Financial Interests in Substantially Affected Organizations for NIH Employees

To assist NIH employees in identifying whether their own financial interests may be prohibited or limited, the NIH developed a list of Substantially Affected Organizations based on the North American Industrial Classification System (NAICS) codes and a sample list of health sector funds that focus their investments in substantially affected organizations. 

These lists are NOT ALL-INCLUSIVE and serve only as a guide representing the types of organizations and investment funds that are subject to financial interest limitations.  A company or fund not listed here is not automatically excluded from being a substantially affected organization or health sector fund.  In addition, the list of substantially affected organizations does not contain companies that fall outside of the NAICS jurisdiction, such as those based outside North America. 

You may also consult your Deputy Ethics Counselor for assistance in identifying health sector funds or companies in the biotechnology, biostatistics, pharmaceutical, medical device, and related industries and any other organizations that are substantially affected.

Regardless of whether a company is or is not on the SAO list, that company may be a prohibited holding for an employee based on the nature of that employee's official duties. Employees are reminded that criminal statute (18 USC 208(a)) prohibits a Federal employee from participating personally and substantially in an official capacity in any particular matter if that matter will affect the employee's personal or imputed financial interests (interests of your spouse, minor child, or other relationships identified in the law).  For example, an employee personally and substantially involved in purchasing computers may be limited in his/her ability to hold a financial interest in computer companies.  In this situation, it is important for the employee to recuse him/herself from matters affecting the financial interest in question, and to seek guidance from their ethics staff.

It is the responsibility of the employee, not the agency, to ensure that he/she remains in compliance with financial interest statutes and regulations.

SAO Links:

Please contact your IC's Deputy Ethics Counselor or Ethics Coordinator for assistance.

Updated: 2/15/13