Socially Responsible Investing : Activists

Environmental groups have this week launched a blistering attack on the World Bank's efforts to tackle climate change, ahead of its annual meeting this weekend.

Earlier this year the Bank stepped up its efforts to address climate change, unveiling two climate investment funds in July, with 10 industrialised nations pledging $6.1bn (£3.5bn) in aid to help developing nations adapt to rising global temperatures and accelerate the adoption of low carbon technologies.

But environmental groups have argued that despite the new funds the bank is continuing to back fossil fuel-intensive projects, such as the planned Tata Mundra coal plant in India, Peru's Camisea gas project, and infrastructure projects that will trigger significant deforestation in the Amazon.

Read more about the World Bank backing coal here. 

Environmental groups have this week launched a blistering attack on the World Bank's efforts to tackle climate change, ahead of its annual meeting this weekend.

Earlier this year the Bank stepped up its efforts to address climate change, unveiling two climate investment funds in July, with 10 industrialised nations pledging $6.1bn (£3.5bn) in aid to help developing nations adapt to rising global temperatures and accelerate the adoption of low carbon technologies.

But environmental groups have argued that despite the new funds the bank is continuing to back fossil fuel-intensive projects, such as the planned Tata Mundra coal plant in India, Peru's Camisea gas project, and infrastructure projects that will trigger significant deforestation in the Amazon.

Read more about the World Bank backing coal here. 

The U.S. government's forestry conservation efforts are under fire this month, as three environmental conservation groups have filed a suit charging the Office of the U.S. Trade Representative and other federal agencies with illegally funnelling money for forest conservation efforts to industry-backed and -populated forestry groups.

The U.S. government's forestry conservation efforts are under fire this month, as three environmental conservation groups have filed a suit charging the Office of the U.S. Trade Representative and other federal agencies with illegally funnelling money for forest conservation efforts to industry-backed and -populated forestry groups.

This week’s Democratic National Convention could go down in history as the one with the most mentions of green and clean technology. In attendance were members of the newly formed group Cleantech for Obama, which was created to help rally the cleantech community behind Barack Obama, and spearhead fundraising.

Shareholder activists are encouraged by the high percentage of votes cast in favor of making mutual funds genocide-free.  In a second round of voting on genocide-free investing, 25% of shareholders of Fidelity’s Mid-Cap Fund, 21% of its International Discovery Fund, 22% of its Overseas Fund and 23% of its Canada Fund voted for the genocide-free investing proposal. Similarly, on March 19, 27% of shareholders of Fidelity’s Capital and Income Fund and 28% of its Select Health Care Portfolio Fund voted in favor of the proposal.  The proposal has been submitted to a wide range of other mutual funds with votes scheduled in coming months.

According to industry insiders, it is highly unusual for a social concern to receive such a high percentage of the vote, when opposed by management. Chief among the reasons for these low numbers is the large number of votes that simply follow management’s guidance, including institutional voters, “insider” voters, and many ordinary investors who reflexively check the “vote with management” box. The consistently high vote totals for genocide-free investing suggest that this proposal resonates strongly with shareholders.

More votes on the genocide-free investing proposal will take place on May 14 at shareholders’ meetings for 15 additional Fidelity funds including the $72 billion Contrafund, the $50 billion Diversified International Fund, and the $39 billion Magellan Fund.

For more information please see investorsagainstgenocide.org.

Shareholders of Fidelity’s Contra Fund will have the opportunity to vote on a shareholder proposal which asks the mutual fund giant to ensure that its investments are genocide-free.

Thanks to a recent decision by the Securities and Exchange Commission (SEC) denying Fidelity’s “no-action” request, Fidelity will not be able to block consideration by its shareholders. Fidelity’s filing with the SEC indicates its plans to hold a shareholder meeting for its Contra Fund on March 19, 2008. The shareholder proposal for genocide-free investing has been filed with 28 of Fidelity’s mutual funds and with 30 other funds from Barclays, Franklin Templeton, T. Rowe Price, and Vanguard.

The Sudan Accountability and Divestment Act which authorizes state and local governments to divest from companies that support the Khartoum government in Sudan and prohibits federal contracts with those companies has been signed into law by President Bush.

Darfur activists have been aggressively pushing this legislation, and the groups – including the Save Darfur Coalition, Genocide Intervention Network, National Association of Evangelicals, American Jewish World Service and NAACP – together hailed this critical step and have been urging the Bush administration to not obstruct it.

"We commend the Senate for pushing the United States towards fulfilling its responsibility to protect civilians in Darfur,” the groups said in a joint statement. “We specifically highlight the tireless efforts of Senators Dodd, Shelby, Reid and Durbin, who all worked to ensure the measure passed in a unanimous, bipartisan fashion.”