New ILB Labs study: 2016—2025 performance of Greenfin-labelled funds

In a landscape where sustainable finance is being structured at high speed, the question of Real performance of green funds remains central for investors, regulators and all stakeholders.
To provide a clear and documented answer, the teams of Data Lab And of theESG Lab from the Louis Bachelier Institute conducted an in-depth analysis covering nearly ten years of data (2016—2025) on labelled funds Greenfin.

Created by the Ministry of Ecological Transition in 2015, the Label Greenfin imposes strict requirements: total exclusion of fossil fuels, strong orientation towards green activities, regular audits, and since 2025, integration of the European taxonomy in the calculation of the green share. In April 2025, 130 funds were labelled, representing around €38 billion in assets under management.

Key findings from the study

Overall positive financial performance

Within the scope studied, the Greenfin funds show:

• one average annual return of 2.6%,
• one median of 5%, indicating that the majority of years have been favorable,
  despite considerable heterogeneity between funds and depending on the macroeconomic context.

Results close to reference markets

Compared to equivalent benchmark indices:

• the funds show returns close to those in traditional markets,
• With a slightly lower risk level,
  and no statistically significant difference over the period.

A performance superior to Livret A

Over nine years, an investment of €100 in early 2016 would have become:

• 128€ in a Greenfin fund,
• 113€ in the Livret A.

This superior performance is naturally accompanied by greater volatility, but it shows the ability of Greenfin funds to create value in the long term.

A portfolio aligned with environmental goals

The sectoral analysis confirms a strong exposure:

• To the power generation,
• aux electrical equipment,
• At rail transport,
  sectors considered essential to the ecological transition.

A focus on asset classes

The European and American equities in the funds seem to have generated a significant excess yield in relation to the markets.
Conversely, the results are more mixed for other geographical areas or obligations, where the statistical models applied (CAPM, Fama-French) do not allow robust conclusions to be drawn.

Competitive management fees

The fees observed:

• 1% to 2% for equity funds,
• 0.5% to 1% for bond funds,
  are located within the European average or slightly below, reinforcing the attractiveness of the label.

In summary

Greenfin funds:
✔ generate value over the long term,
✔ behave in a manner comparable to markets,
✔ significantly exceed Livret A,
✔ and remain consistent with the ecological objectives of the label.

Read the full report 👉 hither

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