In my CNNMoney.com column, I’m taking another look at Fidelity and its mutual funds–this time, because they are the latest target of the campaign to get companies to divest their holdings in Sudan. (Yesterday I blogged about Fidelity and gay rights.)
The Sudan divestment campaign is an attempt to put economic pressure on the government of Sudan to stop the genocide in Darfur. It has enjoyable notable successes, both with major institutional investors and with companies that have agreed to pull out of the region. The government depends on foreign investment to finance the genocide.
Here’s how the column begins:
As institutional investors learned that Chinese oil companies are helping to finance genocide in Sudan, many took action.
Harvard University led the way, divesting its stock in PetroChina in 2005, and selling off Sinopec a year later. Yale, Stanford and dozens of other university endowments followed. California’s legislature approved a divestment plan last fall; so have at least five other states. Barclay’s Global and Northern Trust are marketing Sudan-free investment funds.
Now the divestment campaign is targeting Fidelity, the nation’s biggest mutual fund company.