INVESTORS STANDING AGAINST GENOCIDE
By Selena Maranjian
Motley Fool
/15/investors-standing-against-genocide.aspx
April 15 2009
I was recently heartened to learn that the Teachers Insurance and
Annuity Association — College Retirement Equities Fund (referred to
more briefly as TIAA-CREF) is taking action in regard to investments
that support genocide in Darfur.
Some big oil companies, you see, are doing business with the Sudanese
government, and in the course of buying oil, are providing the money
that funds much of the violence. So TIAA-CREF has now joined a bunch
of mutual funds and other big investors to demand changes. It’s a
big deal, because TIAA-CREF manages some $400 billion in assets. It’s
giving the companies in its portfolios with ties to Sudan until the
end of the year to make progress in addressing humanitarian needs
and reducing the genocide. PetroChina (NYSE: PTR) is a main target
of many antigenocide groups.
Activism in action As an Armenian-American, I’m no stranger to the
concept of genocide. So I find the ongoing campaign against complicit
companies exciting to watch as it gains traction. The Investors
Against Genocide and Sudan Divestment Task Force websites offer a
lot of information, as well as a way to lobby your fund companies
to participate. Already, Warren Buffett’s Berkshire Hathaway (NYSE:
BRK-A) has completely divested, as has Allianz. Fund companies such as
T. Rowe Price are now screening for companies whose business dealings
support the genocide.
The bottom line is that progress is being made.
Take action, yourself Still, it’s only a small step. There are plenty
of other issues that ordinary investors feel strongly about, but the
key is to join with bigger investors. After all, many big companies
are majority-owned by institutional investors, like pension funds
and mutual fund companies. Here are some examples:
Company CAPS Rating (out of five) % Owned by Institutions
Accenture (NYSE: ACN) ***** 79%
Colgate-Palmolive (NYSE: CL) ***** 73%
Corning (NYSE: GLW) ***** 78%
Johnson & Johnson ***** 60%
Western Union (NYSE: WU) ***** 93%
PepsiCo ***** 68%
Philip Morris International (NYSE: PM) ***** 74%
Data: Motley Fool CAPS.
With a little online exploration, you can learn much more about
issues that matter to you. Doing our little part can be valuable,
especially when we influence the bigger players.
You have the power to influence companies and fund managers, and
even to make shareholder proposals at companies in which you’re
invested. You can also vote with your dollars. Bottom line: Don’t think
that just because you only own a few shares of a fund or company that
your opinions don’t matter — they do.