Sustainable finance: the AMF accompanies asset management companies in their carbon offsetting initiatives

As part of its commitment to sustainable finance, the Autorité des Marchés Financiers (AMF) has published a guide on carbon offsetting by collective investment schemes. The purpose of this guide is to accompany asset management companies that want to provide their investors with information on offsetting greenhouse gas emissions associated with the assets held in their portfolios by cancelling carbon credits.

A guide to promote best practice

The AMF’s guide on carbon offsetting by collective investment schemes (CISs) aims to share examples of best practice that can be used when designing this type of product. It covers the following topics:

Methods for calculating carbon footprints for the purpose of carbon offsetting
The characteristics of the carbon credits used for offsetting purposes
Implementation methods for cancelling carbon credits

The appendix to this guide contains a summary of the different best practices, which are categorised according to whether they relate to the design of a CIS itself or rather providing information to holders.

Sustainable finance: a priority for the AMF

Sustainable finance is a cornerstone of the AMF’s “#Supervision 2022” strategy, which was set out in the roadmap it published in late 2018. The regulator wants to play a key role in promoting and accelerating the changes needed in the finance sector to incorporate sustainability issues more effectively, while at the same time maintaining confidence in the markets. The AMF’s work on sustainable finance primarily involves accompanying and raising awareness among stakeholders with the objective of promoting best practice.