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Thirty years ago, a discreet and innovative financial tool was born: the 90/10 solidarity funds. Long overlooked, these funds have become a pillar of the employee savings schemes in France, while financing the development of the Social and Solidarity Economy (SSE). Today, their success extends beyond borders and is attracting interest from our European neighbours.
A unique mechanism, a social ambition
Since 2001, companies are legally bound to offer at least one solidarity fund as part of their employee savings schemes. The principle? To allocate between 5% and 10% of the assets to SSE projects. The rest is invested in traditional assets (shares, bonds) or responsible management. It is a winning formula that allows employees to combine returns with social impact, and that was reinforced by the 2019 “Pacte” law.
The French Social and Solidarity Economy is a diverse ecosystem including associations, work integration social enterprises, cooperatives, social landlords, microfinance actors and more. They all share a common mission: to reduce inequalities, promote inclusion and place people at the heart of the economy.
A dual commitment for businesses
By investing capitals coming from profit-sharing or incentive schemes into these funds, business owners offer their employees the opportunity to give meaning to their savings. It also represents a powerful act for the company: engaging in a solidarity-based approach, supporting projects rooted in the ground and demonstrating a true commitment to social responsibility.
With such compelling advantages, 90/10 funds have a bright future ahead of them. What if their current success is only the beginning?
All citizens are concerned
These 90/10 funds are not only available to employees with a savings plan but even to individual savers directly through their bank or mutual insurance company via FCPs (mutual funds), SICAVs (open-ended investment companies) or FIPs (local investment funds).
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