The Final Countdown For Tesla

Elon Musk embraces political risk.

Elon Musk, "Menace To Democracy"

Last Friday on ZeroHedge, I wrote about the political risk Elon Musk is facing with the U.S. election (“The Final Countdown For Tesla”). That piece includes a lot of X posts, which I can’t embed here (thanks to Elon Musk cutting off Substack’s access to X’s API after Substack came out with a Twitter-like product last year), but here’s the gist of it:

In addition to endorsing Donald Trump in the upcoming election, Elon Musk has taken on political risk by speaking out on topics such as race and immigration in opposition to the Western establishment. This has led to establishment mouthpieces, such as Financial Times Associate Editor Edward Luce calling Musk a “menace to democracy”. As I wrote there,

In A Way, The Establishment Is Right

Elon Musk isn't a menace to "democracy" in the common definition of the term (government by the people), but that's not what Luce means by "democracy". What he means is "managed democracy", which Wikipedia defines as, 

[A] formally democratic government that functions as a de facto authoritarian government or, in some cases, as an autocratic government.^[4] Such hybrid regimes are legitimized by elections, but do not change the state's policies, motives, and goals.

And of course, Edward Luce, as a journalist, expects to have a role in the managing.

What This Has To Do With Tesla

As I wrote there,

Bear in mind that Elon Musk's companies have already been the target of lawfare by the U.S. government. The Department of Justice sued SpaceX last year for not hiring illegal aliens claiming to be refugees. And the EEOC sued Tesla (TSLA 0.00%↑ ) last year over claims by black employees that they experienced racism by fellow employees at a Tesla plant in California. 

Elon Musk has been a vocal opponent of certain U.S. establishment policies, such as its tacit embrace of unrestricted illegal migration. […]

Now that Musk has endorsed Donald Trump, and is speaking out against anti-white racism, Trump's election has become a must-win for him. If Kamala Harris wins, the establishment will make an example of Elon, by cracking down harder on his companies--and possibly him, personally. 

Hedging Tesla Against Political Risk

I used “The Final Countdown” in the title of the post because I used the eponymous song by the band Europe in the TikTok below, where I demoed using the Portfolio Armor iPhone app to hedge Tesla out past November’s election.

@dpinsen @dpinsen ♬ The Final Countdown - Europe

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As the last frame of that video shows, the net cost of our Tesla hedge was negative, meaning you would have collected $2,350 when opening the trade. 

The quick demo in the video uses two of the Portfolio Armor iPhone app's in-app subscriptions, one that enables you to scan for optimal collars, and one that enables you to change option expirations. I've since lowered the price of those in-app subscriptions to $2.99 each, so if you've downloaded the app already, give them a try. 

And if you don't have the app yet, you can download it here, or by aiming your iPhone camera at the QR code below.