France’s ERAFP launches €5bn call for tenders for euro-zone and European listed equities

100% French SRI investor invites tenders from asset managers

France’s public service additional pension scheme (ERAFP), a 100% SRI investor with €23bn in assets, is launching an open call for tenders to select managers of euro-zone and European listed equities.

The call is in connection with the renewal of mandates expiring in May 2017 that are currently worth a combined €5bn. The call for tenders is in five lots and all of them must comply with ERAFP’s SRI guidelines. The mandates will last six years.

ERAFP is one of the world’s leading responsible investors. In March it announced that it has strengthened its minimum requirement for women board members from 30% to 35%, as it releases its voting policy and shareholder engagement strategy for 2016.

Lot 1 – SRI index-based management of euro-zone mid and large cap equities

Index-based management of a portfolio of euro-zone mid and large cap equities. The relevant index is the Scientific Beta Eurozone Max Sharpe Ratio ERAFP SRI Carbon Efficient index, calculated by ERI Scientific Beta and designed specifically with ERAFP’s needs in mind.

This smart beta index specifically applies ERAFP’s SRI guidelines and a decarbonisation methodology.

“By way of indication, the amounts initially awarded under this lot will be between €500 million and €1 billion.” Three managers will be selected (and two stand-by managers).Lot 2 – Fundamental, non-benchmarked, SRI management of euro-zone mid and large cap listed equities

“By way of indication, the amounts initially awarded under this lot will be between €250 million and €1 billion.” Five managers will be selected (and two stand-by managers).

Lot 3 – Fundamental, non-benchmarked, SRI management of euro-zone mid and large cap listed equities, with equity risk management.

“By way of indication, the amounts initially awarded under this lot will be between €250 million and €1 billion.” Three managers will be selected (and two stand-by managers).

Lot 4 – Fundamental, non-benchmarked, SRI management of European small cap listed equities

“By way of indication, the amounts initially awarded under this lot will be around €140 million.” Three managers will be selected (including two stand-by managers).

Lot 5 – Fundamental, non-benchmarked, SRI management of European mid and large cap listed equities

“By way of indication, the amounts initially awarded under this lot will be between €250 million and €1 billion.” Three managers will be selected (including two stand-by managers).