French Labour Code
In forceFor the application of the second paragraph of Article L. 3334-11, the rules of the collective retirement savings plan define the conditions under which each participant is offered a savings allocation option with the aim of gradually reducing the financial risks weighing on the value of the assets held in the undertakings for collective investment in transferable securities or collective investments covered by paragraphs 1, 2 and 6 of sub-section 2, paragraph 2 or sub-paragraph 1 of paragraph 1 of sub-section 3, or sub-section 4 of section 2 of Chapter IV of Title I of Book II of the Monetary and Financial Code of the plan.
When the participant has chosen this option, or when it is a default allocation, in accordance with the provisions of the second paragraph of article L. 3334-11, it is organised as follows:
1° The allocation of the savings leads to a gradual increase in the proportion of the sums invested in one or more undertakings for collective investment in transferable securities or collective investments covered by paragraphs 1, 2 and 6 of sub-section 2, paragraph 2 or sub-paragraph 1 of paragraph 1 of sub-section 3, or sub-section 4 of section 2 of chapter IV of title I of book II of the Monetary and Financial Code with a low-risk investment profile, as defined at the time of authorisation under articles L. 214-3 and L. 214-24-24 of the Monetary and Financial Code;
2° No later than two years prior to the exit date of the collective retirement savings plan, at least 50% of the participant's share portfolio must consist of shares in mutual funds with a low-risk investment profile.
The plan rules determine the terms and conditions according to which the sums and units invested by the participant are gradually transferred to investment vehicles that meet the requirements of this article, taking into account the investment horizon selected or, failing that, the maturity date for leaving the plan.
