Our labels

Impact Label

Our Impact Label

Our Impact Label aims at rewarding Applicants whose mission is to invest in assets that support specific impact themes: microfinance/inclusive finance, social themes or climate and nature themes.

This category brings together our labels dedicated to tangible impact areas, and includes:

- LuxFLAG Microfinance Label (launched July 2006)
- LuxFLAG Environment Label (launched July 2011)*
- LuxFLAG Climate Finance Label (launched Sept 2016)*
- LuxFLAG Social Impact Label (launched Feb 2025)

*Now Climate and Nature Label

Microfinance

The Label was created in 2006 with the establishment of LuxFLAG and launched the world’s only Microfinance Label. It is historically the first Label created by LuxFLAG for its high standards and comprehensive evaluation of the microfinance investment funds’ approach. It underscores the effective integration of social performance considerations and financial inclusion principles, reflecting key criteria essential to the LuxFLAG Microfinance Label’s eligibility criteria. This Label is the only one to allow a tax exemption to the Labelled Product or Services as per Luxembourg Law.

Main Eligibility Criteria:
– ≥70% of portfolio in microfinance / inclusive finance

Exclusion Characteristics:
– Enhanced IFC Exclusion Policy

Other Specificity:
– Facilitate access to finance for low-income households (LIH) and small enterprises via direct or indirect investments

Eligibility Criteria Label Subscription Form GDR Exoneration Taxe d'Abonnement

Climate and Nature

The Climate and Nature Label was established in December 2025. It will be granted from Q1 2026 while the former Climate Finance and Environment Label holders will benefit from a transition period until 31st December 2026.

The Climate & Nature label is suitable for financial products and services investing in sectors and activities contributing to climate and/or other environmental outcomes.

Main Eligibility Criteria:
– have an investment strategy enabling the generation of a positive, measured and managed impact
– ≥70% of portfolio (excluding cash), that contribute to at least one of the Climate and Nature Themes (e.g. climate change mitigation, climate change adaptation, protection and restoration of biodiversity and resources, sustainable use and protection of water and marine resources, transition to a circular economy, and/or to pollution prevention and control), while avoiding or mitigating negative impact.

Exclusion Characteristics:
– Exclusion policy covering controversial jurisdictions, behaviour and weapons
– Additional exclusions depending on the investment strategy

Other Specificity:
– Assessment of each investment’s contribution is performed in-house or externally (or a combination of both) using a recognized methodology, framework or revenue threshold

Eligibility Criteria Label Subscription Form

Social Impact

Main Eligibility Criteria:
– Social impact strategy covering ≥50% of portfolio

Exclusion Characteristics:
– Enhanced IFC Exclusion Policy

Other Specificities:
Contribution to at least one Social Impact theme:
– Decent work
– Adequate living standards and wellbeing, and/or
– Inclusive & sustainable communities

Eligibility Criteria Label Subscription Form

Labelled Impact Products