Creating value
The FRR has paid:
- €2.1 billion per year to CADES since 2011 (from 2025 until 2033, the planned payment is €1.45 billion).
- €30 billion in total to CADES between 2011 and 2024, an amount corresponding to all the allocations it received, with €20 billion still under management at the end of 2024.
The FRR’s return is significantly higher than the cost of public debt thanks to a significant proportion of performance-based assets calibrated to optimise the achievement of the FRR’s financial objectives and comply with the preferences of the Supervisory Board.
Annual performance of FRR assets and weighted average cost of French debt
As a result, since 2010
the FRR has created €14.1 billion in value for the State
beyond the cost of financing OATs.
FRR value creation
compared to an investment at the cost of French debt (in billions of euros)
Investing as part of an ambitious responsible investment policy
Environmental, social and governance responsibility has been enshrined in the FRR’s foundational texts from the outset.
The FRR's 2024-2028 responsible investment strategy is structured around three priority areas:
1 Promoting energy and ecological transition
Low-carbon investments in France will need to increase by €110 billion in 2030 compared to 2021 (see SPAFTE – multi-year strategy for financing ecological transition).
- CO2 emissions from the equity portfolio have fallen by 60% since 2013 (-36% between 2019 and 2023) and are well below those of the strategic allocation index.
The FRR is committed to continuing this downward trend. - The FRR supports the transition of the highest-emitting companies by establishing a dialogue through management companies.
2 Promoting social equity
- The FRR requires that diversity ratios be respected within boards of directors (gender equality, presence of independent directors and employee representatives) and that pay gaps be limited (vote against management resolutions in 25% of cases).
- The FRR has joined the Strong Gender Initiative – 2019 and signed the Women’s Empowerment Principles, with the support of UN Women.
- The FRR supports intermediate housing.
- The FRR participates in social initiatives such as the Investor Statement on Bangladesh, an agreement on the textile industry.
3 Preserving biodiversity
- The FRR requires its management companies to submit annual reports on adverse effects on biodiversity and monitors remediation measures.
- The FRR has joined the Nature Action 100+ initiative.
Significantly supporting the development of the economy
At the end of 2023, France’s share of FRR investments amounted to 32% of assets. The FRR has a significant portfolio of unlisted assets (private debt, private equity, infrastructure, real estate) representing 15% of assets (€3 billion), approximately 80% of which is invested in France.
These investments support domestic job creation and the emergence of national champions in the field of technology (biotechnology, industrial and digital sovereignty, green energy in particular).
Changes in workforce numbers since the acquisition of a stake in the company
By comparison, the growth rate of employment
in the commercial sector in France over the period
was +1.3% per annum.
Source: France Invest
Discover
Organization & Governance
The FRR is the only EPA* with a Supervisory Board and an Executive Board. This organization aims to clearly separate the executive function from the guidance and oversight function.
Investment Strategy
The FRR was entrusted by the legislator with the mission of managing the funds allocated to it, in order to build up reserves to help ensure the sustainability of eligible pension schemes.
Responsible Investment Strategy
The FRR's mission is to invest and optimize returns on the monies entrusted to it by the public authorities on behalf of the community with the aim of financing the pension system.
FRR Publications
The FRR manages, on behalf of the community, the funds entrusted by the State in order to maximise returns and actively contribute to the financing of pensions.