Luis Davila's Weblog


Fidelity promoting genocide??

A couple of days ago I received a notice from Fidelity Investments letting me know that because of my 401k, I had the opportunity to vote on the upcoming motions to be introduced during the next board of directors meeting. The notice says that the board of directors suggests that as partial owner of a fund that invests internationally, I should vote to approve a motion to include new board members and another one that reduces the size of the quorum. Incredibly enough, the board of Fidelity Investments suggests that I vote against a motion that bans Fidelity from investing in countries that are engaged in genocide. Whaaat? You read it right! Fidelity Investments wants me to support their practice of investing in countries (like Sudan) that promote genocide. This is crazy!

I did some research and it seems that Fidelity is investing on Chinese oil companies (such as PetroChina) that are operating in Sudan, which provide funding to the Sudanese government, which supports the Arab militias wreaking havoc in Darfur.  Activists have started organize against Fidelity, and have already started campaigns to push Fidelity into responsible investments and out of Sudan (see http://fidelityoutofsudan.googlepages.com/). 

I know that I will vote against Fidelity Investments on this, and hope that others consider doing this as well (for more information on how you can get involved check out: http://investorsagainstgenocide.googlepages.com/shareholderresolutions). I am also researching ways to roll out my 401k out of Fidelity into a private IRA, because I can’t believe that in 2008 we still have companies blatantly refusing to work responsibly. 

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3 Comments so far
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I found your site on technorati and read a few of your other posts. Keep up the good work. I just added your RSS feed to my Google News Reader. Looking forward to reading more from you.

Allen Taylor

Comment by Allen Taylor

i was appalled by this, too. the shareholder proposal for some of the funds has already been voted down (can you believe that? – only 28% of people voted for the proposal – thus only 28% of voting shareholders believe genocide should be taken into account when making investments) – but there are still some funds that are being voted upon. keep spreading the word!

Comment by Kristin

Another proxy vote notice for 2 funds I have 401k money invested came in yesterday’s mail, we are organizing our staff for hopefully a bigger % on these votes. Most people (including me) toss these proxy vote mailers, but I had recently heard this issue made the ballot. I hope the publicity from the first vote in March will remind people this time around to read their retirement mail. Keep fighting!

Comment by lance wille




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