As such, we follow a “buy and hold” strategy with a maturity of 25 years
- Size of the fund: €350 million
- Number of targeted investments: 10-12
- Equity check: €10-50 million
- Maturity of fund: 25 years
- Instruments used: equity and quasi-equity
Investments in “core” greenfield and brownfield infrastructures, with options for value-added strategy.
Congruent buy & hold investment strategy, in line with the long-term prospects of the assets and generating regular profitability. Contribution to the performance of assets through value-added strategy
Multi-sector allocation (renewables, environment, transport, social, digital...) with a large portion dedicated to green energy
Systematic analysis of asset resilience, in light of the Covid-19 crisis. Integration of ESG, climate and impact analyses for the assets
European assets, with over 75% located in France and the rest in the European Economic Area + Switzerland + Great Britain
Type of investments
Targeted business sectors
- A strong interest in Renewable Energy (wind, solar and hydro power, methanization...)
- Priority given to greenfield projects: development & construction
- Brownfield projects already in operation
Involvement of the Infrastructure Fund / risk taken
- Active participation in the projects structuring
- Assistance to projects over their lifespan (20/25 years)
- Value-added fostered by the team’s experience and our proximity to companies working with the Crédit Mutuel Alliance Fédérale Network
Ecological and energy transition
- To go from 17% to 32% of renewables in the final French gross energy consumption by 2030
- To reach 40% of energy produced from renewable sources by 2030
- To assist renewable energy projects allowing for decentralized and more flexible electricity production, consistent with the idea of local consumption
- To develop storage capabilities for the energy produced by renewables, in order to support the electric network
- To modernise the energy network
- To increase the percentage of electricity produced by renewables (France, 2010–goal 2030) [in % of net production]
Examples of eligible assets
Water processing and distribution
Key factors of success
A team featuring diversified and complementary experiences (private equity, M&A, infrastructure financing and industrial sponsoring)
Long-term lifespan of the fund, compatible with the lifespan of the projects and meeting the expectations of public clients
Ability to intervene directly or through SPVs, for mid-cap projects
Group sourcing by Crédit Mutuel and CIC allowing to identify projects ahead of time and to be close to local authorities
A culture of being lead investor
Commitment and support from Crédit Mutuel Equity
Greater integration of extra-financial factors encouraging impact development
Alignment between the defined investment strategy and the needs of the institutions
This information is provided in accordance with Article 10.1(1) of Regulation (EU) 2019/2088 SFDR in the format required by Delegated Regulation 2022/1288, Articles 24-36.
The Siloé Infrastructures ESG Fund, classified as Article 8 under the SFDR, aims to support the development of territories in the context of the triple energy, digital, and demographic transition.
The investments made mainly promote environmental characteristics, and although there was no specific sustainable investment objective, the fund has a majority of sustainable investments.
In practice, and in line with the responsible investment principles regarding the investment strategy and sustainability policy of the asset management company, investments are primarily geared towards mitigating climate change, with proportions confirmed by independent control firms.
The verification that investments contribute to the intended objective is conducted during the initial assessment and regularly updated through direct communication between the asset management company and the beneficiary counterpart. Information on eligibility and alignment with environmental objectives is collected through an internal ESG questionnaire (Environmental, Social and Governance) and reported by the beneficiary entities, which are not subject to the obligation of publishing a non-financial performance statement. The process is overseen by an internal control system.
Without a sustainable investment objective
This product promotes environmental or social characteristics but does not have a specific sustainable investment objective.
Environmental or social characteristics of the financial product
The investments made aim to mitigate climate change.
The responsible investment charter implemented at the infrastructure fund level [PDF – 834 ko] describes the investment strategy used to promote environmental characteristics and the policy for assessing the governance practices of the beneficiary companies.
The internal ESG questionnaire includes sections on internal organization, employee relations, staff remuneration, and tax obligations, and reviews compliance with Principal Adverse Impacts (PAI) to measure negative sustainability impacts, i.e., the most significant negative impacts of investment decisions on sustainability factors related to environmental, social, personnel, human rights, and anti-corruption issues.
When certain PAIs are not available, the asset management company makes its best efforts to identify comparable qualitative criteria.
Proportion of investments
Although there was no specific sustainable investment objective or predefined allocation, the Siloé Infrastructures Fund had 89% direct sustainable investments as of December 31, 2022, with an environmental objective according to the European Union Taxonomy.
Control of environmental or social characteristics
The environmental characteristics promoted by the Siloé Infrastructures Fund are regularly reviewed through:
- Integration of ESG aspects at all stages of fund governance, as explained in the sustainability policy [PDF – 635 ko];
- Verification of internal rules related to compliance, internal control, and risk control by the RCCI, including adherence by operational teams to ESG procedures at all stages of the investment process;
- The internal ESG questionnaire, which includes information collection regarding compliance with PAIs;
- Review by an independent firm:
- Measurement of key PAIs shared with fund subscribers to assess the fund's non-financial performance;
- Alignment with the climate change mitigation objective of the European Taxonomy;
- Review of the management report of the Siloé Infrastructures Fund, particularly the non-financial part, by an audit firm.
The Siloé Infrastructures Fund primarily invests in the energy transition through:
- Wind or photovoltaic parks;
- Renewable energy producers;
- Electric vehicle charging stations (EVSE);
- Developers industrializing energy solutions using hydrogen;
- Existing or upcoming project portfolios.
The methods used to assess the extent to which the promoted environmental or social characteristics of the financial product have been achieved consist of an ongoing dialogue with the investment beneficiaries, aligning the financed activities with the sustainable development goals, particularly the climate change mitigation objective specified by Regulation (EU) 2020/852, known as the Taxonomy, and further detailed by Delegated Regulation (EU) 2021/2139.
The required information to verify the eligibility and alignment of the relevant activities is directly obtained and used to prepare periodic reports for funds promoting environmental or social characteristics.
Data Sources and Processing
The data used to assess the achievement of the environmental characteristics promoted by the Siloé Infrastructures Fund are:
- Verified by the management team regarding the correspondence of the investment beneficiary's activities with the climate change mitigation objective;
- Collected by the asset management company and reported by the beneficiary through the internal ESG questionnaire ;
- Validated by an external analysis, particularly regarding the degree of alignment with the environmental objective.
Considering the size of the portfolio, the asset management company does not rely on estimates (e.g., sector data) for the Siloé Infrastructures Fund.
Limitations of Methods and Data
The methods used to assess the extent to which the promoted environmental characteristics are achieved rely on evolving and continuously enriched regulations that are not yet finalized.
Additionally, the reported data used does not require publication by the investment beneficiaries, as they are non-listed entities that do not meet the minimum thresholds for publishing their non-financial performance statement.
However, these limitations do not impact the extent to which the environmental characteristics promoted by the Siloé Infrastructures Fund are respected.
The asset management company has established methods to ensure the respect of the environmental characteristics promoted by the Siloé Infrastructures Fund through procedural frameworks and a governance system that is monitored as indicated above.
Engagement PoliciesThe engagement policies and management procedures applicable to sustainability in the beneficiary companies are described in:
- The investment charter of CM CP at the infrastructure fund level; [PDF – 834 ko] ;
- The sustainability risk policy; [PDF – 635 ko] ;
- The statement regarding negative sustainability impacts. [PDF – 546 ko].
The asset management company has designated no index as a reference benchmark for achieving the environmental characteristics promoted by the Siloé Infrastructures Fund.
Our long-term approach
Our investments are rigorously selected, in accordance with our goal of generating sustainable positive changes to our environment and society.