We believe that investment markets will only be as healthy as the environment and communities that support them. Engaging for better public health is a key priority in our stewardship work. Our health stewardship covers a range of themes, including mental health and nutrition.
The strong correlation between human health and investment returns was clearly visible during the Covid-19 pandemic; we quickly learned that healthy companies require healthy workers.
The private sector undertakes many activities that affect people’s health, both positively and negatively. Within a company’s immediate sphere of influence, its approach to the health, safety and welfare of its own workforce can have a direct impact on its profitability. More broadly, the products or services that a company sells come with consequences for customers.
Where products or services have the most significant, unmitigable, negative impact upon public health, we restrict investment in the associated companies. For instance, CCLA applies a 5% revenue restriction to tobacco, that applies to all portfolios.
