Second-Party Opinion Download

Sustainalytics is of the opinion that the AXA Sustainability Bond Framework is credible and impactful and aligns with the Sustainability Bond Guidelines 2018, Green Bond Principles 2018, and Social Bond Principles 2020. This assessment is based on the following:

USE OF PROCEEDS

The eligible categories1 for the use of proceeds are aligned with those recognized by both the Green Bond Principles and Social Bond Principles. Sustainalytics considers that the eligible categories will lead to positive environmental or social impacts and advance the UN Sustainable Development Goals, specifically SDG 3, 7, 8, 9, 11, and 15.

PROJECT EVALUATION/SELECTION

The Group’s internal process for evaluating and selecting projects is overseen by the Sustainability Bond Committee (SBC) which is expected to meet semi-annually. The Group’s Responsible Investment Committee (RIC) chaired by the Group CIO will act as the SBC. The SBC is responsible for evaluating and validating the pool of eligible projects and monitoring the pool of eligible projects during the lifetime of the bonds. Sustainalytics considers this process in line with market practice.

MANAGEMENT OF PROCEEDS

AXA’s process for management of proceeds is overseen by the Group Investment department (GIA). Proceeds will be tracked and allocated through a tracking system implemented within GIA’s investment controlling system. Pending full allocation, the funds will be allocated to temporary investments such as cash, cash equivalent and/or other liquid marketable investments in accordance with the Group’s Responsible Investment policy. Sustainalytics considers this process in line with market practice.

REPORTING

AXA intends to report on allocation of proceeds on its website on an annual basis until full allocation. The allocation report will provide details such as the aggregate amount of proceeds allocated to eligible projects, the share of financing versus refinancing, aggregate amount of unallocated proceeds, breakdown of total amount of eligible green and social projects per category, and geographical breakdown of eligible green and social projects. In addition, AXA is committed to reporting on relevant output and impact metrics. Sustainalytics views AXA’s allocation and impact reporting as aligned with market practice.