SHARE
The 2025 Don’t Bank on the Bomb report shows 301 financial institutions with significant financial exposure to companies involved in producing nuclear weapons, that is a 15% increase compared to previous findings. These annual reports, published since 2014, had shown the number of investors steadily dropping since 2021.
|
Against the backdrop of rising global tensions and record levels of military spending, the stock market value of many major defence contractors has risen sharply. There has also been increased pressure from governments, particularly in Europe, which have been pushing investors to drop their ethical restrictions on investing in arms companies. In the face of the threat from Russia and fears that the United States can no longer be relied on to support Europe in a conflict with Moscow, governments have argued that investing in the rearmament of Europe should not be restricted by ethical considerations, some have even gone as far as to argue it is an ethical duty. Largest investors in nuclear weapons producers This report shows that the top three investors, measured by the value of shares and bonds, are Vanguard, Blackrock and Capital Group. The top three lenders are Bank of America, JPMorgan Chase and Citigroup. Companies involved in nuclear weapons production The report identifies 25 companies that are involved in producing nuclear weapons. General Dynamics, Honeywell International and Northrop Grumman earn the most, not including consortia and joint ventures, with outstanding contracts with a potential value of at least $28, $75 and $16 billion respectively. BAE Systems, Bechtel, Leonardo, Lockheed Martin and RTX also hold multi-billion-dollar contracts for nuclear weapon production and/or sustainment. The report’s main author, Alejandra Muñoz from PAX, said: “While experts are warning against a new nuclear arms race, financial institutions worldwide continue to invest in companies involved in the modernisation or expansion of countries’ nuclear arsenals. Being linked to nuclear weapons production carries salient human rights risks. Rather than investing in this harmful industry, financial institutions should exert their influence to drive responsible corporate behaviour”. ICAN’s Director of Programmes, Susi Snyder, who was a contributing author, added: “For the first time in years, the number of investors trying to profit from an arms race is on the rise, this is a short term and risky strategy that contributes to a dangerous escalation. It is impossible to profit from an arms race without feeding one. Investors have a choice and gambling on an arms race is risky for portfolios and for the world.” The world’s nine nuclear-armed states are modernising and/or expanding their nuclear arsenals which is driving demand for these weapons. In previous years, despite a general increase in the value of investments (bonds and shareholdings) in arms companies following the full-scale Russian invasion of Ukraine, the total number of financial institutions with significant financial exposure to the selected nuclear weapons producers had been falling. This year for the first time since 2021, this number has increased, the report shows. UN nuclear ban treaty inspiring divestment The nuclear ban treaty, the Treaty on the Prohibition of Nuclear Weapons (TPNW) that came into force just over five years ago has created a new international norm that has had a stigmatising effect on nuclear weapons, with many institutions that take Environmental, Social and Governance (ESG) considerations seriously choosing to turn their backs on nuclear - and other controversial - weapons. The total value of assets under management by institutions that avoid investing in companies involved in the production of nuclear weapons is over $4 trillion as of the end of 2025. Many of these institutions cite the TPNW as a reason for avoiding these companies. At previous meetings of the TPNW’s member states at the UN, international institutions, representing over £1 trillion of investments, have delivered statements reiterating their commitment to nuclear disarmament that called on governments to support divestment and provided practical advice on how they can do this. |
|
The full report can be found here. For more information and interviews contact: Alistair Burnett, ICAN Head of Media [email protected] +41 78 238 7179 |
Further reading:
Almost three quarters of Swedes support joining UN Nuclear Ban Treaty and two thirds oppose hosting nuclear weapons – new poll finds
ICAN endorses Nobel Laureates’ Rome Declaration on AI and Nuclear Weapons
NATO leaders need to understand more nuclear weapons make them less safe – ICAN
Tonga becomes 100th country to join UN Nuclear Ban Treaty
Global spending on nuclear weapons increased 19% in 2025 to reach its highest recorded level at $118.8 billion
You might also like:
No related articles found.