French ICMIF member La Fédération nationale de la Mutualité Française (FNMF or La Mutualité Française) has launched Mutuelles Impact, the first mutual investment fund with a social and environmental impact on the health and medical-social sector. The investment strategy will place as much importance on the social and environmental impacts created by the fund as on the financial return generated.
The Mutuelles Impact fund will aim to invest in and develop businesses with a strong social impact in the prevention, care and medical-social sectors. Thanks to the participation of 44 mutual insurance companies which are all members of Mutualité Française and the investment made by Mutualité Française itself the new fund has just completed its 1st closing and raised more than EUR 50 million. The ultimate goal is to raise a total of EUR 100 million.
Mutualité Française says the new fund will be managed by XAnge (Siparex group) and Investir & +, two benchmark private equity players with experience in social and environmental impact.
It is the ambition of Mutualité Française raise a total of 100 million euros in 2021 through the fund. It is hoped that the investments will come from the Federation’s member mutuals and that the fund will become a true leader in finance with social and environmental impact.
Alongside Mutualité Française, the 44 mutuals involved to date are:
Adrea Mutuelle – groupe AESIO, Carac, Matmut, Union Mutualiste Retraite, Tutélaire, Unéo, Groupe VYV, Klesia Mut’, La Mutuelle Générale, Harmonie Mutuelle, Mutuelle Générale de l’Education Nationale, Groupe Pasteur Mutualité, Intériale, Mutuelle BNP Paribas, Apicil Mutuelle, Mutuelle Malakoff Humanis, Mutuelle RATP, Radiance, Mutuelle Humanis Nationale, Mobilité Mutuelle, Mutuelle 403, Mutuelle des Métiers Electronique et Informatique, Mutuelle du Nickel, Mutuelle Entrain, Mutuelle MMH, Mutuelle Valeo, Mutuelle Solimut Centre Océan, Solimut Mutuelle de France, Mutlog, Mutuelle des services publics, Aubéane Mutuelle de France, BPCE Mutuelle, Mutami, Mutuelle de la Corse, Mutuelle de la Réunion, Mutuelle Générale Solidarité de la Réunion, Mutuelle Prévoyance du groupe Macif, Mutuelle des Sapeurs-pompiers de Paris, Mutuelle du Lacydon, Société Mutualiste des Hospitaliers, Mutuelle de France des Alpes du sud, Mutuelle des Affaires Etrangères et Européennes, Mutuelle Familiale, Mutuelle du Journal Ouest France.
These investors represent the mutualist movement in all its diversity says Mutualité Française: they include mutuals of all sizes, from all trades (health, healthcare and retirement etc) and from all walks of life (mutual companies, mutuals for civil servants, inter-professional mutuals and mutuals resulting from group provident fund).
Strengthen an economy that reconciles economic efficiency and general interest
In a statement this week, Mutualité Française said the challenges facing society call for a social and ecological transition of the economy to make it more sustainable and more united. Mutuals, says Mutualité Française, through their activities as healthcare providers and non-profit health insurers, are at the heart of this transformation.
Thierry Beaudet, President of Mutualité Française said: “Today, the mutualist movement wishes to go beyond its day-to-day commitments and consolidate its role as a long-term investor by supporting the development of companies that reconcile economic efficiency and general interest.”
Mutuelles Impact will put social and environmental impact at the heart of Mutualité Française’s investment strategy in the health and medical-social fields. The targeted intervention sectors will be:
- the organisation of care provision and the activity of its professionals;
- support for patients and caregivers;
- access to care;
- prevention;
- health education and awareness.
Thierry Beaudet said: “This investment fund is one of the contributions of the mutualist movement to the economic recovery plan to consolidate a sector of activity that is the foundation of social cohesion. Mutuals are at the heart of the reconstruction of an economy in the service of the general interest.”
An investment strategy to develop the economy with a social and environmental impact
The Mutuelles Impact fund sets itself the following investment criteria:
- helping young innovative companies with a strong social and environmental impact to grow in scale;
- the “positive” transformation of more mature companies which demonstrate solid CSR practices and engage with the fund to help in a structured transformation process with the aim of generating greater social and environmental impact.
The companies financed will be structures not listed on the regulated financial markets, primarily French. The fund will support companies on improving the four pillars of positive transition:
- social impact, in particular with solutions accessible to the most vulnerable people;
- environmental impact;
- value sharing;
- shared governance.
From initial financing to helping the financed companies grow
The mission of mutuals as insurer or care provider provide an ecosystem which is favourable to the deployment of innovation and to helping the companies which have been financed to grow.
One of the objectives of this fund is to create operational synergies between mutuals and funded companies. Innovative solutions will thus be integrated into mutual insurance offerings and/or deployed in the network of 2,800 mutual health care establishments and services.
Two key players selected to manage the Mutuelles Impact fund
XAnge, the Siparex group’s innovation team, and its partner Investir & + were selected following a call for tenders to manage this fund, which will take the form of a Professional Private Equity Fund. The two organisations combine experience in fund management with expertise in social and environmental impact.
XAnge combines impact expertise and the strength of the Siparex group, which manages more than 2 billion euros entrusted by institutional and family underwriters. Investir & + has been a benchmark player in social impact investing since 2012.
Picture shows: Thierry Beaudet, President of Mutualité Française at the Journées de rentrée Conference held by Mutualité Française in September 2019
