LONDON (Reuters) - Dutch asset manager Robeco, part of Japan’s Orix Corporation, said on Wednesday it planned to exclude tobacco-related investments from its mutual funds because of its social impact.
The decision will impact all of Robeco’s mainstream fund range, but not those which it runs for individual clients, it said in a statement.
The exclusion applies to all listed companies in the production of tobacco or significant components of cigarettes. The holdings are currently worth 129 million euros (115 million pounds), or 0.24 percent of its total 161 billion euros assets, according to a spokeswoman.
The move, which is expected to be completed by the end of the third quarter, follows similar action by insurers including AXA and Aviva, as well as the fund arm of french lender BNP Paribas.
“The tobacco industry is increasingly seen as socially disadvantageous,” Robeco said in the statement, adding that engagement with the industry would not lead to fundamental change.
Reporting by Simon Jessop and Anthony Deutsch; editing by Maiya Keidan