International conventions that ban the production and sale of controversial weapons as well as the United Nation’s Arms Trade Treaty are increasingly adopted by national regulators. But even outside of these regulatory regimes, exposure to these types of holdings can result in substantial reputational damage.
Sustainalytics’ Defense Research enables investors to screen companies involved in controversial weapons and arms trade.
The research includes our Controversial Weapons Radar as well as our Arms Trade Research. Controversial Weapons Radar provides research on companies’ involvement in the direct or indirect manufacture, sale or support of controversial weapons, such as cluster munitions and nuclear weapons, while Arms Trade Research provides information on public companies selling arms to sanctioned countries or countries where there is a high risk of violence against civilians.
Comply with relevant regulations and client mandates and align your portfolio to international treaties
Manage reputational risk by expanding your Defense and Human Rights policies to cover controversial arms as well as the sale of arms to regimes where there is a high risk of violence against civilians
Gain clear oversight of the nature of involvement in controversial weapons and arms trade and dive deeper into the issues with links to supporting sources and references
Speak directly to our Defense analysts who are able to provide more context and nuance as you dive into the issues
Countries are increasingly signing up to international treaties and regulations that prohibit controversial weapons or restrict arms trade to controversial regimes.
Biological and Toxin Weapons Convention
Chemical Weapons Convention
Anti-personnel Mine Ban Convention
Convention on Cluster Munitions
United Nations’ Arms Trade Treaty
Treaty on the Prohibition of Nuclear Weapons
Controversial Weapons Radar Report Insights
The report provides background information on the involvement of the companies included in the Controversial Weapons Radar such as sources used, estimates of revenues derived from activities in the defense sector, and relevant corporate relationships.
Arms Trade Report Insights
Identify companies that export arms to countries where they are used against civilians or where there is a high risk thereof. Learn about relevant arms embargos, which countries imposed them and read a description of the transaction with links to media sources.
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Screen for companies involved in specific product areas, such as tobacco and military contracting.
Identify and understand companies’ involvement in countries and territories where there is a high risk of human rights violations.