A long-term Elon Musk backer is cashing out of Tesla — and cutting its SpaceX exposure

Scottish Mortgage Investment Trust has exited its remaining Tesla stake and reduced SpaceX to 11.1% of assets, trimming exposure to Elon Musk’s two highest-profile companies. The move marks a notable shift for the long-time Musk backer, which had held Tesla as a core position. The trust is rebalancing toward a more diversified portfolio after concentration in high-growth names drove sharp swings in performance. Investors will watch whether other Baillie Gifford funds follow suit and how SpaceX’s valuation holds up in future funding rounds.