Kommunal Landspensjonkasse (KLP) is Norway’s largest life insurance company. It delivers financial and insurance services to the public sector, businesses associated with the public sector and their employees. KLP has total assets of NOK 641 billion (€66 billion).[1]
The 2014 KLP Guidelines for Responsible Investment state that KLP will exclude investments in “companies that produce weapons whose normal use violates fundamental humanitarian principles”.[2] KLP guidelines are aligned with the ethical guidelines for the Norwegian Government Pension Fund and KLP follows the recommendations made by the Council on Ethics of the Norwegian Government.[3] As a result, KLP does not invest in companies that develop, manufacture, maintain, buy or sell weapons that breach fundamental humanitarian principles or key components for these weapons.
The policy applies to internal and external asset managers.[4]
KLP’s exclusion list of December 2017 contains 18 companies with activities related to nuclear weapons: Aerojet Rocketdyne; Airbus including Airbus Group Finance; BAE Systems; Boeing; BWX Technologies; Fluor; General Dynamics; Honeywell International; Huntington Ingalls Industries; Jacobs Engineering; Leonardo; Lockheed Martin; Northrop Grumman; Orbital ATK; Raytheon; Safran and Serco.[5] The exclusion list is based on the findings of data provider Global Engagement Services (GES) and on the recommendations of the Council of Ethics of the Norwegian Government Pension Fund.[6]
KLP was found to have shareholdings in nuclear weapon producer Thales.[7]
Below the threshold investments in nuclear weapon producers listed in this report hold KLP back from entering the Hall of Fame. We recommend KLP divest from the remaining nuclear weapons associated companies in its portfolio, so that it may be listed in the Hall of Fame in a future update of this report.
[1] KLP, “This is KLP”, website KLP (http://english.klp.no/about-klp/facts), viewed 23 January 2018.
[2] KLP, “Guidelines for responsible investment”, page 2, 4 November 2014, available from: http://english.klp.no/polopoly_fs/1.33317.1459346158!/menu/standard/file/KLP%20guidelines%20for%20responsible%20investment%20-.pdf, viewed 23 January 2018.
[3] KLP, “Exclusion and dialogue”, website KLP (http://english.klp.no/about-klp/corporate-responsibility/exclusion-and-dialogue#tab7-8022), viewed 23 January 2018; KLP, written response to Profundo dated 30 May 2014.
[4] KLP, written response to Profundo dated 30 May 2014.
[5] KLP, “KLP list “, pages 16-22, available from: http://english.klp.no/polopoly_fs/1.39089.1512376114!/menu/standard/file/KLP-LISTEN_01%2012%202017_ENGLISH.pdf, viewed 23 January 2018.
[6] KLP, “Exclusion and dialogue with companies”, website KLP (http://english.klp.no/about-klp/corporate-responsibility/exclusion-and-dialogue), viewed 23 January 2018; KLP, written response to Profundo dated 30 May 2014.
[7] KLP, “Annual Report 2016”, page 220, available at http://english.klp.no/polopoly_fs/1.36028.1493387908!/menu/standard/file/Annual%20report%202016.pdf, viewed 14 February 2018.
Last updated March 2018