Responsible Investment News

Human rights abuses a risk beyond emerging markets

O’Connor says human rights abuses are a “pernicious thing” that needs to be “stamped out at the root” through vigilance from investors and company boards, particularly those of large multinationals that source from many countries.

“For most of our funds invested in global equities, we have for the last decade run screens across our portfolio using [items] such as MSCI ESG research tools to flag concerns,” O’Connor says. “We have a red and orange flag for stuff to help us identify companies that are really falling down, particularly on safety aspects.

“You have to understand that human rights [abuses] are a risk to business as well. They can have a negative impact both on the labour side, if you think about safety, operational risk from site closures, from protests, from land disputes, and there’s regulatory risk.

Read full article here.