UK’s biggest investor to drop insurer AIG and others over climate

The British asset manager said the companies had made insufficient progress on addressing climate change risks.

Legal & General Investment Management, Britain’s biggest asset manager, says it will drop four companies from a number of its funds over their “insufficient” response to the challenge of climate change, including US insurer AIG. The others to be divested, according to Tuesday’s announcement, are Chinese lender Industrial and Commercial Bank of China, US utility holding company PPL Corporation and Chinese dairy products holding company China Mengniu Dairy. All had either not responded adequately to corporate engagement or had breached LGIM’s “red lines” around involvement in the coal sector, their carbon disclosures or their links to deforestation, the money manager said in a statement.