EURONEXT_Registration_Document_2017

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CORPORATE GOVERNANCE

Corporate Social Responsibility

ESG ETF listed on Euronext Socially responsible ETFs that follow companies engaged with green investments or environmentally friendly initiatives are beginning to gain in popularity. The sustainable investing theme has quickly gained momentum and assets related to it are growing on Euronext. Currently, there are 6 ESG-related ETFs with €545 million in assets under management.

 in March and September 2017, Engie respectively issued €1.5 billion and €1.25 billion worth of green bonds. These were added to its previous green issuances initiated in 2014 on Euronext markets, totaling €5.25 billion of green bonds from the largest corporate green bond issuer on Euronext markets. The proceeds will be used to finance the global utility player’s growth in renewable energy or energy efficiency projects, and in natural resources preservation projects, as well as R&D investments in such areas and equity participations in projects of the social impact Engie fund “Rassembleurs d’Énergies”;  the Caisse des Dépôts et Consignations issued an inaugural green bond on March 1 st 2017, worth €500 million. In addition to the public health and environmental protection issues associated with local pollution, The Caisse des Dépôts et Consignations intends to use the funds for remediation of contaminated sites that also have larger-scale climate and ecological impacts. By promoting green and climate bonds to issuers from various sectors and geographies, Euronext provides themwith new sources of financing and promotes a sustainable growth strategy that is mindful of a low-carbon and resource-efficient economic model while it creates intangible value for Socially Responsible Investment investors. Euronext has invested considerable effort in the development of its green bond franchise, notably through its partnership with the Finance For Tomorrow initiative, campaigning for the Paris ecosystem to play a leading role in the transition to a more sustainable finance. The Cleantech company cluster refers to enterprises that do not only seek to embody resource efficient, environmentally beneficial business practices in the way they carry out their operations, but develop, create and sell products and services that are resource efficient and benefit the environment. Their models range from but are not limited to production, storage and distribution of renewable or low carbon energy sources as well as pollution mitigation, conservation, and restoration. From 2013, Euronext has devoted dedicated resources to create proximity with SMEs across its markets, in order to provide stronger education on the benefits of leveraging capital markets to fund growth. Cleantech companies were then identified and as such benefitted from Euronext’s full support. Some of the major initiatives in this respect include:  TechShare: 11 Cleantech SMEs part of the community learning how to leverage capital markets;  Tech40 Index: 13% of this increasingly important index is made up Cleantech SMEs;  Morningstar: the programme fully covers the scope of Cleantech SME issuers (46). In 2017, Euronext has attracted 2 new Cleantech SMEs to itsmarkets, providing themwith more than €250 million in equity funding. These operations enriched the Cleantech SMEs community of Euronext, to a total of 46 Cleantech SMEs worth some €6.8 billion. Supporting climate-friendly innovation by financing Cleantech SMEs

ETF NAME

UNDERLYING INDEX

LYXOR GREEN BOND (DR) UCITS ETF BNPPEASY LOW CARBON UCITSETF LYXOR UCITS ETF PEA NEW ENERGY C-EUR AMUNDI ETF MSCI WORLD LOW CARBON UCITS ETF AMUNDI ETF MSCI WORLD LOW CARBON UCITS ETF

Solactive Green Bond EUR USD I

Low Carbon Europe NTR

World Alternative Energy CW

MSCI World Low Carbon Leaders

MSCI World Low Carbon Leaders

LYXOR UCITS ETF NEW ENERGY

World Alternative Energy CW

Recent academic research has shown that high ESG ratings are correlated with lower cost of capital, market-based outperformance and accounting-based outperformance. Harvard Business School discovered that “high sustainability” firms outperform “low sustainability” firms over the long haul with lower volatility. Green Bonds: a continued growth of issuances Green Bonds are any type of bond instruments where the proceeds will be exclusively applied to finance or re-finance, in part or in full, new and/or existing, eligible Green Projects including: renewable energy, energy efficiency (including efficient buildings), sustainable waste management, sustainable land use (including sustainable forestry and agriculture), biodiversity conservation, clean transportation, clean water, climate change adaptation, etc. 2017 was a year of stellar growth for green bonds, as the product provided an efficient and innovative capital market tool to accelerate the ecological transition. In 2017, Euronext attracted close to €10 billion of additional green bond from corporates mainly driven by utilities (ex: Engie, Tennet holdings), real estate (ex: Icade, CDC, etc.) and transportation players (ex: SNCF, RATP, etc.). Through the year, Euronext green bond franchise (ex-sovereign green bonds) has therefore witnessed tremendous growth (+60%), gathering 28 corporate green bond issuers that raised some €26 billion worth of green bonds through 48 deals since 2012. Selected green bonds highlights for 2017 include:  the largest ever sovereign Green Bond issuance occurred in January 2017, by France Trésor (the initial €7 billion programme was later extended to €10 billion in Q4 2017), a turning point on this relatively nascent market;

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2017 REGISTRATION DOCUMENT