The Ireland Strategic Investment Fund has sold off its stakes in tobacco companies.

The ISIF held stakes in a number of tobacco firms including Altria and Philip Morris, a legacy from the global investment portfolio held by the the National Pension Reserve Fund before it was repurposed.

The latest annual report from the National Treasury Management Agency, which oversees the ISIF, puts a value of €1m on the stake in Altria and €1.2m on the Philip Morris shares as at the end of 2015.

The total value of equities held by the ISIF in its discretionary portfolio was €5.35 billion.

That portfolio is being being sold off gradually to support the ISIF's mandate of investing to support economic activity and create jobs in Ireland.

The Minister for Finance Michael Noonan said the divestment had been "a commercial decision" but one which was informed by Government policy on tobacco.

The ISIF also has a sustainability and responsible investment policy.