CANDRIAM announces that it will extend the scope of controversial activities exclusion for all its assets to thermal coal, tobacco and chemical, biological and white phosphorus weapons.
This exclusion policy will be extended to all active, smart beta, index and alternative strategies. The new measure will be fully implemented by 31 December 2018.
Candriam has been successfully applying exclusion criteria to Sustainable and Responsible Investing (SRI) investments for nearly 20 years, making it an industry leader with $30bn in assets under management in pure SRI strategies.
Candriam will introduce uniform thresholds for its entire portfolio. The exclusion of coal energy applies from a share of 10% (direct and indirect) on the company. In addition, it will exclude all companies launching new coal projects; abandoning tobacco affects, tobacco manufacturers and their suppliers.
The exclusions are in keeping with the recent commitment and initiatives that Candriam has recently joined. These include World No Tobacco Day, Montreal Carbon Pledge, Climate Action 100+ and the Investor Agenda Initiative.
Naïm Abou-Jaoudé, CEO of Candriam and chairman of NYLIM International said: “The exclusion of coal and tobacco from our traditional investment products underlines our claim to be a sustainability leader. Coal is the most polluting source of energy and a first lost asset on the way to decarbonisation, and the harmfulness of tobacco is well known. We believe that asset managers play a key role in solving global health and climate issues.”