Imfino News

London, 8th October 2018 – Responsible investment pioneer and leading European asset manager Amundi, with over €1.4 trillion in AUM, has adopted an ambitious three year action plan to increase its commitment to responsible investment:

• ESG (environment, social, governance) analysis will be integrated across all Amundi funds within 3 years
• Shareholder engagement and voting at company AGMs will systematically include ESG analysis
• Amundi will develop ESG advisory services for its institutional clients 
• Amundi will double the number of initiatives promoting investment in projects with an environmental or social impact
• Investments in the social and solidarity[1] economy will be doubled
  

Founding principle

Responsible investment has always been one of Amundi’s founding principles. When putting their savings to work, investors must consider the impact on society in general. Amundi’s policy has been to integrate ESG criteria into its asset management and undertake specific initiatives to promote ESG investment, particularly in environmental investment.

In this regard Amundi currently has €280 billion (19% of its total assets) invested in three areas:

• Applying ESG criteria in addition to traditional financial analysis. A dedicated Amundi team gives (currently 5500) issuers an ESG rating from A to G. This rating may mean certain stocks are overweighted or underweighted in portfolios, or excluded completely. It gives company managements the incentive to improve their environmental and social impact. Assets under management incorporating this policy represent €270 billion.
• €10 billion of dedicated funds with targeted investments, particularly to tackle climate change or finance energy transition. Examples include €4 billion invested in low-carbon index funds in partnership with MSCI, €2 billion invested in green bonds, largely from emerging countries in partnership with the World Bank, and €500 million invested in energy transition through a JV with EDF.
• Support for social and solidarity1 economy companies through a dedicated €200 million fund.

This responsible investment approach leverages work from the Medici Committee, a think tank which contributes to the Group’s reflection on the responsibility of economic stakeholders and investors amid today’s global challenges.

Three year action plan

Based on this experience and aware of its responsibility as the leading European asset manager, Amundi is launching an ambitious action plan to extend its commitment to responsible investment.

• By the end of 2021, Amundi’s ESG policy will apply to 100% of its fund management and voting practices.
• Extra-financial analysis using ESG criteria will be extended to all fund management, both active and passive, wherever technically possible.All actively managed funds will be required to offer ESG performance above the ESG rating of their benchmark indices or universes. Asset classes currently poorly served by responsible investment, particularly emerging markets, high-yield or small and mid-cap stocks, will fully incorporate the Amundi ESG analysis. Open funds incorporating ESG that are available to retail investors will, as a result, increase to around €250 billion over the next 3 years.
• ESG assets under passive management, will double to at least €70 billion. A new range of SRI ETFs has been launched.
• ESG performance will be systematically taken into account by Amundi in its shareholder dialogue with issuers and its voting policies.
• Amundi will strengthen its ESG advisory activities for its institutional clients to support them in their development initiatives.
• By the end of 2021, Amundi will strengthen initiatives related to the environment and with a strong social impact. The aim is to double the amounts invested in these initiatives, by increasing thematic funds to €20 billion.
• Amundi’s commitment to solidarity-based enterprises will also be strengthened. Investment in the social and solidarity economy, which today amounts to €200 million, will reach €500 million.