Swedish Investment Funds Under Scrutiny for Backing Controversial Israeli Arms Manufacturer Elbit
Movestic and Lysa face backlash for investing in blacklisted Israeli arms manufacturer Elbit, despite calls for an arms embargo.
Key Points
- • Movestic invested 14 million SEK in Elbit for its sustainable investment fund.
- • Lysa holds over 2 million SEK in Elbit shares.
- • Elbit's stock value has doubled since fall 2024 despite global outcry.
- • Movestic plans to sell its holdings in Elbit.
Swedish investment funds Movestic and Lysa have come under intense scrutiny for their financial ties to Elbit Systems, an Israeli arms company blacklisted by numerous global investment entities due to concerns over human rights violations tied to Israel's military actions. In 2025, Movestic invested 14 million SEK in Elbit through its Movestic Global fund, which is purportedly focused on sustainable investments. Meanwhile, Lysa holds shares worth over 2 million SEK in the company, raising ethical questions amidst increasing calls for an arms embargo against Israel from UN human rights experts.
Elbit's stock has experienced a significant surge, reportedly doubling in value since the fall of 2024, against a backdrop of escalating global condemnation of its activities. Movestic announced its plans to divest from Elbit, acknowledging the rising ethical concerns associated with its investments. The situation highlights a broader dilemma for investment funds striving to balance financial returns with social responsibility, particularly as public awareness grows about the human rights implications of funding arms manufacturers linked to conflict. As Movestic positions itself to exit its holdings, the industry watches closely to see how such actions might influence investment strategies in ethically fraught sectors.