Mines ParisTech and the Observatory for Responsible Innovation have the pleasure and privilege to announce the award of the 2012 Dufrénoy Prize for Responsible Innovation, a distinction aiming at signaling remarkable initiatives for the development of a culture of responsibility in innovation. In accordance with the initial thematic focus of the Observatory for Responsible Innovation, the 2012 edition of the Dufrénoy Prize tackles responsibility in innovation in the financial services industry.
An open call for nomination was launched earlier in 2012, and a jury panel composed by the members of the Observatory’s Working Group on Responsible Innovation in Finance examined the nominations and proceeded to the selection of three initiatives that represent a remarkable contribution to responsible innovation in finance: the Reserve Bank of India, for its precautionary approach to the regulation of derivative markets; EGAMO, for the development of cooperative democratic principles in asset management; MyHemera, for its potentials for a transparent assessment of complex financial products. The three initiatives will be presented and receive the award during a ceremony to be held at Mines ParisTech, in Paris, on June 18, 2012.
The Reserve Bank of India, India’s Central Bank, was nominated for its calibration policy in the regulation of financial products (some background papers: Gopinath 2010, Epstein & Crotty 2009). The panel concluded that the Indian regulatory approach to OTC derivative markets, known for its precautionary gradual approach to the introduction of financial innovation, is a crucial source of inspiration for the development of a culture of responsible financial innovation in today’s world, a culture of testing and of attention to potential negative effects in the diffusion of new, sophisticated financial products.
EGAMO, the asset management service of the MGEN (Mutuelle Générale de l’Education Nationale, a French mutual insurance company), was nominated for its distinctive mutual approach to finance. The panel observed MGEN’s commitment to alternatives to a financial logic focused solely on high returns, and to the democratic governance of financial decisions.
MyHemera, a community web-based platform that aims at gathering and sharing several quantitative approaches for the valuation and risk assessment of complex derivative financial products through a simple modular architecture, was nominated for its potential contribution to a sound collective appraisal of financial products and the ensuing reduction of negative externalities in financial innovation. The panel considered this initiative as a promising path for a safer financial environment.
