BPCE - 2020 Universal Registration Document

NON-FINANCIAL PERFORMANCE STATEMENT

SUPPORTING THE ENERGY, ECOLOGICAL AND SOCIAL TRANSITION IN LOCAL REGIONS

VEGA INVESTMENT MANAGERS Specializing in tailor-made management solutions for private investors, it has developed expertise in selecting funds using ESG criteria since 2018. The ESG Club manages this selection based on in-depth analysis of the responses to a questionnaire sent to asset management companies that declare they have integrated an ESG process. This SRI/ESG universe of open-architecture fund selection informs VEGA Durable, launched in October 2018 (wealthmanagement funds of funds), and the SRI guidance mandates in personalized AM. THEMATICS AM This asset management company, dedicated to innovative thematic equity strategies, incorporates an ESG approach at all stages of its investment process across all its historical strategies, i.e. 64% of assets under management (€1.9 billion):

definition of the universe: in addition to exclusions related to • sectoral policies, exclusions specific to each thematic fund are also applied; selection: ESG risks are one of the four risk categories • analyzed; share: positions are calibrated using thresholds that take ESG • scores into account. Following the merger of Ostrum with La Banque Postale Asset Management (LBPAM), Thematics manages two new, formerly Ostrum strategies, resulting in an increase in assets managed by Thematics to €2.98 billion at the end of 2020. An ESG specialist will join Thematics in early 2021 to strengthen the ESG approach on these strategies and the positioning on climate and collaborative engagement.

KEY EVENT 2020 Thematics AM obtains SRI certification for all its thematicstrategies

Thematics AM has taken a new step forward in its commitment as a responsible company. In 2020, the portfolio management company was certified SRI for its entire existing range of global thematic strategies, namely these five funds: Thematics AI & Robotics, Thematics Safety, Thematics Subscription Economy, Thematics Water, and Thematics Meta, representing €1.9 billion in assets under management. SRI certification, awarded following a strict certification process conducted by independent organizations, is a unique benchmark for savers wishing to participate in a more sustainable economy and give meaning to their investments.

OSSIAM This asset management company, specialized in the quantitative management of index funds and ETFs (ExchangeTraded Funds), incorporates ESG criteria for €868 million grouped into five funds and one mandate ( i.e. 22% of assets under management), of which €611 million in assets under management are SRI-certified, i.e. 15.7% of assets under management. ESG (sustainable investment management) criteria are integrated into the strategies by implementing a combination of approaches: exclusions (controversies, tobacco, coal, etc.); • best-in-class approach, which consists of excluding 30% of • the securitieswith the lowest ESG scores for a given business sector; and an approach aimed at reducing the carbon footprint. • Any new strategy developed by Ossiam systematically leads to a review of its integration of ESG criteria, as additional market information. To improve the transparency of information, in 2020 Ossiam increased the number of ESG indicators monitored in the portfolios and drew up ESG fact sheets that will be shared with clients from 2021. These sheets cover ESG issues, as well as, beginning in 2021, the alignment with a 1.5°C scenario, the portfolio’s contribution to the SDGs, and the results of the votes and commitments by portfolio. SEEYOND As a specialist in active quantitative management, in 2020 Seeyond focused on the accessibility of non-financial raw data in order to integrate it optimally into its investment approaches. Seeyond has also strengthened the governance of ESG issues with the creation of a responsible investment committee. Since 2020, Seeyond has managed a second fund according to a eurozone equity strategy incorporating ESG (sustainable investment management) criteria. The addition of this new fund brings ESG-integratingassets under management to €920 million, i.e. 10.4% of total assets and 17.6% of outstanding equities.

DORVAL ASSET MANAGEMENT A recognized player in flexible strategies and European equities, Dorval incorporates ESG criteria into all the investment processes of its open-ended funds, for which it was SRI-certified in 2020. Internal and external ESG research is integrated at several levels in the constructionand management of the investment funds. Integrated into the macro-analysis and the sector approach, this research plays a part in defining the eligible investment universe, contributes to the construction of portfolios, and guides stock-picking around a proprietary non-financial rating methodology. HARRIS ASSOCIATES Harris Associates uses a bottom-up fundamental research process to identify companies that are trading at a significant discount to their estimated intrinsic value. As part of this process, all material risks and opportunities are taken into account, including ESG issues. These are taken into account in the estimation of intrinsic value and, where applicable, are discussed during the engagement with the management teams of the portfolio companies. WCM WCM has been methodically developing its ESG approach for more than ten years. WCM goes beyond the financial statements and takes into account industry-specificESG criteria that impact long-term financial results. All funds incorporate these principles, and three specific ESG strategies were launched in 2020: two within mutual funds (non-US and emerging markets) and one as part of a global equity mandate. NAXICAP PARTNERS A French player in private equity, Naxicap Partners is involved in all business sectors, in LBO and development capital transactions. An ESG analysis is applied to portfolio companies in which the total amount invested exceeds €5 million, which represents more than 98% of assets under management. Pre-investmentESG analyses are mandatory, and are performed by external auditors who provide in-depth analysis of the main ESG issues aimed at defining the level of materiality and the action plan for the coming years.

76

UNIVERSAL REGISTRATION DOCUMENT 2020 | GROUPE BPCE

www.groupebpce.com