Certain growth and fixed-income assets take the form of bonds held directly by EDF. Others consist of specialised collective investment funds on leading international markets and French general-purpose investment funds (FIVGs), managed by independent asset management companies. They take the form of open-end funds and “reserved” funds located in France, established for the Company.
The listed equity funds consist of international equities (mainly in North America but also in Europe, Asia-Pacific and emerging countries). Listed bonds and listed bond funds consist of sovereign and corporate bonds.
These investments are structured and managed in line with the strategic allocation, which takes into consideration international stock market cycles, for which the statistical inversion generally observed between equity market cycles and bond market cycles – as well as between geographical areas – has led the Company to define a long-term investment policy with appropriate allocation between growth assets and fixed-income assets.
Growth assets also include a small portion of funds invested in unlisted equities, and fixed-income assets also include a small portion of funds invested in unlisted debt. These funds are mainly managed by EDF Invest (see note 26.6.2).
In the course of operational asset monitoring, the Group applies long-term, specific management rules defined and supervised by its governance bodies (maximum investment ratios, volatility analyses and assessment of individual fund manager quality).
The yield assets managed by EDF Invest consist of assets related to investments in infrastructures and real estate, made either directly by EDF Invest or by investment funds under delegated management arrangements.
Through unlisted investment funds, EDF Invest also manages growth assets and fixed-income assets (see note 26.6.2).
At 31 December 2022, the assets managed by EDF Invest represent a total realisable value of €9,540 million, including €8,772 million of yield assets. Yield assets particularly include:
50.1% of EDF’s shares in CTE, amounting to €3,791 million at 31 December 2022 (€3,343 million at 31 December 2021);
EDF’s investments in Teréga, Energy Assets Group, Porterbrook, Autostrade per l’Italia, Q-Park, Aéroports de la Côte d’Azur, Madrileña Red de Gas (MRG), Géosel, Norlys Fiber, Databank, Nam Theun Power Company, in companies that own wind and solar power plants (in the United States, Canada, and the United Kingdom) and in companies that own real estate assets (Central Sicaf, Ecowest, Korian & Partenaires Immobilier, Issy Shift, 92 France).
Dedicated assets are classified in the balance sheet according to their accounting nature: investments, investment securities, and marketable securities.
Details of the portfolio at 31 December 2022 are as follows:
| 31/12/2022 | 31/12/2021 | ||||
|---|---|---|---|---|---|
| (in millions of euros) | Notes | Net book value | Realisable value | Net book value | Realisable value |
| Yield assets | 7,314 | 8,772 | 6,822 | 7,908 | |
| CTE (holding company for 100% of the shares in RTE) (1) | 16.2 | 2,705 | 3,791 | 2,705 | 3,343 |
| Investments other than CTE | 16.2 | 4,155 | 4,536 | 3,839 | 4,330 |
| Unlisted funds (EDF Invest) (2) | 16.5 | 433 | 424 | 278 | 235 |
| Cash instruments (Derivatives) | 18 & 30 | 21 | 21 | - | - |
| Growth assets | 9,990 | 12,251 | 10,776 | 15,320 | |
| Equities - shares in investment funds | 16.5 | 9,480 | 11,625 | 10,345 | 14,815 |
| Unlisted equity funds (EDF Invest) (2) | 16.5 | 505 | 553 | 436 | 519 |
| Cash instruments (Derivatives) | 18 & 30 | 5 | 73 | (5) | (14) |
| Fixed-income assets | 12,886 | 12,881 | 13,956 | 14,226 | |
| Bonds | 16.5 | 11,263 | 11,264 | 12,683 | 12,957 |
| Marketable securities - negotiable debt instruments | 19 | - | - | 50 | 50 |
| Unlisted debt funds (EDF Invest) (2) | 16.5 | 204 | 215 | 191 | 199 |
| Cash portfolio | 16.5 | 1,412 | 1,414 | 1,016 | 1,016 |
| Cash instruments (Derivatives) | 18 & 30 | 7 | (12) | 16 | 4 |
| TOTAL DEDICATED ASSETS (3) | 30,190 | 33,904 | 31,554 | 37,454 | |
(1) EDF’s investment of 50.1% of CTE, the company that holds 100% of the shares in RTE. The realisable value of CTE presented in the above table has been determined by an independent assessor, in the same way as for EDF Invest’s other assets.
(2) All EDF Invest funds are to be considered together, as their net book value totals €1,142 million (€905 million at 31 December 2021) for a realisable value of €1,192 million (€953 million at 31 December 2021).
(3) Limiting the value of certain investments in compliance with Article 16 of Decree 2007-243 concerning calculation of the regulatory realisable value of dedicated assets has no effect at 31 December 2022 or 2021.
Net book value and fair value include unmatured accrued interest.
