BNP Paribas Asset Management has broadened its horizons with the introduction of new, innovative financial products.
Known for its robust approach to providing strategic financial solutions, the firm is positioned as a leader in the evolving world of sustainable investments.
The launch of BNP Paribas Easy € Corp Bond SRI Fossil Free Ultrashort Duration UCITS ETF and BNP Paribas Easy USD Corp Bond SRI Fossil Free UCITS ETF is rooted in a drive to satisfy growing investor demand for systemic fixed income exposure, hinged on an ESG approach. Striking a balance between environmentally friendly investing and maintaining robust financial performance, the new products underscore a commitment to sustainability and ethical investing.
BNP Paribas Asset Management stands at the forefront of crafting top-tier financial and asset management services. Catering to a wide spectrum of clients, including individual investors, corporations, and institutions, it deploys comprehensive asset management solutions, designed to navigate through the intricacies of the global financial market, while placing a considerable emphasis on sustainability and ethical investing practices.
The BNP Paribas Easy € Corp Bond SRI Fossil Free Ultrashort Duration UCITS ETF is designed to mirror the performance of the Bloomberg MSCI Euro Corporate Ultrashort Fixed and Floating Rate SRI Index, applying MSCI’s sustainability criteria, and encompassing approximately 400 constituents. Concurrently, BNP Paribas Easy USD Corp Bond SRI Fossil Free UCITS ETF aims to emulate the Bloomberg MSCI US Corporate SRI Sustainable ex Fossil Fuel Bond Index, ensuring adherence to MSCI’s sustainability standards and integrating around 3,400 constituents with an average duration of 6.8 years.
Classified as Article 8 under the EU’s Sustainable Finance Disclosure Regulation (SFDR), these funds have been strategically listed on notable exchanges including Euronext Paris, Borsa Italiana, and Deutsche Börse Xetra, offering investors a transparent and regulation-compliant investment opportunity in the fixed income space.
Investors and financial analysts can anticipate a well-crafted investment mechanism that avoids entanglements with controversial sectors and fossil fuel, meeting stringent ESG criteria, including ‘red flag’ ESG controversy exclusions and the potential additional exclusion of the worst ESG-rated issuers.
BNP Paribas AM global head of development for etfs & index funds Lorraine Sereyjol-Garros said, “We launched our first ESG fixed income ETF in 2019, and have continued to expand our range ever since as we seek to meet growing investor demand for systematic fixed income exposure based on an ESG approach. These two new fossil-free funds offer investors additional asset allocation building blocks targeting low levels of tracking error relative to those of non-ESG benchmarks.”
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