Responsible Investment
Turning finance into a sustainable industry is F2i's mission, which is to create value for investors and stakeholders by transforming financial resources into sustainable real economy projects.
Turning finance into a sustainable industry is F2i's mission, which is to create value for investors and stakeholders by transforming financial resources into sustainable real economy projects.
F2i operates in the infrastructure investment sector in Italy and Europe through equity and debt funds, integrating ESG aspects in the investment process strategies.
…in equity funds
F2i involves the acquisition of shareholdings, preferably controlling ones, in order to:
…in debt fund
F2i promotes the development and renewal of infrastructure in Italy and EU countries in key sustainability supply chains through senior and junior financing through loans (direct lending) and bonds
As evidence of its commitment to ESG issues, F2i has joined to the PRI – Principles of Responsible Investment since 2019, the GRESB since 2020, and the UNGC – United Nations Global Compact since 2023.
Policy, Governance and Strategy:
Infrastructure:
Confidence-building Measures:
Management component
The first Communication on Progress has been drafted in 2024.
We believe that properly managing the risks and opportunities of environmental, social, and governance issues throughout the investment cycle, can reduce business and financial risk and improve the results of our portfolio.
F2i adopts a fully integrated ESG approach within the investment process, summarized in the following phases:
ESG issues are analyzed right from the initial scouting phase of the potential investment, the process involves the elimination of the potential investments that fall under the scope of the so-called ‘excluded sectors’ and of any investments having an excessive negative impact with respect to ESG issues (negative screening), while investments that can make a positive contribution (positive screening) in ESG terms are favored.
As part of the analysis of the potential investment, ESG issues are identified and assessed, through a dedicated Due Diligence process. The results of the ESG Due Diligence are submitted to the attention of the ESG Committee and summarized in the Investment Memo to the Investment Committee and Board of Directors as part of the investment approval process, so that the main sustainability profiles can become an integral part of F2i SGR’s decision-making process on investments.
At the investment stage, the Risk Manager conducts an independent analysis of ESG risks based on relevant information related to the ESG positioning of the target asset, to:
If an equity investment presents critical ESG issues, the ESG Committee may propose a definition of an Action Plan to be agreed upon with the management of the target company within six months of completing the investment to gradually remedy the main gaps with respect to ESG issues.
After the investment, F2i continues, through the engagement activity to steer its portfolio companies towards a virtuous path of ESG KPI improvement. For this purpose, the variable component of the remuneration of the CEOs of the portfolio companies in the Funds' portfolio is related to the achievement of ESG objectives.
Finally, the results of ESG performance are included in the following documents:
Adoption of the first ESG Policy
Definition of the first three-year ESG Plan
Establishment of the ESG Committee
Subscription to UN PRI (Principles for Responsible Investment)
Inclusion of ESG factors in core procedures
Publication of the first Sustainability Report
Launch of the Fondo per le Infrastrutture sostenibili, ex art 8+ SFDR with an objective of sustainable investment
ESG Policy (update)
Publication of the first Principal Adverse Impacts (PAI) Statement
Three-year ESG Plan (in update)
Ania-F2i Fund, ex art 8 SFDR
First participation in GRESB
Adoption of Diversity & Inclusion Policy (D&I)
Launch of the Debt Fund (IDF1), ex art 8 SFDR
Establishment of the ESG Sustainability Business Unit
ESG Policy (in update)
ESG Monitoring and Reporting Procedure
Expanded the responsibilities of the Control and Risk Committee to include sustainability issues, renamed the Control Risk and Sustainability Committee (CCRS)
ESG Action Plan
Participation in the United Nations Global Compact (UN GC)
Launch of F2i – Rete Digitale, ex art 8 SFDR
F2i's assets under management reached over 8 billion euros through the Management Funds. The following is a detailed description of each fund's portfolio and the environmental and social features promoted by the SFDR Article 8 funds.
Established in 2007, with a commitment of €1.9 billion; at the end of 2017, after 10 years, the assets of the Fund I portfolio were moved into Fund III considering there were further opportunities for growth.
Established in 2012, with a commitment of € 1.2 billion; the fund is approaching maturity (2025), therefore it has already started the divestment of some assets.
Established in 2017, it has invested its entire commitment of €3.6 billion and is it is the main fund under management in terms of size.
Established in 2019, with a commitment of € 516 million, raised from the leading Italian insurance institutions and other Italian pension funds, it invests in small and medium-sized Italian infrastructure.
The financial product promotes the following characteristics (art 8 SFDR):
Environmental
(i) climate change mitigation;
(ii) pollution prevention and reduction;
Social
(i) non-discrimination;
(ii) workplace safety.
Established at the end of 2020, it completed the fundraising phase in 2023 reaching a commitment of € 1,562.8 million, exceeding the target (€ 1.5 billion).
The financial product promotes the following characteristics (art 8+ SFDR):
Environmental:
(i) climate change mitigation;
(ii) pollution prevention and reduction;
Social:
(i) non-discrimination;
(ii) workplace safety;
(iii) has a minimum quota of sustainable investments aligned with the Taxonomy.
Established at the end of 2023, it raised € 0.9 billion after only a few months from the start of marketing activities, finalized to be invested with other institutional investors in FiberCop, Tim's national fixed-line network, whose closing was carried out in July 2024.
The financial product promotes the following characteristics (art. 8 SFDR):
Environmental:
efficient and sustainable use of energy sources;
Social:
enabling widespread access to data and new technologies.
Established in 2021, with a target of €500 million, it is composed of two segments, one focused on Italy and the other on Europe. The fund completed the 2024 fundraising with a commitment of € 500.8 million.
The financial product promotes the following characteristics:
Environmental:
(i) efficient and sustainable use of energy sources;
(ii) efficient use of raw materials and pollution reduction.
Social:
(i) supporting sustainable urbanization;
(ii) supporting competitiveness and quality of services in extra-urban areas;
(iii) enabling widespread access to data and new technologies.