Case Study

Offer greater clarity to investors in their investment choices in favor of the development of a sustainable economy

Summary

Socially responsible investment (SRI) takes into account several themes such as social, ethical, environmental and governance criteria.
The accreditation issued by Cofrac – the French accreditation body – concerns certification bodies that are accredited to assess and certify, in the form of a label, good practices in socially responsible investment. This accredited certification provides greater clarity for institutional and individual investors wishing to participate in the development of a sustainable economy through their investment choices.

Background

The promotion of this type of investment aims to encourage companies to integrate environmental, social and governance (ESG) criteria into their policies, and individuals to invest their savings in more ethical, socially responsible and environmentally friendly investments, without obscuring the expected financial return.
Adopting a socially responsible approach to investment becomes possible by investing in SRI funds that meet these criteria. The money collected by these funds is then directly invested in companies in the real economy that meet SRI criteria.

Strategy

The French public authorities wish to encourage savers to invest their long-term savings in instruments of ecological transition. SRI label is also an element of attractiveness of Paris as a financial center.
The use of accreditation responds to a need for confidence in such investment funds. Mandatory since 2015, it accompanies the will of French public authorities to promote them.

Results and impact

Paris is at the forefront of socially responsible investment in Europe.
At 31 December 2020, 656 funds had received the SRI label, involving 98 management companies for a total outstanding amount of 350 billion euros.