Bank That ‘Was Largest Foreign Investor’ in Israeli Arms Firm Dumps Stock

Activists from overseas branches of Palestine Action have declared victory after Canada’s Scotiabank dissolved all of its shares in Elbit Systems, Israel’s largest weapons company.

​The bank’s 1832 Asset Management subsidiary was once Elbit’s largest foreign investor, according to Reuters, but dumped a final tranche of around 165,000 shares earlier this month after sustained direct action and protests.

“This victory is a testament to the power of ordinary people across the world,” a Palestine Action Global spokesperson said. “Through direct action and grassroots mobilisations, the people have forced Elbit’s largest foreign investor to fully divest from the Israeli weapons firm.”

The campaign against Scotiabank involved protests and acts of vandalism at various branches, including its offices in London.

In November 2023, protesters disrupted the Giller Prize Gala, a prestigious Canadian literary award, because it was sponsored by Scotiabank. The contract between the Giller Prize and Scotiabank ended in February 2025, Reuters reported.

​​​A Scotiabank spokesperson denied that the direct action campaign had any influence on the decision to divest. “Individual securities are held based on their investment merit and are not influenced by protest activity,” they said.

After Palestine Action was banned in the UK in July last year, branches in 24 other countries, including Canada, continued to target weapons firms linked to Israel’s genocide, as well as companies doing business with them.

“This movement has now spread across the world, with the ability to target Elbit Systems wherever they are,” Palestine Action Global said.

The decision to proscribe Palestine Action in the UK was ruled unlawful by the high court earlier this month, but the ban remains in place to allow for further legal arguments.

The Scotiabank spokesperson said: “By regulatory requirements, all investment decisions made by our asset managers are required to be independent from the bank unless we have in place specific investment policies that restrict those decisions. Holdings in individual securities will fluctuate over time as portfolio managers seek out opportunities to deliver strong risk-adjusted returns.”

One of the bank’s executives has previously denied it was the largest foreign investor in Elbit, saying the shares were held by mutual funds managed by 1832, which in turn were held by unitholders of the funds.