#SAVINGS & FINANCIAL PRODUCTS
A fund must hold more than 75% of its assets in European securities to qualify for the PEA. Synthetic ETFs meet that quota while swapping the performance away: the government has dropped its plan to close that door in 2027.
Published on August 30, 2026 · to be rechecked on October 15, 2026
Article L. 221-31 of the French monetary and financial code restricts the PEA to funds holding more than 75% of their assets in eligible European securities. A synthetic ETF does hold that European basket, but swaps its performance for that of an index such as the S&P 500 or MSCI World. In late July 2026, a note from the Treasury sent to market participants proposed excluding such funds from the plan, on the grounds of redirecting savings towards the direct financing of European companies. On 26 August 2026, public accounts minister David Amiel announced that no tightening of eligibility conditions would appear in the 2027 budget bill.
Will S&P 500 and MSCI World ETFs disappear from the PEA?
Not in the 2027 budget bill, according to the ministerial announcement of 26 August 2026. But this is a political position, not yet a legal text: the bill's filing in the autumn remains the only real checkpoint.
In other words: the door is still open, but no one has locked it yet.
Four caveats, because they matter
- A ministerial announcement on social media does not carry the weight of a text. Until the 2027 budget bill is filed nothing is settled, and a parliamentary amendment always remains possible.
- The Treasury's July 2026 note was an administrative proposal put to market participants, not a decision: what has been dropped is a project that was never adopted.
- The 75% quota itself does not change. What was under discussion is how swap-based funds satisfy it, not the threshold.
- The Treasury's stated objective — redirecting PEA savings towards European companies — is not resolved. The question will probably return in another form.
Why it still matters: a savings rule can shift through an administrative note before any parliamentary debate.
For you
- How many decisions affecting your savings are settled in an administrative note rather than a voted text?
- Did you know an S&P 500 ETF held inside a PEA actually holds more than 75% European equities?
Source: article L. 221-31 of the French monetary and financial code (Légifrance); announcement by public accounts minister David Amiel, 26 August 2026.
View the source →