BPCE - 2020 Universal Registration Document

NON-FINANCIAL PERFORMANCE STATEMENT

SUPPORTING THE ENERGY, ECOLOGICAL AND SOCIAL TRANSITION IN LOCAL REGIONS

HIGHLIGHTS FOR 2020: MIROVA AND NATIXIS ASSURANCES NAMED LEADERS BY PRI In 2020, Natixis Assurances and Mirova were named among the most advanced players in the field of sustainable finance. In 2020, the PRI identified a group of 36 leaders, composed of 16 institutional investors (4% of total PRI signatories) and 20 asset management companies (1% of total signatories), including Mirova and Natixis Assurances. This announcement rewards the work carried out by Mirova since 2016 on calculating the carbon footprint of its investments. For its part, Natixis Assurances confirms its status as a pioneer in terms of climate commitment. Its objective of devoting 10% of its investments to green assets was exceeded in 2019 and 2020: its investments amounted to nearly 15% in fiscal year 2020.

PROTECTING AND DEVELOPING NATURAL CAPITAL CONSIDERATION OF BIODIVERSITY IN FINANCING The Green Weighting Factor initiative, implemented since September 2019, now makes it possible to systematically assess the impact of financing on biodiversity in sectors for which this issue is material, as well as the impact of dedicated financing (project or asset financing) in Key Biodiversity Areas. Natixis already incorporates an in-depth analysis of the impact on biodiversity in its project financing transactions, and will continue to take into account the challenges related to the preservation of natural capital in all of its activities in 2021.

In accordance with the the Equator Principles, Natixis requires its clients to study all the risks and potential impacts of their projects from an environmental, social, health and safety perspective, and to implement all the necessary means to minimize and correct potential impacts. Damage to biodiversity is an integral part of this vigilance. Groupe BPCE’s umbrella risk policy is applied in the banks and at the central level in the sector policies. These include a section dedicated to the impacts on biodiversity.

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OSSIAM FOOD FOR BIODIVERSITY: LAUNCH OF THE FIRST EFT BIODIVERSITY FUND Ossiam launched this strategy in 2020 which applies to the entire food sector including the entire supply chain, from agricultural products to restaurants. It focuses on the impact on biodiversity, by optimizing the Means Species Abundance (MSA) under minimum constraints of liquidity, diversification, and reduction of the carbon impact. The fund has a higher non-financial performance compared to the benchmark, with a lower biodiversity impact and lower GHG emissions. The fund’s assets amounted to US $24.4 million at the end o2f020.

THEMATIC INVESTMENT IN NATURAL CAPITAL Since 2017, Mirova has had a platform specializing in investment for the conservation of biodiversity and natural capital. Mirova is developing innovative investment solutions dedicated to mitigating and adapting to climate change, protecting territories, biodiversity, soils and maritime resources, with €510 million dedicated to natural capital. The Land Degradation Neutrality (LDN) fund, developed by the United Nations (1) and Mirova, invests in three key sectors: sustainable agriculture, sustainable forestry and, depending on the opportunities, other projects such as green infrastructure and ecotourism. In 2020, the LDN fund continued to raise funds to reach $140 million. After supporting a first project in Peru in favor of agroforestry systems for small-scale coffee producers, three land restoration projects in 2019, Mirova invested in three new projects in 2020: a social enterprise that helps local populations to plant trees, an agroforestry project in Bhutan, and a sustainable forestry company in Ghana and Sierra Leone.

The LDN Fund has set itself the objectives of enabling, through its investments, the sustainable management of 500,000 hectaresworldwide, the reduction of carbon emissions by 35 Mt, and the creation or improvement of jobs for more than 100,000 people. Mirova’s Althelia Sustainable Ocean Fund (SOF) invests in companies that harness the ocean’s natural capital in a sustainable way, strengthen the resilience of coastal ecosystems, and are sources of sustainable economic growth. SOF is developing a mixed portfolio in the sustainable seafood, the circular economy, and conservation sectors. The fund focuses on emerging markets and small island states. Launched in 2018, Mirova finalized the fundraising of $132 million in 2020. The SOF is already involved in the financing of seven projects, in particular in 2020 the support of the development of Nextprotein (production of alternative insect-based proteins) or of Recycling Technologies (supplier specializing in plastic recycling technologies).

(1) United Nations Convention to Combat Desertification (UNCCD).

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UNIVERSAL REGISTRATION DOCUMENT 2020 | GROUPE BPCE