Worldwide investments in CLUSTER MUNITIONS

2.2.18 Folksam (Sweden)
Folksam is a Swedish insurance company that offers a wide variety of insurance, savings, pensions and
loan products. Folksam serves approximately four million customers. 453
Folksam does not invest in companies involved in tobacco and illegal weapons such as cluster munitions,
anti-personnel mines and nuclear weapons. 454 The exclusion policy applies to all commercial banking and
asset management activities, including those managed by external asset managers. 455 However, Folksam
does not fully apply the exclusion policy to index-linked products managed by external managers. Folksam
indicates it is “working to minimize exposure and to identify effective solutions” to this problem. 456
Folksam’s publicly available exclusion list contains the following companies for involvement in cluster
munitions: General Dynamics, Lockheed Martin, Raytheon and Textron. 457
How to gain a place in the Hall of Fame?
To be listed in the Hall of Fame, Folksam should extend its policy to cover all externally managed indexlinked
products.
2.2.19 Handelsbanken (Sweden)
Svenska Handelsbanken AB is a Swedish full-service banking group, operating nationwide branches in
six home markets: Denmark, Finland, Norway, the Netherlands, Sweden and the United Kingdom. 458
Handelsbanken’s Policy for Responsible Investment states that Handelsbanken excludes companies involved
in the production or distribution of weapons banned under international law, including cluster munitions
under the Convention on Cluster Munitions. 459
Handelsbanken’s policy on cluster munitions applies to commercial banking, investment banking and all
internally managed active funds. The Policy for Responsible Investment states that “it includes our funds
and portfolios’ direct investments in Swedish and foreign equities and corporate bonds.” 460 Handelsbanken
makes an exception for funds that follow an index: “When deciding on exclusion, index funds may be
exempt if the investment is important to the fund’s ability to reflect the underlying index.” 461
Handelsbanken states that currently the companies identified are small in the underlying index.462
Handelsbanken does not apply the policy to its external asset managers.463
Handelsbanken makes use of an exclusion list which it publishes on its webpage. Companies excluded for
involvement in cluster munitions or anti-personnel mines are: Aerojet Rocketdyne, Aeroteh, Aryt Industries,
Doosan Corporation, General Dynamics, Hanwha Corporation, L-3 Communications, Motovilikha Plants,
Lockheed Martin, Poongsan Corporation, S&T Dynamics, Singapore Technologies Engineering, Textron and
Temasek Financial. 464
How to gain a place in the Hall of Fame?
To gain a place in the Hall of Fame, Handelsbanken should apply the exclusion policy to all external asset
managers. The policy should also exclude the option of investing in index funds where a cluster munitions
producer makes up a percentage, no matter how small, of the index.
2.2.20 HSBC (United Kingdom)
HSBC, originating from the United Kingdom, is a major banking and financial services institution. It offers
services in retail banking and wealth management, commercial banking, global banking and global private
banking. HSBC operates in 72 countries, serving about 48 million customers worldwide. 465
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