BNP Paribas Asset Management expands sustainable fixed income ETF range

March 25, 2021

BNP Paribas Asset Management (‘BNPP AM’) announces the expansion of its indexed fund range with the launch of three new ETFs[1] linked to sustainable fixed income indices:

  • BNP Paribas Easy EUR High Yield SRI Fossil Free UCITS ETF replicates an index that selects the top-rated euro high yield corporate issuers
  • BNP Paribas Easy JPM ESG EMBI Global Diversified Composite UCITS ETF invests in emerging market sovereign and quasi-sovereign bonds issued in US dollars
  • BNP Paribas Easy JPM ESG EMU Government Bond IG 3-5 Year UCITS ETF tracks an index of Eurozone government bonds denominated in euros, with maturities of 3 to 5 years

Index constituents are selected on the basis of extra financial criteria, excluding those issuers who fail to comply with the principles of the United Nations Global Compact and, depending on the index, are involved in controversial areas such as civilian firearms, military weapons, tobacco or fossil fuels.

BNPP AM’s range of fixed income ETFs consists of six funds that replicate SRI[2] or ESG[3]  indices.  With a responsible investment approach at the heart of its strategies, BNPP AM manages EUR 10.1 billion in SRI and ESG index funds, including EUR 2.5 billion in fixed income[4].

Isabelle Bourcier, Head of Quantitative & Index Management at BNP Paribas Asset Management, comments:
“These fund launches are part of a dual approach of developing our ESG offering and our fixed income index range.  We are maintaining the momentum within our responsible offering, in line with the expectations of our institutional and retail clients.”

The new funds are listed on Euronext Paris.  Key characteristics are as follows:

Fund

Share class

Currency

ISIN code

Replication

Ongoing charge *

SRRI **

BNP Paribas Easy € High Yield
SRI Fossil Free UCITS ETF

Capitalisation

EUR

LU2244386053

Physical

0.35%

4

BNP Paribas Easy € High Yield
SRI Fossil Free UCITS ETF

Distribution

EUR

LU2244386137

Physical

0.35%

4

BNP Paribas Easy JPM ESG EMBI
Global Diversified Composite UCITS ETF

Capitalisation

USD

LU1547515053

Physical

0.25%

4

BNP Paribas Easy JPM ESG EMBI
Global Diversified Composite UCITS ETF

Capitalisation

EUR

LU1547515137

Physical

0.25%

4

BNP Paribas Easy JPM ESG EMU
Government Bond IG 3-5 Year UCITS ETF

Capitalisation

EUR

LU2244387457

Physical

0.15%

2

Custodian: BNP Paribas Asset Management Luxembourg
* Source: BNP Paribas Asset Management
** Synthetic Risk and Reward Indicator, based on five-year rolling calculation of volatility; scale of 1 (least risky) to 7 (most volatile)
 

- ENDS -

 


Footnotes

  1. ^ [1] Exchange Traded Funds
  2. ^ [2] Socially Responsible Investment
  3. ^ [3] Environmental, Social & Governance
  4. ^ [4] Source: BNP Paribas Asset Management, as at 26 February 2021

BNP Paribas Easy is BNP Paribas Asset Management's range of ETFs and index funds.  It is based on three areas of expertise: ESG, core portfolio and smart beta.  It allows institutional and retail investors to benefit from exposure to the main asset classes (equities, bonds, commodities, listed real estate) and geographical areas.  BNP Paribas Easy has pioneered the development of numerous areas of expertise within index management and was among the first to launch ETFs on low carbon, the circular economy, listed real estate and the blue economy.  Its capacity for innovation and the quality of its management are regularly recognised.

BNP Paribas Easy is a Luxembourg SICAV in accordance with Directive 2009/65/EC.  Investments made in funds are subject to market fluctuations and the risks inherent in investments in transferable securities.  The value of investments and the income from them can go down as well as up and investors may not get back their full investment.  The funds described present a risk of capital loss.  For a more complete definition and description of risks, please refer to the prospectus and KIID available free of charge at www.easy.bnpparibas.fr.  Past performance is no guarantee of future performance.

BNP PARIBAS ASSET MANAGEMENT UK Limited, ‘the investment company’, is authorised and regulated by the Financial Conduct Authority.  Registered in England No: 02474627, registered office: 5 Aldermanbury Square, London, England, EC2V 7BP, United Kingdom.

This material is produced for information purposes only and does not constitute:

1.          an offer to buy nor a solicitation to sell, nor shall it form the basis of or be relied upon in connection with any contract or commitment whatsoever or
2.          investment advice.

This material is issued and has been prepared by the investment company.  It contains opinions and statistical data that are considered lawful and correct on the day of their publication according to the economic and financial environment at the time.  This document does not constitute investment advice or form part of an offer or invitation to subscribe for or to purchase any financial instrument(s) nor shall it or any part of it form the basis of any contract or commitment whatsoever.

Whilst the funds described herein have been established as UCITS (in accordance with the UCITS Directive) in Luxembourg, they have not been registered in the UK.  Therefore the promotion of these funds and the distribution of this document in the UK are accordingly restricted by law.

This document is provided without knowledge of an investors’ situation.  Prior to any subscription, investors should verify in which countries the financial instruments referred to in this document refers are registered and authorised for public sale.  In particular financial instruments cannot be offered or sold publicly in the United States.  Investors considering subscriptions should read carefully the most recent prospectus and Key Investor Information Document (KIID) agreed by the regulatory authority, available on the website.  Investors are invited to consult the most recent financial reports, which are also available on the website.  Investors should consult their own legal and tax advisors prior to investing.  Given the economic and market risks, there can be no assurance that the financial instrument(s) will achieve its investment objectives.  Their value can decrease as well as increase. In particular, changes in currency exchange rates may affect the value of an investment.  Performance that is shown net of management fees and is calculated using global returns with time factored in, with net dividends and reinvested interest, and does not include subscription-redemption fees, exchange rate fees or tax.  Any gross of fees performance included in this material do not reflect the deduction of commission, fees and other expenses incurred.  Returns will be reduced after the deduction of such fees.  Past performance is not a guarantee of future results.

This document is directed only at person(s) who have professional experience in matters relating to investments (‘relevant persons’).  Any investment or investment activity to which this document relates is available only to and will be engaged in only with Professional Clients as defined in the rules of the Financial Conduct Authority.  Any person who is not a relevant person should not act or rely on this document or any of its contents.

All information referred to in the present document is available at www.bnpparibas-am.com.

This is a Marketing Communication for Professional Investors only.  No assurance can be given that any forecast, target or opinion will materialise.

As at March 2021.

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