LuxFLAG is a public-private initiative that operates independently and internationally. It is promoting the financing of sustainable and responsible investments through the award of labels. Due to its legal status, it is able to deliver the highest quality standards. It is backed by a strong expertise from the Luxembourg financial centre.
LuxFLAG is currently offering 5 labels which are as follows:
Fund Labels and Eligibility Criteria
Microfinance Label – at least 50% of the fund’s total asset must be within the Microfinance sector
ESG Label – 100% of portfolio must be screened against recognised ESG strategies
Environmental Label – at least 75% of fund’s total asset must be in environmental-related sectors
Climate Finance Label – at least 75% of fund’s total asset must be directly linked to climate change mitigation and/or adaptation activities
Green Bond Label
Green Bond Label – aligned to internationally recognised standards and Use of Proceeds to finance green projects
LuxFLAG Label Process
Obtaining one of LuxFLAG’s fund labels or its recently introduced Green Bond label, is a quality stamp of the highest degree.
Greenlit offers Fund Managers the following services in connection with the LuxFLAG labelling process:
- identify with fund manager which label to apply for in accordance with eligibility criteria and investment objectives of fund
- coordinate application form and submission documents including portfolio information
- coordinate timely submission application according to agency’s timeline
- dialogue with LuxFLAG during internal analysis and verification process
- support until award of relevant label
Greenlit offers Green Bond issuers the following services with the LuxFLAG labelling process:
- guidance on ICMA’s Principles or CBI’s standards
- establishing a robust framework aligned to market expectations
- ensuring framework is fit for submission to external reviewer for evaluation
- assistance with selecting and contracting the right external reviewer
- support during the review process until completion
- clear outline on ongoing annual obligations
- coordinate LuxFLAG application form and submission documents including portfolio information
- coordinate timely submission application according to
- dialogue with LuxFLAG during internal analysis and verification process
- support until award of relevant label
Contact us for more information.
Greenlit Consultancy Sarl
2, rue Belle Vue
L-7214 Bereldange
Luxembourg
P.+352 661-155-007