Investor Action on Anti-Microbial Resistance

With the UN General Assembly meeting this month to discuss the threats of Anti-Microbial Resistance (AMR), we’re highlighting the work of Investor Action on AMR (IIAMR).  This initiative is a great example of how ethical fund managers, and other investors, are working together.  By combining their influence and leverage they can bring about greater change for the good.

Anti-microbials are medicines used to prevent and treat infectious diseases in people, animals and plants.  It’s now clearly understood that human activities, such as the overuse of anti-biotics, can decrease the effectiveness of such medicines.  There’s growing understanding of the huge health, development and economic impacts.

AMR makes it more difficult to treat infections, and makes other procedures more risky, such as chemotherapy and caesarean sections.  The World Health Organisation cites research estimating that bacterial AMR was directly responsible for 1.3 million global deaths in 2019, and contributed to 4.95 million deaths.  The World Bank estimates that AMR could add $1 trillion to global healthcare costs by 2050.

Investor Action on AMR (IIAMR) is a group of investors seeking to combat these threats, by adopting an ‘AMR lens’ in their activities.  This could include, for example, considering AMR as part of selecting companies for investment; ongoing company engagement to encourage change; and understanding the impacts, risks and investment opportunities that AMR creates.  Analysis by IIAMR and others suggests that almost 10% of global equity markets are exposed to AMR-related risks, with developed market companies more exposed than those in emerging markets, on a valuation basis.

Members of IIAMR represent some $14 trillion in assets, that they manage on their clients’ behalf.  This includes fund managers such as EdenTree, Columbia Threadneedle, and Aviva Investors.  These three are fund managers that we engage with here at Investing Ethically, and who can feature in our clients’ portfolios.

It’s still early days for the IIAMR, but it’s a good example of how money invested in ethical funds can help to support positive changes in the world.

Percentages of assets exposed to AMR related risks in different regions (from ‘Health & Wealth’ report August 2024 – MSCI, FAIRR and IAAMR).