Sri Transparent Label Agreement

In recent years, more and more of these labels have been developed in Europe and have a multitude of approaches. Most SRI or ESG labels take a general approach, but can also be associated with a particular theme, such as energy transition, environment, social issues, solidarity, microfinance, etc. While these labels are mainly the result of private initiatives (for example. B of european luxury labels, which were introduced in 2010), the growing interest of government authorities in the promotion of SRI pushes them to create national labels. This is the case, for example, in France. After the creation of the Novethic label in 2009, the national label SRI was introduced in 2016. Another example is the German FNG label, which has also been taken up by Switzerland and Austria. At the end of June 2016, there were 1,138 green, social and ethical funds based in Europe. During the same period, more than 700 credits were submitted to the transparency code. The code has also been made compulsory by a number of national SRI labels or professional associations in Europe. Interest in the code is growing and, as an additional step in implementation, Eurosif wants to improve the response process and the visibility of the transparency code and the responses of funds. Europe has set up a large number of labels for certification and promotion of sustainable and responsible investments. In the meantime, ESG ratings have begun to develop on the basis of a quantitative approach.

It`s time to find out what`s what! However, as the number of labels increases, it is not always easy for individual or institutional investors to make heads or tails of what is out there, especially since these labels do not have the same approach or selection or exclusion criteria. The Austrian eco-label, created in 1990 under the aegis of the Ministry of Agriculture and the Environment, is unique in that it evaluates companies, environmental investment funds and, even more surprisingly, everyday consumer goods. The eligibility criteria for the French national label take into account other specific factors such as an issuer`s ESG analysis method, engagement policy (coordination and dialogue) and transparency. Selection criteria include the limited use of derivatives in building portfolios and the emphasis on the positive impact on the development of a sustainable economy.