BPCE - 2020 Universal Registration Document

NON-FINANCIAL PERFORMANCE STATEMENT

SUPPORTING THE ENERGY, ECOLOGICAL AND SOCIAL TRANSITION IN LOCAL REGIONS

INTEGRATING ENVIRONMENTAL, SOCIAL AND GOVERNANCE (ESG) CRITERIA INTO ASSET MANAGEMENT ACTIVITIES SUSTAINABLE, RESPONSIBLE, CERTIFIED Affiliates of Natixis Investment Managers (NIM) NIM supports affiliates in the deployment of their ESG approach and, since 2020, has prioritized allocating seed capital to strategies incorporating ESG issues. Currently, about one-third of all seed capital is invested in ESG strategies. In 2020, NIM also launched a working group focused on ESG integration, co-led by Ostrum AM, allowing affiliates to share best practices. NIM’s affiliates offer a range of solutions based on the conviction that ESG criteria can play a significant role in identifying potential risks, seizing opportunities and generating returns for investors. Three levels of application of ESG criteria are proposed according to the different strategies implemented by the managers: Responsible investment (1) : inclusion of ESG criteria in • research, without these criteria having a systematic impact on decision-making and investment strategies, and implementation of an active shareholding policy; Sustainable investment (2) : the investment strategy revolves • around ESG issues, aiming to align values, financial outperformance, and societal impact through investment (for example: exclusions, best-in-class or best-in-universe strategies, or ESG-themed investment); Impact investing: strategy to address societal challenges, such • as those defined by the United Nations Sustainable Development Goals. In this section, only responsibleand sustainable investmentsare mentioned. Impact funds are detailed in section 6.4.1 ofNatixis’ URD.

A FUNCTION AND TRAINING Creation of a Climate Risk division in all Group entities A Climate Risk division was organized in spring 2020, with one coordinator in each of the entities. The role of the coordinator is described in the Climate Risk section of Chapter 6 – Risk Management. Coordinators are informed through a monthly newsletter, quarterly events, and a national day, the aim being to harmonize practices while retaining flexibility inapplying Group rules locally. Climate Risks met for the first time in September 2020. Employee awareness This involves supporting employees in order to facilitate the integration of new concepts. The Climate Risk Pursuit is a variation of the Risk Pursuit, a quiz to raise awareness of banking risks, for employeesof the Banques Populaires, Caisses d’Epargne, and subsidiaries. This interactive training tool was developed by the Risk division in conjunction with the RB&I CSR division. This tool aims to raise awareness among all Group employees about climate risks and their impacts, and Environmental, Social and Governance issues. This fun, interactive training module is available on the Group’s training platform. Training is mandatory for “material risk takers (MRT).” At December 2020, more than 18,000 employees had registered for this module, and nearly 9,000 had validated their learner status. Further training on climate risks is being developed. As an online course, it will also be aimed at all employees and, more specifically, at the Risks and Commitments division.

ESG CRITERIA: SUMMARY OF STRATEGIES IMPLEMENTED: RESPONSIBLE/SUSTAINABLE.

Percentage of outstandings in 2020

Percentage of outstandings in 2019

Total outstandings in the portfolio (in billions of euros in 2020)

Total outstandings in the portfolio (in billions of euros in 2019)

Responsible/ Sustainable

Responsible/ Sustainable

Responsible/ Sustainable

Company

Ostrum AM

Responsible/Sustainable Responsible/Sustainable Responsible/Sustainable

447.9 (1)

274.1

92%/21%

93%/24.3%

Mirova DNCA

19.5 26.3

12.5 22.3

100%/100% 100%/29%

100%

71.7%/3.5%

Naxicap Partners

Responsible

3.8 8.8

3.6 9.7 0.6 4.2

98%

98% 9.7% 100% 18.3%

Seeyond Thematics

Responsible/Sustainable Responsible/Sustainable

50%/10.4% 100%/64%

3

Ossiam

Sustainable Sustainable Responsible Responsible Responsible Responsible Responsible Responsible Responsible

3.9

22%

AEW Ciloger Loomis Sayles

33.9

31.6 N/A N/A N/A N/A N/A N/A N/A N/A

51%/17%

16% of assets

284.2

100%

N/A N/A N/A N/A N/A N/A N/A N/A

Vega Investment Managers

Responsible/Sustainable

9.6 0.9 1.3

28%/1%

Seventure Partners

90% 83%

Dorval Asset Management

WCM

66.9 84.7

98.6%/0.01%

Harris Associates

100%

Alliance Entreprendre

0.5 6.9

82% 29%

Flexstone

After merger with LBPAM. (1)

(1) See section on "ESG analysis" in the 2019 non-financial performance statement. (2) See section on "ESG integration" in the 2019 non-financial performance statement.

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UNIVERSAL REGISTRATION DOCUMENT 2020 | GROUPE BPCE

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