detail ❤
Very interesting 👌 thanks Cathie 🙏
What about DNA stock?
Its probably going to delist and go OTC
I'm wondering when, if ever, my stake in ARK G/K/Q/W/X and PRNT will recover. Any thoughts?
Never
Fabulous presentation, so clear & myth busting on Elon’s pay award & so many ideas & thoughts on the economy & the impacts of AI. Thank you for sharing!
This episode was really interesting. I started it out like Nick with his view regarding apple dominance, but then started to understand how Bret’s theory would plug into it (AI accessing all your account and bypassing Apple). It was really a great brainstorm.
Pay Elon the 💰! He earned it! He deserves it!
Nope! The world's biggest seller of Tesla shares is Elon, so much faith does he have in Tesla, now he wants to rob the Tesla shareholders in broad daylight too. Elon makes me think of Enron
Don’t you think it is crazy amount to ask for
When is the next ITK for June month?
How much of ARKK's underperformance for the past 5 years can be attributed to $TSLA?
Why do Arkk investors have to suffer from 75% loss from 2021 to today under your management? What should we do? Continue staying, paying you and continuously losing?
Regarding her Gold/Metals ratio chart, gold is crucial for artificial intelligence, and is a vital component in chip manufacturing. So despite its inherent monetary value, gold's chemical properties make it indispensable for the future of GPU manufacturing. Couldn't this account for the anomaly discussed in the video.
Thank you Ms. Wood. 👍👍
Pay the man. No one can deny, he is the brain of Tesla. He is doing the seemingly impossible possible.
Very innovative like Steve Jobs. Plenty
of ideas.
He's not innovative at all, he's just a hype man. The reality is that Musk is the source of all of Tesla's problems.
Cathie articulate the case of USA economic downturn every month. Yet, the economy doesn't listen.... The last employment report just released shows the opposite.
Was she talking about DNA stock?
Thank you Cathie for eloquently speaking out for Elon. There only seem to be a very few people even in the Tesla community who really seem to care about equality. Only Elon cares beyond his family. Who else really doesn't care about money?
Where is last week’s ITK? Literally my favourite viewing on CZcams and were very disappointed when it didn’t appear 😢
@18:10 It’s killing me that when you created a best fit line between inflation and money supply, the scale implies that a 0% growth in money supply would lead to approx 0.5% in inflation, especially because it’s counter to everything you’re saying. Can you try to draw a line to minimize loss in the best fit approximation that has a more realistic datapoint for the case when M2 growth is flat? If the velocity of money is flat, and GDP growth is typically 1.5%, then it should show that a flat money supply leads to 1.5% deflation.
That said, I LOVE your In the know videos. Thx for the great content :)
Could you please talk about the performance of your ETFs? ARKK, ARKQ, ARKF, ARKW etc?
The package is not controversial. It’s Crystal clear. What’s controversial is the corrupt judge who handled the case. Along with the unions who are voting no.
This
I say go with Delaware Judge ruling who has seen real evidence from both plaintiff and defendant. All #capitalist lie.
I think Elon is a genius but to have a board with your brother and your divorce lawyer, it lacks credibility.
How about the corrupt board that pushed it through?
The only thing controversial is how stupid people can chime in on how a company should pay its CEO AFTER the CEO made the company and its shareholders billions of dollars.
I’d love to hear Kathy’s take on Apple’s debt compared to its cash. The 100B buyback seems ill advised to me.
How do you not mention that Elon as a part of the comp package is required to pay for these shares? Which equivocates to hundreds of millions of dollars that he would be giving Tesla. No one is talking about this. No one seems to understand this. And it is yet another important fact about this whole ordeal.
nice bot comment
@@charlesbannerman106
Your comment seems more botty
He can't borrow money to pay for the shares that dilute other shareholders?
Correct me if I was wrong. Cathie say that Palantir and Upath could be the victims? Why would she still keep buying these two stocks?
Excellent question.
Thank you cathie for sharing this knowledge its helpful 🙏🏻
need opinions on ginkgo
I just came to listen. Calming voice.
I come to see what hotel she is in ..or just the interior design of her background its kinda interesting to analyze.
I fell asleep to it last night
How much did yall spend on that intro?
Great explanation on Elons pay package!
Great stuff, thanks Cathie
19:35 where Ms Wood where ????? In LA prices are climbing on a weekly basis !!!!!!!! Talk is cheap, actions, but consumer doesn't see nor feel it, I mean we feel the pain but that pretty much it...
You rock! As for unemployment I drive a truck for a living and most my friends sit at home and I barely can find loads to move, never have I seen this slow in13 years
Anyone else a bit annoyed she didn't give an update on Ark pulling out of the ETH ETF race with 21Shares?!?!?!
crowding in the riskier stocks is creating a bubble around AI companies like NVIDIA
Here's the thing: you folks say this pay package is for Elon's 2018 achievements, why didn't he asked for it in 2019, 2020, 2021, hell even 2022, but only bring this up in 2024? Please help me to understand.
Putting this up for a vote on June 13 was a huge blunder.
I thought that also.
It is so painful.
This whole delaware deal is
Why was it a bad date?
Now that Elon’s pay package is re-approved, Tesla will now need to provision $56B in income statement over next 5 years? If so, we will see next loss after this provision? or is it already in the P&L?
1400 shares voted here “for” Elon comp and TX.
He ranked the stock with his last payday. He will tank it again. He committed to NEVER sell his stock in 2013!
Cathy has been consistently wrong about interest rates for over 3 years now. She's right on Tesla, but hardly a stock guru. Ark Funds are almost entirely driven by falling interest rates.
You don't pay people obscene amounts of money for having good talking points. You pay them well, not obscenely.
Musk makes outlandish promises of future technology that he never delivers on. The proper move would be to fire him, not to give him a gigantic pay package that dilutes everyone else's stocks.
Yeah baby yeah
As always your team is amazing Cathy. Excellent teamwork. 😁
Thank you! Celebrating you.
Thanks!
PAY ELON
Cathie, the original Musk Believer. I remember all the crew at CNBC treating her like a heretic. Bravo Cathie, you made me a multimillionaire! Best wishes for continued success. Dan
Yes, she's a charter member of the Cult of Elon.
so we're gonna experience immaculate deflation any day now.
Thank you Cathie! I have been following ITK since its inception in 2020 and I can only say that I am an enormous fan of you, as a person. Absolute clarity of reasoning and also, absolute moral clarity. Outstanding.
Other countries measured against the DXY are lowering rates, but the fed is not ready yet. This means Dxy goes on a run, crushing other currencies in the short run, and that will continue to put pressure on velocity of money. A correction in the markets is likely during this period starting in the next 6-12 months. US markets still dominate for the next few years thoughu, think of it as a wave 5 of an Elliot wave though. The time to sell will be coming soon, but the time is not quite yet.
Imagine just firing 14,000 employees and immediately demanding a 10% dilution of the company’s market cap to pay yourself almost 50 billion dollars. Elon is a monster!
Seems the only way to make $ with ARK funds is to short them.
Whales group says that AMS25K will be pumped on Sunday
Cathie it feels like you are completely abandoning zoom with zero explanation on your newer sentiment. Really hope you will comment on that soon
Novel Idea: Only business owners are allowed to be FOMC members.
Cathie, thank you for being such a good friend of your friends.😘
Cathies My Second Love🙃
Financial world's great account destroyer, ever!
👋🏾
Great insights! Perhaps 'Capital Flight' into BTC through Corporate & State Retirement Funds, Spot ETF's & Sovereign Investment will force greater innovation of so many companies who cannot ever dream of being in the M-6 otherwise - "Sink or Swim!!!
I'm starting to have a feeling that it won't be approved.....
I feel that way.
There goes my IRA.
Very upset with this court ruling. We should not be discussing this. This should not be happening.😢
@@mattsparks5957 I agree, the whole thng is a travesty. Hopefully we will be pleasantly surprised. 🤞🏼
Pay and be Merry.
❤
i feel like 2025 tesla stock is either gonna reach 300 or 30 dollar
Perty much
Who needs all these computers? There is a need, but how many people need AI in there computer?what will be the cost to have an AI computer system vs.a computer without AI?
A deficit of 60 billion was one of the reasons, that President Carter lost the election of 1980. Presently the deficit for 2024 is going to be close to 1.8 trillion to 2.0 trillion dollars, and the bond holders are nervous about the returns on mortgages, bonds and stocks. Bond holders determined interest rates in the long run, and inflation is a critical concern for bond holders returns.
🔥
There was a contract. Pay him.
Both Spy and QQQ go higher and higher from 2021 to now. But Arkk lost 75 percent in the same period. Could your team focus on fixing your ETF first?
They don’t know how they are clueless
If I were a shareholder in 2018 I would have voted in favor of the pay package. Over the last 2 yr return has been abysmal, and therefore, I can’t bring myself to vote yes for this reason.
What a stupid reason. The stock is still up over 12x over 5 years.
This is just a bit confusing to me. If you had negotiated a pay package for yourself back in 2018 as audacious as this and delivered on all metrics (even though the entire financial world believed it would be impossible), I have to believe you would have expected to collect on the company’s promise. A deal is a deal and is the foundation on which this country’s strength is based. Remember, this was a payout in stock that he could not sell for 5 years, so he was essentially working for nothing for nearly 10 years (2018 to present plus the 5 years he has to hold the stock). I’m sure there are very few among us who would have signed up for that hell. I suspect you may be a more recent investor who may be under water and has your confidence shaken, and from your viewpoint, although illogical, may be understandable on a compassion basis alone. However, longtime investors who have been following Elon’s many ventures see a vision and drive that makes him believe these lofty goals are attainable. He may be late in delivering, but he seems to maintain focus (of himself and his companies) until the goals are mainly met. You can count on 1 hand how many CEO’s have been able to achieve what he has in the past 100 years. Voting for his pay package is the only honorable thing shareholders should consider if you truly believe in holding yourself to a promise. I was brought up to believe you don’t turn your back on a handshake. Best of luck to you whatever your decision and I hope it works out for you. 🤞🤞🤞
Vote for the comp package! Pay the man what he deserves!!!
He doesn't deserve it. His existing ownership is plenty and he should have thought about that before selling and buying Twitter.
Uh he doesn't. Dude Is a clown who bought a company only to bankrupt it
@@JonathanRootD if you don’t like it then sell your stock if you even have any..
@@JonathanRootDHis ownership of the company and his pay package for the work are two separate things. Just like two roles: one as an investor and one as a manager. Ask yourself would you like to work for a company for free, not even to mention this man works extremely hard…
@@JonathanRootD How would you like having all your pay taken away for the last 3 years? Do you know what a contract is? DUH
gold benefited in 2008-09 due to lack of alternative hedge, fast forward to 2024 gold higher valuation is driven artificially in comparison to BTC which has its own intrinsic value..gold is riding a free wave from BTC
Maybe it's the size of the package but the idea of the package that is the problem! Duh!
❤❤❤
Pay Elon! He and his team made shareholders much better off and created unbelievable products. It’s criminal that a single judge can interfere with a corporation’s comp plan.
@cathy @ark
What do you think of quantum computing stock ionq I think it’s definitely in the future of innovation also what’s your opinion on robotics stock SYM it seems ez to understand and can see lots of companies using there services ie like Costco Home Depot and Macy’s using them. Also I gave up on ticker DNA however seems like TWST might be the winner from the genomic fund
I wasn’t a shareholder for the 2018 pay package, so why do I get a vote? As a recent owner of Tesla, I’m voting no, because the stock has not performed well since I’ve owned it.
Whether you have personally made money on the stock or not since buying literally has nothing to do with the compensation deal. Smh. Sounds like you want to lose more.
Because he didn’t get paid for all of the work he did previously. And you are foolish if you think not paying the man for work already done is a good thing for your current stock. If this thing fails, the stock is going to tank like never before.
Cathie is the best, but the camera is crazy, shes distracted half of the time, her screensaver popped up... can we get a social media person and rent a camera person to polish this vid?
Yea why's it controversial? It's controversial to agree to something and then take it back - illegal also
Elon's brain is priceless... Generational Innovator. Without him, Tesla is nothing
Maybe the price of Tesla will come down !
Maybe the price of Tesla will go up!
Lost 11000 from invitae. :)
Thank you for your time! IMHO Elon Musk should have already been paid; completely agree with your statements on Musk.
His next pay package should have already been negotiated. I think this should have happened in 2022 after the 12 tranches were completed.
I think he has 13%
I think the 2018 is about 10%
The new comp package would give him the other 2+% to have the 25% needed.
Cathie is an excellent, but conservative investor, everything she says is very reasonable, and I agree with her 100%, but the fools' consensus can also be a kind of consensus, especially when many are participating in the GAME!
Just setting aside the fact that he has done a good job at prioritizing shareholder value (which is technically the law in the US), why does a single human being need $56 billion? Shouldn't this money be better spent on R&D as well as increasing production so the average American can buy a Tesla, not just their boss? Also, receiving no compensation for 10 years is not impressive when one is independently wealthy.
Tesla stock peaked in November 2021.