The Queen’s University Board of Trustees last week rejected efforts to require divestment of the university’s endowment and investment funds from companies conducting business with or in the State of Israel and declined to implement a negative screening process for future investments. The decision, which adopted a review committee’s assessment, stands as one of the more detailed analysis of the issue at a Canadian university. Some universities have declined to even consider the possibility and others have held open hearings on the issue. But Queen’s agreed to full committee review, sparking consultations and numerous submissions.
The review committee’s report identifies several reasons to reject the divestment proposals including fiduciary obligations that require that the University’s investments be managed prudently with a view to maximizing financial returns, the lack of consensus on the political issues, and the acknowledged ineffectiveness of divestment policies. The report also notably relies on the importance of institutional neutrality in reaching its decision.
