Viewpoint: If Jensen Huang steps down as NVIDIA's CEO, investors may reduce their share holdings amid uncertainty over a successor.

The Future Fund managing partner Gary Black has published an analysis examining the impact of NVIDIA CEO Jensen Huang’s affair scandal. He questions whether Huang can remain in his role as NVIDIA’s chief executive officer, noting this could exert short-term pressure on the stock of the world’s second-largest market capitalization company. The firm has no natural internal successor for the position. While Huang has not committed any crimes or violations, his code of conduct and judgment will come under scrutiny, a development that could very likely lead to his removal by NVIDIA’s board of directors. Even if the market does not see long-term value damage, many portfolio managers will reduce their NVDA holdings in the coming weeks amid uncertainty over who will take over as NVIDIA’s CEO.