A long-term investor on the financial markets
Caisse des Dépôts is one of the very largest long-term French investors on the financial markets. The prime objective assigned to the management of its portfolios of securities is to release every year a lasting profit which allows it, on the one hand, to boost its financial solidity and, on the other hand, to make its public interest investments.
Caisse des Dépôts possesses a broad portfolio, managed according to essentially financial criteria. It also has strategic holdings in companies whose growth it aims to support, first and foremost among which are the subsidiaries of its Group.
The total amount invested by Caisse des Dépôts on the financial markets was €50bn at the end of 2007, not including cash investments. This total includes around €13bn held in the capital of its subsidiaries and strategic stakes, and €37bn in financial, property and forestry assets.
The largest investor in shares in the Paris financial community
Caisse des Dépôts has a capital stake in 250 companies, most of which are French, and is the largest or second largest shareholder in 13 CAC 40 companies. Its stake is very important but must be placed in the perspective of the total stock market capitalisation of the Paris financial market, which is around €1,500bn.
A patient and faithfull shareholder
As with all its investments on the financial markets, Caisse des Dépôts manages its share portfolios first and foremost with a view to profitability (dividend and capital gains), but also with a long-term view. It holds many of its securities over a long period - between 5 and 10 years. Over this holding period, the performance of its portfolios compares very advantageously to the major financial indexes, such as the CAC 40.
It is a demanding shareholder in terms of the level of profitability of its investments, but also a patient and faithfull shareholder: in order to grow, companies need the backing of stable share ownership.
Property and forestry investments
In addition to the assets it holds on the financial markets, Caisse des Dépôts also has profitable real estate holdings, managed with the objective of holding the assets over the long term. The value of the holdings at the end of 2008 was €2.2bn. It is also the largest private owner of forests in France, with forestry assets which directly and indirectly cover over 42,000 hectares.
A rigorous framework of rules
Caisse des Dépôts bases its activities as a market investor on a rigorous set of rules. The economic modernisation act of 4 August 2008 also estabished, within the Supervisory Board, an investments committee responsible for examining, before any decision is made, the most significant financial transactions.
The stock portfolio management policy implemented by Caisse des Dépôts entails finding the most favourable balance between return and risk, in other words: ensuring a return which is as high and regular as possible while minimising risk-taking, in the utmost transparency and liquidity. Caisse des Dépôts, which has a triple A credit rating, and whose major assets are reliability, security and confidence, owes it to itself to be as demanding as anyone with regard to the subject.
A socially responsible approach
In all its investment decisions, Caisse des Dépôts adopts a socially responsible approach, taking into account the expertise of corporate responsibility rating agencies and being particularly carefully in the development of employee share ownership. In the same way, it haves a dialogue on social and environmental issues with the companies in which it invests. With regard to the stock-market listed companies in which it is a shareholder, it also applies a voting guide influenced by best financial practices in resolutions submitted to general meetings and concerning governance
These responsible investment commitments are also applied by its subsidiary CNP Assurances, and for the funds which it manages: savings funds, the Fonds de réserve des retraites and the Régime additionnel pour la Fonction publique.
