Mutual Fund Pressure from the Inside Out: How Shareholders are Changing Business as Usual
Grassroots activists have long pressured mutual fund companies to use their money and influence to help end genocide. Another crucial group is now joining these activists - the companies' own shareholders.
Shareholders in several mutual fund companies have introduced resolutions regarding genocide. Sixty-six shareholder resolutions have been introduced in 12 firms. Some require companies to push the Sudanese government to end its atrocities. Others require them to divest completely from any company that works with Khartoum. They all work towards one goal: to pressure the government of Sudan to end its assault on its own people.
U.S. mutual fund companies have been hearing these messages for more than a year. In 2007, during the Divest for Darfur campaign, more than 200,000 people called on Franklin Templeton, JPMorgan Chase, Fidelity Investments, Capital Group (American Funds), Vanguard, and other firms to divest from companies that help fund genocide in Darfur. Activists took to the streets in Chicago, Washington D.C., New York, Seattle, Philadelphia, Los Angeles, San Francisco and cities across the country.
Now, the Save Darfur Coalition’s partner organizations are continuing to work the inside track through shareholder resolutions.
A network of human rights advocates and fund managers formed late last year, including Amnesty International USA, the Genocide Intervention Network, and the Calvert Group. This network has submitted resolutions to several mutual fund companies requiring them to adopt policies regarding genocide and mass atrocities. Specifically, they are asking mutual funds to pressure four oil companies – China National Petroleum Corporation, Malaysia’s Petronas, Oil and Natural Gas Corp Ltd of India and China’s Sinopec Corp – that work with the Sudanese government to make sure they are not complicit in genocide.
Another partner organization, Investors Against Genocide, has submitted resolutions to stop Fidelity from investing any money in companies that contribute to genocide. Shareholders can vote on the resolutions until June 18. Individuals who own shares in the affected mutual funds can vote in favor of the resolution they receive in the mail. So far, these resolutions have received an incredible amount of support, and we are optimistic that this support will force Fidelity to take action.
As the votes on such resolutions continue to come in, mutual fund companies face increasing pressure to take a stand against genocide. They have heard it on the streets, on the phones, in letters, and on petitions, ads and flyers. Now, through the work of these organizations and concerned shareholders, they are hearing the message from their own customers: genocide simply cannot remain business as usual.
To get involved in either campaign, please visit our partners’ websites. For information on Fidelity, please visit Investors Against Genocide. For more information on the coalition of human rights groups and fund managers, please visit Amnesty International.





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