Colonial joins the global movement among the finance industry to stop investing in tobacco companies. Signing the UN pledge builds on the company’s commitment to the principals for responsible investment that it signed in 2017.
Colonial First State’s head of investments Scott Tully said the company was committed to being good stewards of its customers’ assets.
“Our commitment to the pledge is yet another step we are taking to support global action on this issue and ensure that our members’ funds are invested in ways that have long term positive environmental and social impacts,” he said.
As part of the pledge, Colonial will help raise awareness of the issues related to tobacco company investments and support a transition to a tobacco-free world.
Colonial expects to have fully divested members’ funds from companies associated with tobacco production by 2020.
Tobacco Free Portfolios chief executive Dr Bronwyn King welcomed the move from Colonial First State and said it was a great step forward.
“I’m thrilled to see one of Australia’s largest retail funds join the global movement towards tobacco-free finance. It’s great to see a leading brand like Colonial First State distance itself from tobacco,” she said.
