Insights

Tobacco – A Threat to Development

Worldwide, nearly 7 million people – more than the entire populations of Chicago, Houston, and Philadelphia combined – die from direct and indirect tobacco use every year.  Still, there are more than 1 billion smokers, 80% of whom live in low- and middle-income countries where the burden of tobacco-related illness and death is heaviest.  In addition to being a moral tragedy, the results of tobacco consumption are a threat to the health and productive capacity of people the world over.

To raise awareness of this continuing crisis, every year on May 31, The World Health Organization (WHO) marks World No Tobacco Day. WHO is calling on governments to prioritize and accelerate tobacco control efforts. Governments can reduce the harms caused by tobacco by adopting and implementing the tobacco control provisions of the WHO Framework Convention on Tobacco Control which include guidelines intended to reduce the demand for tobacco as well as tobacco production, distribution, availability and supply.  

Domini has joined investors managing $3.8 trillion in a statement to representatives from WHO and national health ministers applauding efforts already made on tobacco control and encouraging governments to continue with this critically important work (Download the investor statement in PDF format). The statement notes that “smoking costs the global economy more than $1 trillion a year, according to a 2017 joint study by the WHO and the U.S. National Cancer Institute, far outweighing global revenues from tobacco taxes.”

The statement continues:

“We in the investment community are becoming increasingly aware of the important role we can play in helping to address the health and societal impacts of tobacco. We strive within our own scope of action to support the ambition of the WHO, in line with our commitment to the positive role finance can play in sustainable development more broadly.”

Domini has always viewed the tobacco industry as fundamentally misaligned with our goals of universal human dignity and ecological sustainability. We have therefore never invested in companies that are significant manufacturers of tobacco products.

We are pleased to have the opportunity to join with other investors to clearly communicate that these efforts to protect public health are in everyone’s best interests.

On an individual level, many smokers find it difficult to quit despite the many long and short-term benefits. If you or someone you know is struggling with smoking cessation the resources at the American Lung Association and the CDC can help.


The Domini Funds are not insured and are subject to market risks, such as sector concentration and style risk. Investing internationally involves special risks, such as currency fluctuations, social and economic instability, differing securities regulations and accounting standards, limited public information, possible changes in taxation, and periods of illiquidity. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. You may lose money.

The composition of the Funds’ portfolios is subject to change. View the most current list of the Domini Impact Equity FundDomini Impact International Equity Fund and Domini Impact Bond Fund's holdings.

The Domini Funds maintain portfolio holdings disclosure policies that govern the timing and circumstances of disclosure to shareholders and third parties of information regarding the portfolio investments held by the Funds.

This information is provided for educational purposes only, and should not be considered investment advice. The social and environmental standards applied to the Domini Funds are subject to change without notice.

Before investing, consider the Funds’ investment objectives, risks, charges, and expenses. Visit www. domini.com or call 1-800-762-6814 for a prospectus containing this information. Read it carefully.

DSIL Investment Services LLC, Distributor. 05/17


Check the background of DSIL Investment Services LLC and its investment professionals on FINRA's BrokerCheck. Before investing, consider the Domini Funds’ investment objectives, risks, charges, and expenses. View or order a prospectus. Read it carefully.

DSIL Investment Services LLC (DSILD) distributor, Member FINRA.

Domini Impact Investments LLC (Domini) is the Funds’ investment manager. The Funds are subadvised by unaffiliated entities.

Eye iconEye slash icon