A look at the divestment demands by McGill University protesters
Pro-Palestinian activists have set up protest camps at McGill and a small number of other Canadian universities, following a wave of action seen at U.S. campuses.
The protesters are calling for an end to the war in Gaza, which was sparked by Hamas' Oct. 7 attack in southern Israel that killed 1,200 people, mostly civilians.
The calls come as Israel's retaliatory assault on Hamas has killed more than 34,000 people, according to health authorities in Gaza.
As the death toll mounts, some protesters have called for universities to divest any financial holdings in companies linked to the war effort, while others have gone further to call for schools to cut ties with any companies linked to the country.
Here's a look at some of the key questions around the divestment demands.
What are protesters calling for McGill to do?
There are a range of demands, but some are calling for the university to boycott and divest from companies "funding Israeli genocide and apartheid." The protest camps have echoed calls made for months by some students, who have also carried out hunger strikes to push their demands.
McGill has said many of the activists in the camps are not members of the school community and that it had seen video of some people using "unequivocally antisemitic language and intimidating behaviour."
What kind of companies do they consider fall within this scope?
Groups called McGill Hunger Strike for Palestine and Students for Justice in Palestine have put out a list of companies they want the university to sell its holdings in. These include international weapons manufacturers Lockheed Martin, BAE Systems, Thales SA and Safran SA, which they say have either supplied Israeli forces or have profited from the war.
The list also includes companies that they say provide other supplies such as communications equipment and fuel to the Israeli military, and companies that have operations in occupied territory.
It also includes several big Canadian banks, targeted because of their apparent holdings in weapons manufacturers; Canadian grocers that sell Israeli products; and companies that have expanded into the country, or plan to, including Shake Shack, Open Text Corp. and Johnson & Johnson.
What has been McGill's response?
McGill said in a statement that it doesn't invest directly in individual stocks or companies and instead relies on fund managers to choose investments. The school says that to ensure these investments are consistent with its sustainability and social responsibility, it selects fund managers based on criteria including reputation, risk and adherence to environmental, social and governance principles.
The school also said two members of McGill's senior management team met with a group of students who support Palestine on April 12. It says the staff listened to the students, and informed the group they could raise concerns about divestment through the university's established processes. It says, so far, the committee that reviews these matters at McGill has received no expression of concern on this topic.
What kind of financial significance would there be to a divestment?
Selling off weapons manufacturers would largely be a symbolic move, as the university's holdings are relatively small. McGill's total endowment was about $2 billion as of the end of 2023.
Its disclosed investments include about $1.6 million in Safran, $1.3 million in Thales, $1.1 million in BAE Systems and $520,000 in Lockheed Martin Corp.
The campaigners say they want McGill to sell off about $73 million in stock when all companies on the list are included, though almost a third of that total is made up of holdings in Canadian banks.
Is there precedence for this kind of divestment?
Universities, including McGill, did in the 1980s sell off holdings in companies that were doing business in apartheid South Africa, as a way to pressure the country's government.
More recently in December, after years of student campaigning, McGill committed to divest from fossil fuels. The university says it will sell off any holdings it has in the world's 100 biggest coal and 100 biggest oil and gas public companies by 2025.
The move follows commitments by many other universities and investment funds to sell off their oil and gas holdings as a way to reduce funding for new projects, and demonstrate their opposition to the companies' products.
Do funds ever specifically exclude arms manufacturers?
While McGill maintains it doesn't specifically choose stocks or companies, there are many funds that screen out categories of investments like weapons makers, along with categories like tobacco, gambling and pornography. McGill's endowment doesn't have specific filters, though it does promote to McGill donors a fund that screens out fossil fuels.
The endowment does have $2.4 million invested in Desautels Capital Management, an investment firm owned by the university and run by students. All holdings in the fund must be negatively screened for a range of sectors, among which is armament manufacturing.
The calls also come as a range of environmental, social and governance policies take greater prominence in investment. The university formalized ESG considerations in its investment process in 2020, a move it said sends a clear message on the importance of such factors.
In December, the university also committed to "regularly" reviewing its socially responsible investing initiatives. The next review has been scheduled for 2029.
- This report by The Canadian Press was first published April 30, 2024.
CTVNews.ca Top Stories
U.K. prime minister calls national election for July 4
British Prime Minister Rishi Sunak called a national election on Wednesday, naming July 4 as the date for a vote his governing Conservatives are widely expected to lose to the opposition Labour Party after 14 years in power.
Woman found dead in Lake Ontario in 2017 matches identity of missing person in Switzerland
Genetic genealogy has helped Toronto police identify a woman who was found dead in Lake Ontario in 2017.
Fish oil supplements may raise risk of stroke, heart issues, study suggests
As an excellent source of heart-healthy omega-3 fatty acids, daily fish oil supplements are a popular way to keep the risk of cardiovascular disease at bay.
Private island on Nova Scotia's South Shore listed for $15.8M
A private island on Nova Scotia’s South Shore has been listed for sale with a $11.5-million USD price tag.
Blood vial delivery prompts evacuation of Republican headquarters in Washington
The Republican National Committee's headquarters in Washington was briefly evacuated on Wednesday morning after a suspicious package containing two vials of blood was delivered to the building, the police and the RNC said.
'Happy tears' of victim's sister after prison attack on serial killer Robert Pickton
Cynthia Cardinal said she was 'overwhelmed' with happiness when she received a text message on Monday with the news that serial killer Robert Pickton, who murdered her sister, was attacked in prison. She called it 'karma.'
Montreal photographer captures dramatic Canada goose vs. fox fight on video
A Montreal photographer captured the moment a Canada goose defended itself from a fox at the Botanical Garden.
'On the edge of failing': Most of Canada gets a 'D' on poverty report cards
Poverty and food insecurity have worsened in most of Canada in the past year and most provincial governments aren't doing enough to address the problem, according to a just-released series of report cards.
World's most expensive feather sells at New Zealand auction
A feather from a long-extinct New Zealand bird has set a record after selling for $46,521 NZD (about US$28,400), the auction house handling the sale has said.