The Établissement de Retraite additionnelle de la Fonction publique (ERAFP) has invited tenders for three management mandates for a Sustainable and Responsible Investment (SRI) World Convertible Bonds portfolio.

The contracts include two active and one ‘stand-by’ mandate.

The managers will create and manage a sustainable and non-benchmarked portfolio of global convertible bonds to achieve a performance above the benchmark.

Managers are expected to build the portfolio through technical and fundamental analysis of each insurer and eligible financial instrument to optimise performance throughout the market.

The strategy is aligned with ERAFP’s SRI provisions and support the implementation of its climate commitments, particularly as part of the Net Zero Asset Owner Alliance.

The estimated value of these mandates is around €1bn. One of these mandates will be ‘stand-by’, meaning that ERAFP can activate it, particularly for risk dispersion.

The contract is for four years with the possibility for ERAFP renewing it for two successive one-year periods.

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