The asset management company

Crédit Mutuel Capital Privé, subsidiary of Crédit Mutuel Equity, manages the FIPs (Local Investment Funds) and FCPIs (Innovation-focused Mutual Funds) of Groupe Crédit Mutuel Alliance Fédérale.

Created in 1998, It was approved by the AMF (French Financial Markets Regulator) with the number GP98-50.

The funds

FIPs invest primarily in regional small- and medium-sized companies (less than 250 employees and with a revenue below €50 million), and FCPIs invest in innovative companies creating products, processes, or technologies considered as innovative by Oséo.

These funds target experienced customers, looking for tax-exemption products or diversification products leading to private equity investment, and who do not need immediate liquidity (share buybacks are blocked for the entire lifespan of the funds, except in cases of force majeure). Subscribers must be informed of the associated risks, since these funds offer no guarantee regarding profitability or return on capital.

For more details, see the regulations of the funds:

Valuation of the funds

The valuation method primarily used by the asset management company is called the “prudent value” method. The unlisted companies in the portfolio are valued at their purchase price, except for the following cases:

  • Transaction with a third party significantly investing in the company’s equity: the company is valued according to the price of the transaction.
  • Profitability and cash flow generation for at least 2 consecutive fiscal years: implementation of valuation method(s) allowing to define a fair value for the company.
  • Significant and sustained decrease in activity or in development opportunities for the company: provisions are then made regarding the valuation of the company.

For more details, see the regulations of the funds: