• You may be accidentally investing in cigarette companies | TED Talks
    4 replies, posted
https://youtu.be/l--QYXCecew
Our finance system specifically bypasses humane interests like this, if you don't buy in other people with less morals will, and theyll be more successful and continue being super rich. It's completely rediculous to expect funds to intentionally make less money by not investing in successful industry. If you want, keep investing but send the money you make towards anti-tobacco lobby interest groups. Instead it's basically required for governments to introduce elements like carbon tax to embody the human and environmental costs they inflict. I think introducing harsher taxes on these companies is a better idea than outright banning tobacco, which wouldn't really pan out well for the people who are addicted and for society in general. It just shouldnt be so ridiculously profitable for the companies involved.
I don’t think the situation is as awful as you portray. Superannuation in Australia is compulsory for any resident who earns a wage or salary, and something like 90% of Australians consider ethical investments to be a high priority in how their superfunds invest. It therefore would (and does) make sense for superfunds to tailor their strategies towards ethical investments, given that superannuation contributions are such a huge cash cow for superfunds and how easy it is for people to switch superfunds. Indeed, in practice, my superfund has ‘active engagement’ as one of its major policies, which means that they do not invest in things such as tobacco or coal or any organisation which exploits child labour. And interestingly, my superfund and similar ones are consistently amongst the highest performing funds in Australia. It actually makes financial sense for funds to divest from the tobacco industry, given that tobacco usage is on a non-stop downwards trajectory, and that governments around the world are attempting to have the externalities of the tobacco industry be internalised, through eg escalating taxes on tobacco. Governments have a role, but suggesting that it’s up to the government to fix this is a bit of a cop-out. There are so many things which people themselves can do to make a difference; transfer your super to a superfund which has CSR, ethical and sustainability policies (like my superfund). Be a member of a bank which also ethically invests and is actually a cooperative run by its members (like my bank). Same for even insurance; my car insurance is also with a cooperative.
Over here we haven a govt. saving scheme called kiwi saver. It's invested in both cigarettes and weapon production lmao.
If I recall correctly, I believe that members of KiwiSaver can choose an investment strategy which excludes unethical investments? I mean yeah it’s sucks that it’s not the default, but at least it’s an option.
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