AP7’s blacklist is revised twice a year, in June and in December. As of December 8, 2021, seven new companies are blacklisted. A total of 93 companies are blacklisted and excluded from the fund’s investment universe. The purpose of blacklisting is to persuade companies that do not act responsibly to change their behavior. The blacklisting is thus an advocacy tool in collaboration with other advocacy tools such as company dialogues and voting at general meetings.
AP7 invests in the companies that accept in an acceptable way the requirements of the international conventions that Sweden has signed and which are expressed in the UN Global Compact’s ten principles, which describe companies’ responsibility for human rights, working conditions, the environment and anti-corruption. AP7 also blacklists companies that participate in the development and production of nuclear weapons. As of the review in December 2016, the Paris Agreement to the UN Climate Convention is one of the standards on which the analysis is based.
Since December 2020, companies with a large absolute climate impact in coal have been blacklisted with expansion plans for their fossil fuel operations. The focus is on coal companies as research has shown that decommissioning coal as an energy source is the single most important measure to curb climate change.
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