Covéa Finance has been taking ESG (Environment, Social and Governance) criteria into account in its investment process for several years now, firstly by exercising its voting rights at general meetings of companies in the portfolio and through shareholder dialogue, and secondly by managing an SRI fund.
Following the publication of the LTECV law on energy transition for green growth, Covéa Finance decided to take the opportunity to promote and develop existing ESG practices as set out in the report on the exercise of voting rights and shareholder dialogue, establishing a long-term approach.
Accordingly, Covéa Finance considers ESG to be a complementary means of managing its portfolio risk, supplementing and enriching the traditional investment vision based on financial, accounting and stock market criteria. The ESG concept therefore provides real added value to portfolio management.
In accordance with the collegial nature of its management style, Covéa Finance has decided to develop and extend the incorporation of ESG criteria to all of its assets.
In time, ESG will form part of the Covéa Finance investment process by producing a "global" ESG policy and a policy of commitment which will supplement existing voting and exclusion policies. Furthermore, Covéa Finance will introduce a shareholder dialogue mechanism to support the review and analysis of environmental issues. At the same time projects will be implemented to define governance, social and environmental criteria.