Investing solutions delivering performance & ESG outcomes
With a top-ranked ESG Research team, performing index solutions and a broad socially responsible product offer - ranging from the most vanilla to the most customized proposal - our aim is to deliver sustainable investment solutions that fit the diverse ESG & SRI strategies of our clients.
Socially Responsible and Impact investing (SRI) issues, as well as Environmental, Social & Governance (ESG) factors, have become important performance drivers. Sitting alongside financial and macroeconomic considerations, ESG factors have become easier to quantify and should be considered when assessing any company. Since 2016, Societe Generale’s dedicated ESG research team has helped investors and asset managers to integrate these criteria into investment decisions.
We have a strong track record. The Extel survey ranked our SRI Research teams in the top 5 for the last 10 years.
Innovative Sustainable & Positive Impact Products
From the most vanilla to the most customized solutions, Societe Generale aims to meet is clients' sustainable investment objectives through key services such as linking a wide range of issuers (sovereigns, supras, agencies, corporates) and investors (insurance companies, asset managers, etc ...) in the realm of green bonds, or structuring tailor-made products.
Performing index solutions
The Societe Generale Index range covers a wide scope of assets, including Environment, Social and Governance (ESG) indices based on our ESG research or our comprehensive network of ESG partners. Wide range of formats are available: ETFs, Funds, Certificates, Structured products etc. We also engineer custom indices. Whether derived from a flagship index or created at the client’s request, these are developed to precisely match investors’ objectives and constraints.
Tailored ‘green’ or ‘positive impact’ structured solutions
Societe Generale has been issuing structured notes for more than 20 years, including ESG index-linked structured notes. Our latest structured solutions package green or sustainable investments into four main formats:
Positive Impact Notes: Societe Generale has created a range of products (The Positive Impact Notes,) to allow its clients to invest in a structured note whilst promoting Positive Impact Finance. The bank commits to hold in its books loans dedicated to Positive Impact Finance projects equivalent to 100% of the value invested in the note.
Repack of a Green Bond: Societe Generale issues a bond-repacked note for which the yield of a third-party bond (the reference bond) is used as a funding source.
Green Notes issued by an external issuer: the issuer tracks the investment of the note’s proceeds in green projects, or is a recognized ‘pure player’ which exclusively funds green projects.
Socially Responsible Deposits: Societe Generale uses funds collected through the deposit to finance short-term loans to corporates that have received the highest extra-financial rating, and to finance commodity transactions selected for their high standard of responsible practice. This offer allows our corporate clients to contribute to a new responsible lending approach.
ESG innovation in Asset Management
Lyxor Asset Management is addressing within its active and passive solutions the challenges of climate transition and the growing demand for responsible investments.
As a pioneer of ETFs in Europe, Lyxor has leveraged on its strong ability to innovate in order to present investors with a comprehensive ESG offering. As such, Lyxor provides ETF-based thematic solutions aligned with four Sustainable Development Goals - Water, New Energy, Climate Action and Gender Equality- with which Lyxor has pioneered the European ETF market.
In 2018, Lyxor broke new ground with the first ESG ETFs to include ESG trend scores for company selection.
In parallel, Lyxor has gradually integrated ESG rating and risks both in our active equity strategies and in unlisted vehicles for institutional mandates. Moreover, after nearly 20 years in the vanguard of multi-management, we now have recognized know-how in providing transparent frameworks and consolidated reporting. Drawing on our expertise and our partnerships with management industry leaders, we offer clients a cutting-edge proprietary method enabling in-depth assessment of their portfolios' ESG metrics and carbon footprint.
Securities Services integrates ESG factors
Societe Generale Securities Services is fully committed to support its clients in their sustainable finance practice - whether they are issuers or institutional investors - helping them to solve various technical challenges related to the integration of ESG factors.
Societe Generale Securities Services’ modular offer includes:
- Portfolio analysis based on various ESG metrics, including carbon footprint, benefitting from independent calculation capabilities;
- A proxy voting service through a single platform covering 36 markets and connected to 16 proxy advisers;
- A General Meeting organization service, selected by 150 listed companies.