Divestment and Negative Screening

Wondering how the UUA defines divestment and negative screening? Those definitions were provided at this year’s General Assembly.

Divestment is the act of publicly and intentionally selling shares of a company as a part of a vocal movement due to a desire to reprimand them for the behavior. To be effective, it requires a coalition of divesting investors and widespread media coverage. The goal is to publicize a crisis with the hope of delegitimizing the perpetrators of the crisis.

Negative Screening is the removal of companies that are rated as poor performers on Environment, Social or Governance behaviors. It does not include a public reprimand or require a coalition or movement to be effectively implemented.