Circular Economy fund from Decalia receives ESG seal of approval
The Decalia Circular Economy fund, which invests in the circular economy, has qualified for the ESG label. It guarantees investors that a fund takes into account environmental and social criteria and standards of good corporate governance at every stage of the investment process.
The acronym ESG has become established to identify sustainable investments. These three letters describe three sustainability-related areas of corporate responsibility: Environment, Social and Governance.
The non-profit and independent Luxembourg Finance Labelling Agency (LuxFlag) has awarded the ESG seal to the Geneva-based Decalia Group's Circular Economy Fund. According to a Media release of Decalia, the institute has established itself as a "benchmark for the sustainable investment market."
A fund with principles
The fund was launched in 2016 and is the first global investment fund to focus on the circular economy. "The fund was created in response to the over-exploitation and over-consumption of our planet's natural resources," the statement said. The circular economy, it said, offers a way out of this impasse by designing products and services that can be easily refurbished, reused and recycled. Rentals and a right to use are preferred to ownership. In addition, renewable energies are used.
"The fund is now based on five principles," explains Decalia's Clément Maclou. "These are the optimization of natural resources, the recovery of waste, the extension of the useful life of products, the sharing economy and the product-as-a-service business model, with which customers purchase a right to use a product."
"We are delighted that Decalia Circular Economy has been recognized by LuxFlag," says Decalia Funds Head Xavier Guillon. "It reinforces our development strategy, which focuses on paradigm shifts that will have a long-term impact on the global economy." (Source: Decalia)
