La Française AM is proud to announce that its inaugural “climate transition” equities fund, La Française LUX-Inflection Point Carbon Impact Global has received the Forum Nachhaltige Geldanlagen (FNG) three-star Label for sustainable investment funds, valid for the year 2023.
This distinction recognizes the quality of the research carried out by La Française’s extra-financial financial research team as well as the fund’s strategy, which is grounded on a comprehensive thematic approach that focuses on climate change. The fund is classified Article 9 under the Sustainable Finance Disclosure Regulation (SFDR).
The FNG-Label is the quality standard for sustainable investments on German-speaking financial markets: Germany, Austria, Liechtenstein and Switzerland. It was launched in 2015 after a three-year development process involving key stakeholders. The sustainability certification must be renewed annually. Successfully certified funds pursue a stringent and transparent sustainability approach, the application of which has been checked by the University of Hamburg by means of an independent review and assessment.
The quality standard comprises the following minimum requirements:
- Transparent and easy-to-understand presentation of the fund’s sustainability strategy in the context of the European SRI Transparency Code and the FNG Sustainability Profile,
- Exclusion of armaments and weapons,
- Exclusion of nuclear power (including uranium mining),
- Exclusion of coal (mining and low power generation),
- Exclusion of fracking and oil sands,
- Exclusion of tobacco (production),
- Exclusion in cases of systematically and / or severe violation of the principles of the UN Global Compact,
- The fund’s entire portfolio is checked against sustainability criteria (social and environmental responsibility, good corporate governance, United Nations Sustainable Development Goals or others).
La Française LUX-Inflection Point Carbon Impact Global was awarded three out of three possible stars for its particularly ambitious and comprehensive sustainability strategy, which gained it additional points in the areas of institutional credibility, product standards, and portfolio focus (stock selection, engagement and Key performance Indicators).
Thomas DHAINAUT, Head of Equites – Small and Large Caps at La Française AM, concluded: "This year marks a milestone for La Française AM. Our inaugural “climate transition” strategy (La Française LUX-Inflection Point Carbon Impact Global), first launched in 2015, has acquired for the third consecutive year the FNG Label and for the first year, the 3-star stamp! The fund boasts three valid labels (FNG Label – 3 stars, Greenfin and French SRI Label). La Française LUX-Inflection Point Carbon Impact Global measures up to the stringent assessment criteria developed by the FNG Label. The 3-stars signify that the fund pursues an even more ambitious sustainable investment strategy."