Here at Mediobanca we have embarked on a process to transform our business model in order to deliver medium-/long-term growth based on principles of responsible investment as reflected in the objectives of our new Strategic Plan.
We are well aware that in the long-term, the variables that impact on valuations of companies and institutions cannot be confined to financial aspects, but must also include the environmental, social and governance sphere, in order to create value for the investor and for society as a whole.
Our commitment in pursuing sustainable objectives can be demonstrated by the initiatives undertaken by various Group companies, such as the Green and Sustainable Bond Framework, the disbursement of green mortgages, and the wide range of financial products and services that promote environmental, social or governance characteristics.
GREEN, SOCIAL AND SUSTAINABILITY BOND FRAMEWORK
In 2020 the Mediobanca Group has defined and implemented a Green and Sustainability Bond Framework. This has enabled the Group to complete its first green bond issue for institutional investors in a nominal amount of €500m (September 2020).
Mediobanca updated and published its most recent Green, Social and Sustainability Bond Framework in July 2022.
As of 30 September 2023, Mediobanca issued three ESG Bonds for a total outstanding amount of €1.5bn.
MEDIOBANCA PREMIER: GREEN MORTGAGES
As confirmation of its commitment to the environment,Mediobanca Premier has launched green mortgages for people looking to buy or refurbish properties in energy class A or B, with a lower spread than mortgages for other properties.
We offer our clients an extensive catalogue of financial products and services that have sustainable objectives, and that promote, among other things, environmental and social.
As regards Mediobanca’s operations with Corporate & Investment Banking clients, following a huge commercial drive in the last few years (which started with Hera’s first green bond in 2014), proposing ESG-related financing solutions, bonds and loans, is now virtually normal practice, the objective being to raise clients’ awareness of the sustainability issue and to explore new areas of potential business. This rests on the consolidated and continually growing technical expertise developed by the product teams in defining and implementing the best ESG funding mix.
In addition to applying strict criteria to ensure that ESG factors are integrated into all funds managed, Mediobanca SGR has established and now offers funds that promote environmental and social characteristics.
These funds aim to increase the value of the invested capital over time, by considering sustainable finance criteria i.e. environmental, social and governance (ESG) factors, as well as the traditional financial ones.
As confirmation of their interest in financial products that meet environmental, social and economic sustainability criteria, Mediobanca Private Banking and Mediobanca Premier have included a vast catalogue of investment funds in their product offering which meet ESG criteria in terms of portfolio selection and management.
Mediobanca Private Banking and Mediobanca Premier are aware of their customers’ increasing sensitivity to ESG issues and the value of instruments that respect these principles, and for this reason monitor their catalogue of investment funds very carefully, offering their the clients a tailored selection of instruments focused on these issues with high ESG ratings.
Environmental, social and governance factors are thoroughly integrated into the investment funds offered by RAM Active Investments, through systematic inclusion of ESG risks in the investment selection process. This approach gives the investment process a sustainable perspective regarding the selection of investments, making it more socially responsible, and can also help reduce long-term investment risk and improve returns.
CMB considers sustainability to be a key component of its growth strategy. CMG Monaco, the CMB Monaco group’s fund manager, embraces responsible investment principles, and screens all its investments from an ESG as well as a financial perspective.