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BNP Paribas Asset Management launches US multi-factor credit fund

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BNP Paribas Asset Management
 

BNP Paribas Asset Management (‘BNPP AM’) announces the launch of Parvest US Multi-Factor Corporate Bond, a quantitative fund that invests in dollar-denominated, investment grade credit.  Launched on 27 June, the fund is the latest addition to the multi-factor range, managed by the quantitative management team within BNPP AM’s Multi-Asset, Quantitative & Solutions (MAQS) investment division.

Following on from the launch of Parvest QIS Multi-factor Credit Euro IG a year ago, the fund offers investors access to the same multi-factor approach applied to US credit.  It forms part of one of the market’s largest ranges of multi-factor funds, six of which were awarded French SRI (Socially Responsible Investment) certification in April under the guidelines set out by the Ministry of Economics & Finance.  Parvest US Multi-Factor Corporate Bond also aims to obtain SRI certification, through the integration of ESG (Environmental, Social and Governance) criteria into the investment process.

The investment approach combines several factors, including momentum, quality, valuation and risk.  It is based on quantitative analysis of fundamental indicators and market data, aiming to identify those bonds expected to deliver the best returns while maintaining a level of risk equivalent to that of its benchmark.

Olivier Laplénie, Head of Quant Fixed Income Portfolio Management at BNPP AM, comments: “BNP Paribas Asset Management is one of the first asset managers to offer such a full range of multi-factor funds, and the fact that six funds in the range now have SRI certification gives investors greater visibility.”

Charles Cresteil, Quantitative Investment Specialist at BNPP AM, comments: “Parvest US Multi-factor Corporate Bond offers a complementary solution to investors seeking to diversify their bond exposure.  The launch of a dollar credit fund alongside the existing euro fund means that the range now covers the main regions in both equity and fixed-income markets.  Furthermore, the integration of ESG criteria into the investment process means that the funds meet investors’ growing demand for sustainable investment solutions.”

 

Key information about Parvest US Multi-Factor Corporate Bond
ISIN code

 

I shares: LU1664649941

Privilege shares: LU1664649784

Classic shares: LU1664649354

Legal form A subfund of Parvest, a Luxembourg SICAV
Investment management firm BNP Paribas Asset Management Luxembourg
Delegated investment management firm BNP Paribas Asset Management France
Benchmark index Ice BofAML US Corporate (USD) RI
Launch date 27 June 2019
Capital guarantee? No
Current fees (estimated) I shares: 0.18%

Privilege shares: 0.28%

Classic shares: 0.63%

Maximum subscription fees I shares: none

Privilege shares: 3% (max)

Classic shares: 3% (max)

Redemption fees None
SRRI 2
Credit risk? Yes
Liquidity risk? Yes
Registered for sale France, Belgium, Luxembourg, Italy
Source: BNP Paribas Asset Management, July 2019

 

PRESS CONTACT

BNP Paribas Asset Management
Quentin Smith
+44 (0) 20 7063 7106
quentin.smith@bnpparibas.com

Investments in the fund are subject to market fluctuations and the risks inherent in investments in securities. The value of investments and the income they generate may go down as well as up and it is possible that investors will not recover their initial outlay, the funds described being at risk of capital loss.  For a Complete description and definition of risks, please consult the last available prospectus and KIID of the funds.  Investors considering subscribing to a fund should carefully read the most recent prospectus and KIID that can be downloaded free of charge from bnpparibas-am.com.

Additional information

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:

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
investment advice.

This material is issued and has been prepared by the investment management 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 Parvest US Multi-Factor Corporate Bond fund described herein has been established as a UCITS (in accordance with the UCITS Directive) in Luxembourg, the Fund has not been registered in the UK. Therefore the promotion of this Fund 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 divide nds 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 an d 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.

On the same subject:

Investments in the aforementioned fund are subject to market fluctuation and risks inherent in investing in securities. The value of investments and the revenue they generate can increase or decrease and it is possible that investors will not recover their initial investment. Source: BNP Paribas Asset Management.

UCITS OFFER NO GUARANTEED RETURNS AND PAST PERFORMANCES DO NOT GUARANTEE FUTURE ONES