One of Britain’s biggest managers of ethical funds is to dump £20m of shares in fossil fuel companies in one of the biggest divestments so far because of climate change.
|Steam rises from the cooling towers at a coal-fired power station.|
Shares in BHP Billiton, the Anglo-Australian mining giant, will be among those sold by BMO Global Asset Management’s range of “responsible” funds, which manage £1.5bn of assets. They were previously known as the “stewardship” funds, the first ethical funds launched in Britain.
The archbishop of Canterbury, Justin Welby, played a crucial role in the divestment, as president of BMO’s responsible investment council. The Church of England has already pulled out of investing in companies that make more than 10% of its revenues from thermal coal or oil from tar sands.
BMO’s divestment goes further, banning all companies with fossil fuel reserves from being in its responsible funds range.
Read Patrick Collins’s story on The Guardian - “Top UK fund manager divests from fossil fuels.”