Discovering a new Label, the Relance Label

Discovering a new Label, the Relance Label
After the general enthusiasm for funds labeled SRI (Socially Responsible Investment), a new Label now seems to stand out: the Relance Label. This new Label was created in October 2020 at the initiative of the Minister of the Economy, Finance and Recovery, Bruno Le Maire.
#investments
Aug 27, 2021
The objective is simple, it makes it easy to recognize investment funds able to quickly mobilize new resources to support French companies affected by the Covid 19 crisis and in particular SMEs and mid-cap companies. (1)
What makes labeled funds different
To benefit from the "Relaunch" label, collective investment undertakings (UCIs) must comply with the eligibility criteria defined in the label's charter.

This charter notably requires labeled funds to invest a significant portion of their assets in French companies (equity or quasi-equity), including SMEs and mid-cap companies:

French companies: quota of 30 or 60% minimum depending on the methodology chosen,

Of which SMEs and mid-cap companies: quota of 10 or 20%;

Define or give examples of own funds or equity quay (see label charter)

 
It also includes a set of environmental, social and good governance (ESG) criteria to guide the investment and shareholder engagement policy of labeled funds. In particular, they must commit not to finance the coal sector.
How does the Label work?
Funds which meet all the criteria benefit from the Label for a period of 4 years.

Every six months, the management companies undertake to publish a report attesting to the proper compliance with the criteria of the "Relaunch" charter.

Some definitions :

Small and Medium Enterprises and Intermediate Size Enterprises.

Small and Medium Enterprises - Intermediate Size Enterprises. An intermediate-sized company (ETI) is a company that has between 250 and 4,999 employees and either a turnover not exceeding 1.5 billion euros or a balance sheet total not exceeding 2 billion euros. euros. A company that has less than 250 employees, but more than 50 million euros in turnover and more than 43 million euros in balance sheet total is also considered an ETI. Mid-size companies are a category of intermediary businesses between SMEs and large companies. (Source Insee).
Do you want to participate in the economic recovery?
Do not hesitate to get closer to your advisor! La Banque Postale offers the Tocqueville PME fund, which has benefited from the Relance Label since April 2021.

With Tocqueville PME, you invest directly in the local economic fabric of small and medium-sized businesses.
Regarding the management of the fund:

Tocqueville PME favors the search for SMEs and mid-size companies, mainly from France, and other countries of the euro zone, and other European countries without restriction in terms of sectors of activity, with the management philosophy of seeking best investment opportunities among the companies identified according to the analysis of our management company Tocqueville Finance as the potential leaders of tomorrow, those surfing on a megatrend and benefiting from strong growth, as well as those with a potential for improvement in their profitability (more cyclical stocks, currently focused on the theme of reopening following the health crisis).

Management is based on the experience of Tocqueville Finance managers and their proximity to regional economic players. Meetings with the companies held in the portfolio are organized twice a year.

In accordance with Tocqueville Finance's commitments, the fund also incorporates a set of environmental, social and good governance criteria that guide its investment and shareholder engagement policy.