Commitments in line with regulations

In March 2018, the European Commission launched the EU Sustainable Finance Action Plan with the aim of financing the transition to a low-carbon economy. This plan has 3 main objectives:

• Redirect capital flows towards a more sustainable economy;
• Integrate sustainability into risk management;
• Promote transparency and the long term in financial and economic activities.

In this context, Momentum Invest has formalised its approach to sustainability issues in a note on sustainable finance, to comply with the European SFDR regulation 2019/2088 (“SFDR” regulation) and regulation 2020/852 (“Taxonomy” regulation). To date, Momentum Invest does not market any funds classified under Article 9 of these regulations, nor any SRI-labelled funds.

In accordance with Article 3 of the SFDR Regulation, Momentum Invest incorporates relevant sustainability risks, whether significant or likely to be significant, into its investment decision-making process. A sustainability risk is an environmental, social or governance event or condition that could have a material adverse effect, actual or potential, on the value of the investment if it were to occur.

Since its creation, Momentum Invest has systematically analysed sustainability criteria and extra-financial performance before making any investment. This analysis, carried out through due diligence by external experts, is formalised in an investment memorandum. It highlights the main sustainability risks and opportunities and is considered in investment decisions.