Exclusion criteria | Zurich Invest Ltd

Our exclusion criteria

Our exclusion criteria are applied at three levels.

Basic exclusions – level 1

The basic level aims at excluding issuers and companies that violate the principles of the SVVK and of the United Global Compact on outlawed weapons.

The Swiss association for responsible Investments (SVVK) helps its members to fulfill their responsibility toward the environment, society and the economy, e.g. by providing exclusion recommendations.
The United Nations Global Compact is the world's largest and most important initiative for responsible corporate governance. The initiative has drawn up 10 principles for human rights, labor standards, environmental protection and the prevention of corruption.

Controversial arms

Controversial and outlawed weapons include, for example, landmines and banned cluster munitions. Despite the ban, these are still used. They cause great suffering among the civilian population and destroy entire areas.

We exclude issuers and companies that produce or sell controversial arms.

Nuclear weapons

Due to the extent of direct damage they cause, nuclear weapons are classified as weapons of mass destruction. Nuclear weapons contaminate entire areas, making them uninhabitable for decades.

We exclude issuers and companies that produce or sell nuclear weapons.

Cluster bombs

Exploding cluster bombs release a great number of explosives that spread over large areas. They leave behind unexploded bombs that are triggered upon contact, severely injuring civilians. Cluster bombs often destroy non-military areas.

We exclude issuers and companies that produce or sell cluster bombs.

Conduct-related exclusions

Conduct-related exclusions comprise human rights abuses, abuses of labor standards and the abuse of anti-corruption standards.

We exclude issuers and companies that violate international standards and conventions in these areas.

Climate-focused exclusions – level 2

One of the measures required to reach the goal of reducing global warming to less than 2 degrees Celsius (1.5-degree goal) is a significant reduction of the global coal consumption. The thresholds of the Zurich Group provide an essential contribution to reaching this goal.

Exceeding thresholds in the field of coal, oil sand and oil shale results in exclusion.

Coal

Coal is the result of the carbonization of plant leftovers. During the combustion of coal, greenhouse gases, fine dust and poisonous smog are released into the air.

We exclude issuers and companies

that generate more than 30 percent of their revenue from thermal coal mining,
that extract more than 20 million metric tons of thermal coal a year,
that generate more than 30 percent of their power from coal
or that are in the course of developing new infrastructure projects for coal mining or generation of power from coal.

Oil shale

Oil shale refers to rocks from which shale oil is extracted by heating. The mining of oil shale requires a lot of water and results in the release of carbon dioxide, a greenhouse gas.

We exclude issuers and companies

that generate more than 30 percent of their income from the mining of oil shale
or that generate more than 30 percent of their power from oil shale.

Oil sand

Oil sand is a mixture of oil, water and sand and is a key source of crude oil. The mining of oil sand is harmful for the environment and for the climate, as it requires a lot of water and energy.

We exclude issuers and companies

that generate more than 30 percent of their revenue from the extraction of oil from oil sand
or that operate infrastructures for the transport of oil sand products.