French pension fund AG2R La Mondiale has been awarded 'Pension fund of the year' in light of its green real estate policy, an ambitious programme of sustainable bond subscriptions, and an innovative approach to mitigating the financial impacts of greater life expectancy for its beneficiaries.
In particular, the pension fund looked at how longer life expectancy is expected to impact demand for retirement homes in France.
In 2022, AG2R La Mondiale finalised the acquisition of Ægide-Domitys, a French provider of senior living facilities, with the ambition to support 300 residences by 2030. Ægide-Domitys currently operates 134 residences.
"AG2R La Mondiale is seizing strategic opportunities, pursuing its investment programs in support of its ESG commitments and opening new paths in line with the group's missions and vocation," the group wrote in its awards submission.
"Ægide-Domitys operates buildings for a group whose real estate portfolio covers nearly 195 assets with a market value of over €7 billion ($7.6 billion). It also enables AG2R La Mondiale to broaden its longevity support offer while at the same time being a natural extension of its pension activities."
David Simon, deputy chief executive officer of finance, investment and risks at AG2R La Mondiale, commented: "The question of housing is one of the major challenges of the 'longevity society' and, after climate change, is one of our greatest challenges. Domitys is the missing link between an 'unsecured home' and a medicalised retirement house.
"AG2R La Mondiale has set itself the mission of accompanying its customers throughout their increasingly long lives."
One Sustainable Investment Awards judge said: "A pension fund investing in alternative retirement homes is to be commended."
AG2R La Mondiale also secured the Asset owner investor of the year award in this year's Environmental Finance's Bond Awards for the rapid expansion of its sustainable bond investment programme, particularly its significant focus on social bond and private debt investments.