“The issue is still low on the radar of most investors,” says The Guardian in a story on an emerging campaign for divestment from factory farming. The idea is that activists will target stockholders of companies involved in large-scale livestock operations, or those invested in companies that purchase animal products. “The aim is either to get them to engage with companies and pressure them to improve practices, or to move their money away from such companies for good.”
One group, ShareAction, cites the risk of disease outbreaks at feedlots, the potential cost of regulation of antibiotics or methane emissions, water pollution fines, and volatile feed costs.
“There are … investment funds which exclude factory farming companies,” said The Guardian. EdenTree, based in Britain, says it offers an ethical investment fund that excludes intensive-farming companies, most of which are based in the United States. Boston Common Asset Management says it won’t invest in companies such as Tyson Foods or Smithfield Foods that operate confined animal feeding operations.
The Guardian says it is unclear how many investors are actively divesting. Most are committed to engagement with companies about their policies.