BPCE - 2018 Registration document

NON-FINANCIAL PERFORMANCE REPORT A range of services to meet the challenges facing our customers

solidarity-based products and Ecofi Investissements solidarity-based Through these products, Crédit Coopératif is meeting growing demand investment funds. Two passbook savings accounts (REV3 and among loyal customers for transparent information on how their Coopération pour ma région ) also allow investors to put their deposits money is used, by providing them with traceability on the use of their to work funding the social and solidarity-based economy in the region passbook savings account deposits. of their choice (or exclusively in the Hauts de France region for REV3).

2

2018

2017

2016

Change 2017-2018

Responsible passbook savings accounts (outstandings in millions of euros) LDD sustainable development passbook savings account CODEVair passbook savings account Regional passbook savings account Crédit Coopératif solidarity-based passbook savings accounts

NumberOutstandings

Number Outstandings

Number Outstandings

Number Outstandings

304,616

1,269 312,664

1,268 281,648*

1,047*

(2.5%)

0%

8,871

687

6,918

411

4,807

224

28% 67% 17% 37%

12,422

422 10,599

309 14,279

1,861

71,156

769 67,538

662

N/A

N/A

5% 16%

*

Rectified data.

Ostrum AM systematically incorporates ESG in its analysis. It - believes ESG factors have a major impact on a company’s risk profile and the sustainability of its growth. For this reason, its investment teams optimize the integration of ESG criteria in each investment process, Ostrum AM offers SRI and “ESG-intensive” strategies. Its - investment strategies are tailored to each client’s ESG philosophy. From improving ESG quality to reducing a portfolio’s carbon footprint, Ostrum AM is ready and able to accommodate each client’s responsible investment approach; Act: ● Ostrum AM works regularly with the companies in which it - invests through its voting policy and engagement, Ostrum AM uses its influence wisely with constructive dialog. Its - goal is to encourage companies to better incorporate environmental, social and governance issues in their strategic planning; Build: ● Ostrum AM actively participates in initiatives to build and - promote responsible investment. It is involved in around ten industry groups where it works with its peers to co-build responsible investing standards. 2018 marked the tenth anniversary of Ostrum AM’s signing of the United Nations Principles for Responsible Investment (PRI). The quality and ambition of its responsible investment approach were once again recognized and commended with excellent ratings across the board.

ESG/SRI EXPERTISE SERVING THE SUSTAINABLE DEVELOPMENT CAUSE Groupe BPCE is a longstanding leader in SRI, a field where it boasts extensive expertise. It is able to offer a highly diversified SRI range to all customer segments and has set an ambitious goal of increasing responsible deposits and savings by 50% by 2020 in accordance with its strategic plan. SRI and solidarity-based investments Ostrum Asset Management – a responsible asset manager Ostrum Asset Management (Ostrum AM) has been committed to sustainability and Socially Responsible Investment (SRI) for over 30 years (1) , and in recent years it has gone a step further by making responsible investments the main component of its CSR strategy. Ostrum AM undertakes to factor all ESG criteria into its investment decisions in accordance with the recommendations of leading international standards such as the United Nations Principles for Responsible Investment (PRI), of which it has been a signatory since 2008. Its fund managers apply this approach to all asset classes and to use their influence to promote the emergence of a responsible economic and financial system. This responsible asset management approach derives from a far-reaching analysis performed over several years. It is based on four main commitments and specific climate initiatives implemented daily by the investment teams. Ostrum AM firmly believes that relevant and ambitious responsible investment strategies generate performance over the long term and deliver added value to its clients through a four-step process: Understand: ● the investment teams select the best sources of ESG data and - contact each company’s Management team directly to produce integrated financial and ESG research. Manage: ● exclusion policies apply to all investment universes. They target - the controversial weapons sector, coal producers, issuers with controversial ESG practices and more recently tobacco producers and manufacturers,

Voting policy As a third-party asset manager, Ostrum AM believes that it has a responsibility and duty of care to its unitholders to monitor changes in the value of their investments and to exercise the voting rights attached to portfolio securities. Ostrum AM exercises its voting rights solely in its unitholders’ interests. It made a conscious decision to apply high standards in terms of corporate governance. Its voting policy promotes i) transparency, accuracy and relevance in financial and ESG disclosures, ii) competent, independent governance bodies subject to checks and balances, iii) defense of minority shareholders’ rights, iv) linking executive pay linked to the company’s operating performance and v) observation of ethical and CSR principles. In 2018, Ostrum AM voted at 1,702 Annual General Shareholders’ Meetings and on a total of 23,338 resolutions. It voted against 18% of the resolutions submitted by Management and abstained in 1% of Natixis Impact Nord Sud Développement – Ostrum Asset Management’s first solidarity-based investment fund – was created in 1985. A full range of SRI and solidarity-based investment (1) funds has since been developed.

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Registration document 2018