A second big European fund manager in less than a week has distanced itself from investing in tobacco stocks, citing concerns about public health and the "substantial" associated economic cost. BNP Paribas Asset Management today said its €228bn mutual fund business would sell all positions in companies operating in the tobacco sector by the end of 2018. This...
BNP Paribas Asset Management announced its €228bn ($283m) mutual fund business will stop investing in tobacco stocks, selling all positions in the sector by the end of the year. However, a spokesman said the move would not extend to its entire range of funds. The asset manager's stance follows a similar move by Dutch fund manager Robeco, also considering dropping its investments in tobacco companies because pension scheme members are concerned about holding such stocks. Potential for investors to take legal action against trustees over the damage that smoking causes is also a concern.