POWERED BY MOMENTUM MEDIA
VicSuper kicks tobacco habit
VicSuper will this year phase out investing in companies that manufacture tobacco.
The decision follows consideration of many factors including the expected impact on investment risk and returns for members, as well as the health consequences of tobacco products.
It was a unanimous decision by the board.
Chief executive Michael Dundon said the fund took into consideration environmental as well as economic factors.
“With tobacco products imposing a significant burden on society in terms of health care and environmental costs, the board and management team at VicSuper feel it is the right decision to move away from investing in this industry”.
VicSuper chair Barbara Norris agreed, saying the decision was not made lightly.
“We had an informed discussion about the impact of this decision on VicSuper Fund, the potential returns for members, and the consequences of continuing to invest in companies that produce such a harmful product,” she said.
Tobacco represents less than 0.5 per cent of VicSuper’s portfolio.
They are one of a number of funds that have made the decision to cut tobacco holdings from their portfolio in the past year, including Hesta, Future Fund, Sunsuper and the SAS Trustee Corporation.
AUTHOR
Staff Writer
Money Management staff writers are writers who contribute to the website from time to time. If you would like to discuss the content contained within this article please contact us.
Recommended for you
ASIC has warned that practices across the $200 billion private credit market are inconsistent and, in some cases, require serious improvement.
A surge in electricity prices has driven the monthly Consumer Price Index to its highest level in a year, exceeding forecasts.
Infrastructure well-positioned to hedge against global uncertainty, says investment chief.
The fund manager remains positive on the outlook for gold and believes ongoing market volatility will provide opportunities to acquire small-cap stocks in promising sectors.
TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
DomaCom DFS Mortgage
76.97 3 y p.a(%)
2
Global X 21Shares Bitcoin ETF
76.46 3 y p.a(%)
3
UBS Solactive Global Pure Gold Miners UCITS ETF Dis USD
51.13 3 y p.a(%)
4
Global X GlobalX FANG+ ETF
45.15 3 y p.a(%)
5
Select Baker steel Gold Institutional
43.78 3 y p.a(%)
