French Pension Scheme Benchmarks €300 Million Fund to Climate Impact Index

ERAFP – the €41.7 billion additional pension scheme for French civil servants – has awarded a circa €300 million mandate to be benchmarked to Scientific Beta’s Eurozone Climate Impact Consistent EU Paris Aligned Benchmark Compliant index. Its decision reflects ERAFP’s climate commitments made within the framework of the Net Zero Asset Owner Alliance. The mandate will be awarded for a four-year term, with two separate opportunities to extend for a further year, bringing the maximum term of the mandate to six years. “We are gratified that ERAFP has seen fit to award such a significant mandate on the basis of Scientific Beta’s climate impact consistent (CIC) indices,” Kin Yee Ng, CEO of Scientific Beta, an index provider majority owned by the Singapore Exchange, said. “Traditional climate indices and benchmarks, which combine financial and climate criteria, frequently lead to contradictions with compromised climate impact. We believe our CIC indices’ strict focus on climate objectives raises the bar for climate action.” 

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