25 August 1999
Sell GM shares, warns major bank
DEUTSCHE BANK, one of the biggest in Germany, has advised investors to sell shares in companies involved in genetically modified (GM) crops.
The banks advisors believe that “growing negative sentiment” towards the leading biotech companies, including Novartis and Monsanto, could reduce share prices.
The banks analysts predict that the companies will suffer when concerns about the technology are felt in the US market.
They predict that a two-tier market could develop, with products like GM maize and soyabeans selling at a discount to non-GM products.
Deutsche Banks advice has been circulated in two reports produced over the last few months.
Shares in the companies mentioned have already fallen against a rising trend in stock markets generally.
- The Guardian 24/08/99 page 1