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Sample Letter to Mutual Fund Managers
Ask your mutual fund manager to dissociate from genocide in Sudan by screening "Highest Offenders" in Sudan out of the fund. Tell your fund manager you plan to divest from funds containing companies that support genocide.
For a list of "Highest Offenders" in Sudan, click here to subscribe to the Sudan Company Report.
To Whom It May Concern:
I would like to inform [YOUR MUTUAL FUND COMPANY] that I am considering divesting my personal holdings from a small subset of problematic companies operating in Sudan in response to the government-sponsored genocide occurring in the country's Darfur region. As you may know, Darfur marks the first time in history that the United States has classified a conflict as genocide while atrocities are still ongoing.
I understand that firms such as [THE HIGHEST OFFENDING COMPANY/COMPANIES PRESENT IN YOUR MUTUAL FUND] are often instrumental in promoting positive development in the countries in which they operate. However, while foreign direct investment (FDI) can aid civilian populations and promote democratization, certain types of FDI in Sudan have been directly or indirectly linked to the facilitation of Darfur's genocide - a fact documented by numerous governments, non-governmental organizations, and foreign policy experts. Furthermore, Sudan historically has been responsive to economic pressure. Possessing neither the capital nor the expertise to fully exploit its own oil resources, the government of Sudan is highly reliant on FDI to fund its military and facilitate conflict in Darfur. It is estimated that up to 70% of the government of Sudan's oil revenues go towards its military expenditures. Furthermore, events in Sudan and the prospect of continued international sanctions have led investors to question not only the social ramifications, but also the financial prudence of investing in problematic companies operating in the country.
I strongly urge [YOUR MUTUAL FUND COMPANY] to consider investigating and removing the most problematic companies in Sudan. A list these companies, known as "Highest Offenders", can be obtained for free from the Sudan Divestment Task Force (www.sudandivestment.org). As an individual investor I am joined by more than 100 universities, cities, and states in the United States and internationally already implementing or considering identical targeted Sudan divestment policies for their portfolios. Those institutions are either already demanding or will soon be demanding similarly targeted Sudan-free investment opportunities.
While I fully recognize that [YOUR MUTUAL FUND COMPANY] has a responsibility to provide clients with services of the highest value at the lowest possible cost, the increasing number of fiduciaries implementing targeted Sudan divestment policies suggests that demand is present for Sudan-free funds. Only a small subset of problematic companies merit divestment. These companies frequently make up a very small percentage of a fund's overall portfolio and, given the abundance of similarly situated and equally profitable replacements, a fund manager can remove these companies without compromising his/her current investment strategies. [YOUR MUTUAL FUND COMPANY] can therefore divest from these companies while still providing top quality investment returns. In fact, considering the material risk posed by "Highest Offenders" and the notable underperformance of these companies in the last few years, it may be financially imprudent to continue to invest in "Highest Offenders".
Given the current situation in Darfur, I hope that you will seriously consider this request from me and those of the growing number of investors who seek to avoid investing in companies tied to genocide. If [YOUR MUTUAL FUND COMPANY] is unwilling to divest these companies, I will be forced to consider moving my investments to fund managers who are willing to take this action. Please notify me at your earliest convenience of any actions [YOUR MUTUAL FUND COMPANY] is taking on this matter, so that I may make responsible decisions regarding my investments.
Sincerely,
[NAME]
[ADDRESS]
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