La Française AM, with assets under management in excess of € 28 billion (as at 31/10/2021), is proud to announce that its “low carbon” global equities fund, La Française LUX-Inflection Point Carbon Impact Global, has received the Forum Nachhaltige Geldanlagen (FNG) two-star Label for sustainable mutual funds, valid for the year 2022.
This distinction recognizes the quality of the forward-looking methodology for quantifying carbon emissions, developed by the group’s extra-financial research center, La Française Sustainable Investment Research (SIR), which is integrated into the fund’s investment strategy.
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, an independent auditor.
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 Eurosif Transparency Code and the FNG Sustainability Profile,
- Exclusion of armaments and weapons,
- Exclusion of nuclear power (including uranium mining),
- Exclusion of coal (mining and significant 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 two 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 selection and dialogue strategies.
Nina LAGRON, CFA, Head of Large Cap Equites at La Française AM, concluded: "For the second consecutive year, La Française LUX-Inflection Point Carbon Impact Global has been awarded the FNG label. This fund, which benefits from three valid labels: SRI (French), Greenfin (French) & FNG, is a perfect example of the degree of selectivity that we strive to respect in order to contribute to the transition towards a low-carbon economy."
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