London Daily

Focus on the big picture.
Friday, Jun 20, 2025

JP Morgan fund dumps “severe violator” petrol and defence stocks

JP Morgan fund dumps “severe violator” petrol and defence stocks

A £1.4 billion JP Morgan fund has dumped shares in two giant American companies in the latest sign of the pressure investors are facing over climate change.
With Extinction Rebellion bringing chaos to London and other campaigners pushing for large firms to act on the environment, stock market funds are under increasing scrutiny.

Today the JP Morgan American Investment Trust said it has sold its holdings in Marathon Petroleum and Raytheon Technologies “substantially on poor ESG (environmental, social and governance) grounds”.

Marathon a $36 billion petrol refiner, and Raytheon, a $130 billion defence giant, are both on the United Nations Global Compact “severe violators” list.

The trust said in a stock market announcement it has switched the proceeds into ConocoPhillips and Bristol Myers Squibb which have “better ESG credentials”.

The statement said: “The Board has noted with approval the increasing attention paid by the Manager to Environmental, Social and Governance (ESG) issues in their research process and stock selection decisions for the Company’s portfolio.”

The fund also noted that it has sold its stake in Tesla, generally regarded as an environmentally friendly stock to fund an investment in Facebook, which is not.

JP Morgan, the world’s biggest bank led by perhaps the most powerful banker, Jamie Dimon, says sustainable investing is “a growing concern for our clients”. It has $2.3 trillion in ESG assets.

The bank did not return calls seeking comment on the investment trust that bares its name.

The fund is listed in London and has seen the shares jump 20% this year. They rose 5p to 693p today. It is run by Timothy Parton and Jonathan Simon.

A report this year by Friends of the Earth showed that UK local government pension funds alone held £10 billion in fossil fuel shares.

Those funds, typically run by large City firms such as Schroders, have seen the value of those holdings tumble during the pandemic, perhaps strengthening the case to sell oil stocks and buy green shares.

While dividends from the likes of BP and Shell have been a vital income stream to pension funds for decades, payouts have been cut as the companies try to reshape their businesses.

ESG funds run by City firms have seen huge inflows in the last year as investors large and small move to embrace green principles.

Critics of the ESG industry argue that there is a clear difference between boycotting certain investments and actively campaigning for change.
Newsletter

Related Articles

0:00
0:00
Close
16 Billion Login Credentials Leaked in Unprecedented Cybersecurity Breach
Senate hearing on who was 'really running' Biden White House kicks off
Iranian Military Officers Reportedly Seek Contact with Reza Pahlavi, Signal Intent to Defect
FBI and Senate Investigate Allegations of Chinese Plot to Influence the 2020 Election in Biden’s Favor Using Fake U.S. Driver’s Licenses
Vietnam Emerges as Luxury Yacht Destination for Ultra‑Rich
Plans to Sell Dutch Embassy in Bangkok Face Local Opposition
China's Iranian Oil Imports Face Disruption Amid Escalating Middle East Tensions
Trump's $5 Million 'Trump Card' Visa Program Draws Nearly 70,000 Applicants
DGCA Finds No Major Safety Concerns in Air India's Boeing 787 Fleet
Airlines Reroute Flights Amid Expanding Middle East Conflict Zones
Elon Musk's xAI Seeks $9.3 Billion in Funding Amid AI Expansion
Trump Demands Iran's Unconditional Surrender Amid Escalating Conflict
Israeli Airstrike Targets Iranian State TV in Central Tehran
President Trump is leaving the G7 summit early and has ordered the National Security Council to the Situation Room
Taiwan Imposes Export Ban on Chips to Huawei and SMIC
Israel has just announced plans to strike Tehran again, and in response, Trump has urged people to evacuate
Netanyahu Signals Potential Regime Change in Iran
Juncker Criticizes EU Inaction on Trump Tariffs
EU Proposes Ban on New Russian Gas Contracts
Analysts Warn Iran May Resort to Unconventional Warfare
Iranian Regime Faces Existential Threat Amid Conflict
Energy Infrastructure Becomes War Zone in Middle East
UK Home Secretary Apologizes Over Child Grooming Failures
Trump Organization Launches 5G Mobile Network and Golden Handset
Towcester Hosts 2025 English Greyhound Derby Amid Industry Scrutiny
Gary Oldman and David Beckham Knighted in King's Birthday Honours
Over 30,000 Lightning Strikes Recorded Across UK During Overnight Storms
Princess of Wales Returns to Public Duties at Trooping the Colour
Red Arrows Use Sustainable Fuel in Historic Trooping the Colour Flypast
Former Welsh First Minister Addresses Unionist Concerns Over Irish Language
Iran Signals Openness to Nuclear Negotiations Amid Ongoing Regional Tensions
France Bars Israeli Arms Companies from Paris Defense Expo
King Charles Leads Tribute to Air India Crash Victims at Trooping the Colour
Jack Pitchford Embarks on 200-Mile Walk to Support Stem Cell Charity
Surrey Hikers Take on Challenge of Climbing 11 Peaks in a Single Day
UK Deploys RAF Jets to Middle East Amid Israel-Iran Tensions
Two Skydivers Die in 'Tragic Accident' at Devon Airfield
Sainsbury's and Morrisons Accused of Displaying Prohibited Tobacco Ads
UK Launches National Inquiry into Grooming Gangs
Families Seek Closure After Air India Crash
Gold Emerges as Global Safe Haven Amid Uncertainty
Trump Reports $57 Million Earnings from Crypto Venture
Trump's Military Parade Sparks Concerns Over Authoritarianism
Nationwide 'No Kings' Protests Challenge Trump's Leadership
UK Deploys Jets to Middle East Amid Rising Tensions
Trump's Anti-War Stance Tested Amid Israel-Iran Conflict
Germany Holds First Veterans Celebration Since WWII
U.S. Health Secretary Dismisses CDC Vaccine Advisory Committee
Minnesota Lawmaker Melissa Hortman and Husband Killed in Targeted Attack; Senator John Hoffman and Wife Injured
Exiled Iranian Prince Reza Pahlavi Urges Overthrow of Khamenei Regime
×