13 Dec 2012

NZ Super Fund excludes three companies

8:33 am on 13 December 2012

The New Zealand Superannuation Fund has excluded three companies from its $20 billion investment portfolio on responsible investment grounds.

Two firms, Africa-Israel Investments and its subsidiary Danya Cebus and Shikun & Binui, have been excluded because of their involvement in the construction of Israeli settlements in the Occupied Palestinian Territories.

Ebit Systems has been excluded because of its involvement in the construction of the separation barrier in the territories.

The fund says the settlements and barrier have been cited as illegal under international law.

It says it considers the firms' involvement to be inconsistent with the United Nations Global Compact, the key benchmark against which the fund measures corporate behaviour.

The fund's holdings in the three companies, worth about $30,000, have been sold.

Through its global equity portfolio, the fund holds shares in more than 6,500 companies.