SRI Label
The SRI Label aims to increase the recognition of Socially Responsible Funds (SRIs) for savers, and to ensure that various extra-financial objectives are actively managed by the funds, in the areas of environment, Society and governance
Summary data :
| label | ID | Topic | Description | Mode | Enabled | Order |
|---|---|---|---|---|---|---|
| SRI Label | 7 | Label | SRI Label | t | 1 | 1 |
| SRI Label | 7 | Nationality | France - French/English | t | 1 | 3 |
| SRI Label | 7 | Management | Label issued by the French Ministry of Economy and Finance | t | 1 | 4 |
| SRI Label | 7 | Label Type | SRI | t | 1 | 5 |
| SRI Label | 7 | Website | https://www.lelabelisr.fr/label-isr/ | t | 1 | 7 |
| SRI Label | 7 | Market | The label is open to mutual funds (including funds of funds and real estate funds) and management mandates. | t | 1 | 8 |
| SRI Label | 7 | Products | 967 funds and products as of March 2025 | t | 1 | 9 |
| SRI Label | 7 | Links to funds | https://www.lelabelisr.fr/comment-investir/fonds-labellises/ | t | 1 | 10 |
| SRI Label | 7 | Criteria | https://www.lelabelisr.fr/label-isr/criteres-attribution/ | t | 1 | 15 |
| SRI Label | 7 | Periodicity | 3 years with verification of requirements every year | t | 1 | 21 |
Analytical data :
| label | ID | Topic | Description | Mode | Enabled | Order |
|---|---|---|---|---|---|---|
| SRI Label | 7 | Description | The SRI Label is intended to increase the recognition of Socially Responsible Funds (SRIs) for savers, and to ensure that extra-financial factors related to the environment, Society and governance are actively managed by labelled funds | d | 1 | 6 |
| SRI Label | 7 | Genesis and development | The SRI Label was born in 2016 behind a public initiative consequent to a request from French financial actors. The Ministry owns the Label, which it manages with a highly structured process. A first version of the Label "V1" was in force until October 2020, which was followed by a subsequent versio "V2" whose criteria remained in force until March 2024 when the upgrade to "V3" was performed. The most recent version guarantees, for funds that already hold certification, a period to comply with the new requirements that extends until January 2025. | d | 1 | 11 |
| SRI Label | 7 | Goals | The complexity of SRI issues has led public authorities to favor a delegated approach, requiring products to comply with a set of organizational principles and thus providing reassurance to investors that the Label meets the key criteria of intentionality of management and performance monitoring to be considered effectively an "SRI fund." | d | 1 | 12 |
| SRI Label | 7 | Promoters and administrators | The SRI Label, desired by the Ministry of Finance, relies on a "Label Committee" comprising 12 experts from Society civil (trade unionists, managers, academics...), and a 4-member Scientific Committee (academics) that define the mandatory and optional requirements. It is then administered by three independent certifying bodies pinned by the national body that manages accreditations (COFRAC), which decide on the eligibility of candidates independently, based on established audit criteria. | d | 1 | 13 |
| SRI Label | 7 | SRI Approach | There are 6 pillars: 1) transparent ESG goals; 2) a strategy and system for overseeing the goals 3) clear integration into the investment process, 4) an "engagement" strategy towards investment in Portfolio, 5) transparent communication of results 6) constant monitoring of ESG performance and positive impacts achieved | d | 1 | 14 |
| SRI Label | 7 | Mandatory Criteria | Sustainable objectives must be clearly expressed for each of Pillars E, S, and G based on the concept of dual materiality and the fund must have performed above the benchmark average in at least 2 mandatory PAI indicators; traceability of ESG results is ensured over time on at least 90% of Portfolio, and financial techniques exclude speculative approaches. The fund implements an active engagement policy at Society in Portfolio. Transparency to investors is ensured. | d | 1 | 16 |
| SRI Label | 7 | Additional criteria | There are no real optional criteria: the fund has wide discretion of action in defining ESG strategies, but it must ensure close oversight of the objectives, strategy, measures and results on the economy, and apply the specific requirements related to each strategy (Best-in-class, use of derivatives, engagement policy, enhanced transparency ...). | d | 1 | 17 |
| SRI Label | 7 | Allocation process | Society who want to obtain the label must join the Promotion Body, and demonstrate that they meet the eligibility criteria. The application is first reviewed by an accredited certifying body (AFNOR Certification, Deloitte, EY France) who check the requirements and prepare an audit report, and make an independent decision to award the label. They subsequently inform the French Ministry of Finance. A public body specializing in accreditation, COFRAC, provides the Ministry with qualified support in the selection and due diligence of accredited entities that award the label. | d | 1 | 20 |
| SRI Label | 7 | External certification | The SRI Label includes a detailed audit protocol and an annual review of both performance against expectations and the funds' ESG organization | d | 1 | 22 |
| SRI Label | 7 | Focus on transparency | There is enhanced transparency to both the label and investors, who should be able to easily read ESG goals, achievements through annual reports made available to investors. | d | 1 | 23 |
| SRI Label | 7 | Focus on periodic checks | The annual audit process by the accredited body aims to verify both ESG management processes, investment processes, and monitoring of results as well as impact on the economy. | d | 1 | 24 |
| SRI Label | 7 | Related parties | The management mechanism is largely delegated by the Ministry of Finance to competent third parties : COFRAC to derimate Audit instructions and qualify candidates for accreditation, and accredited bodies specializing in Audit and quality assurance (EY France, Afnor Certification, Deloitte) | d | 1 | 25 |
ISR Label2022-08-102022-08-10https://www.positivefinance.com/wp-content/uploads/2021/11/positive-finance-logo-rgb.svgPositive Financehttps://www.positivefinance.com/wp-content/uploads/2021/11/label-isr-logo-300.jpg200px200px
