Milan, 30 August 2023 - F2i Sgr, Italy's leading infrastructure fund manager, has published its 2022 Integrated Sustainability Report, now in its fourth edition, which aims to share the ongoing commitment of F2i Sgr and the portfolio companies of the Funds it manages to sustainability issues, both in terms of governance and performance.
In 2022, the infrastructure assets managed by F2i made a positive contribution to the growth of Italy's economy. The Economic Value Generated reached EUR 11.5 billion, an increase of about 42% compared to 2021. The Economic Value Distributed to shareholders and stakeholders (employees, suppliers, public administration and lenders) exceeded EUR 10 billion (+39%). These results confirm the importance of F2i's role in the economy, whose objective is to create value for its investors and stakeholders by transforming the financial resources it manages into sustainable projects in the real economy.
The excellent financial results achieved were matched by the confirmation and strengthening of F2i's focus on ESG issues, both for the AMC and for the companies in the portfolio that it manages.
ESG governance was strengthened with the establishment of a dedicated organisational unit and the extension of the responsibilities of the "Risks and Control Committee" within the Board to cover sustainability issues. The "Risks, Control and Sustainability Committee" is now also tasked with supporting the AMC's Board of Directors in evaluating and deciding on these issues.
All the Funds established after the entry into force of Regulation (EU) No. 2019/2088 (SFDR) were established as SFDR Article 8 Funds, demonstrating the AMC's solid commitment to promoting the environmental and social characteristics of the assets acquired using the capital of these Funds, while simultaneously improving the corporate governance of the portfolio companies.
The numerous strategies implemented by the AMC have led to an upgrade in the GRESB Infrastructure Fund Assessment rating, with the management component achieving a score of 29/30, higher than the market benchmark. F2i is also a signatory of the UN Global Compact, aimed at promoting ten principles on human rights, labour, environment and anti-corruption.
The AMC's most significant commitment in terms of ESG concerned the engagement activities of the portfolio companies and ESG performance reporting. In 2022, all companies drew up their own sustainability report, even though only 4 of the 20 portfolio companies of the Equity Funds managed by the AMC reported in the 2022 Integrated Sustainability Report were required to do so. In addition, 17 companies have established, on an entirely voluntary basis, a three-year ESG plan, a vital tool for pursuing a path of improvement towards an increasingly sustainable model. The AMC's engagement efforts have prompted these companies to more fully reflect on the environmental and social impact of their activities and, consequently, on the management of these aspects, helping to disseminate a culture of sustainability to a system of companies that, at the end of 2022, included over 23,000 employees and numerous suppliers.
In terms of the environment, direct and indirect emissions were reduced by almost 4% in 2022 compared to 2021. There was across-the-board improvement in carbon intensity in all segments, particularly airports, telecommunication networks, and in energy for transition. The activities carried out by this last segment in the generation of electricity from renewable sources resulted in the avoidance of 1.2 million tonnes of CO2 equivalent emissions.
With reference to social aspects, it should be noted that 89% of the over 23,000 employees of the reported companies were on open-ended contracts, and their training hours, an average of 18 per employee, rose by 63% compared with 2021.
With regard to governance, it is worth noting that, in 2022, within the boards of directors of the portfolio companies, 35% of the members were of the least represented gender, an increase of 3% compared to 2021.
The 2022 Integrated Sustainability Report (available at www.f2isgr.it) provides a transparent account of the commitment made by F2i and the portfolio companies of the funds it manages or financed by those funds, to contribute to improving the environment and social living conditions, knowing that this commitment is not only a moral obligation but also one of the conditions for protecting and growing the assets entrusted to the AMC, as the link between sustainability, risk and business value is undeniable for F2i.