Super Fund excludes recreational cannabis firms

  • 19/12/2017
However licensed and authorised medicinal cannabis is ok.
However licensed and authorised medicinal cannabis is ok. Photo credit: Getty

Companies involved in the recreational cannabis industry have been excluded from the $37 billion New Zealand Super Fund.

The exclusion does not include companies involved with licensed and authorised medicinal cannabis.

The fund says the move follows a growing global trend to decriminalise and legalise the recreational use of cannabis, which has led to sharemarket listings of companies involved in the industry overseas.

It says the decision is a precautionary one, as it does not currently hold any of the companies identified for exclusion.

Under the Guardians' Responsible Investment Framework, decisions about the fund's ethical exclusions take account of New Zealand law and international conventions to which New Zealand is a signatory.

Recreational use of cannabis is currently illegal in New Zealand and contrary to New Zealand's commitments to international drug conventions.

The fund says companies will therefore be excluded if they are involved in the manufacturing and cultivation of cannabis for recreational use.

They will also be excluded if their main business is to supply recreational cannabis to the public or to other companies, or provide support services for the recreational use of cannabis.

The fund also excludes companies involved in the manufacture of cluster munitions, nuclear explosive devices, anti-personnel mines and tobacco, and the processing of whale meat.