07.13.2022

BNP Paribas Asset Management Outlines Strategic Ambitions

07.13.2022
Vela Trading Targets Fixed Income

BNP Paribas Asset Management (‘BNPP AM’) outlines its strategic ambitions to 2025.  Based on the successful repositioning of the business, which was completed between 2016 and 2021, BNPP AM now has solid and scalable foundations, and a clear value proposition.  It has demonstrated its resilience and agility in challenging times, and despite the current difficult economic and geopolitical environment, BNPP AM aims to pursue its trajectory and accelerate growth in a focused manner.  \

By 2025 BNPP AM’s ambitions are to:

  • be the sustainable asset manager of reference in Europe
  • define a clear pathway to net zero for its assets under management
  • have 90% of its open-ended funds classified as SFDR Article 8 or 91
  • continue to outperform its peer group in terms of growth.

Sandro Pierri, CEO of BNPP AM, comments:

“BNPP AM has built an integrated model that has delivered strong performance in difficult environments and demonstrated strength in a highly competitive landscape.  We have been able to grow and create value in a sustainable way for clients, employees and the community, and our aim is to maintain this momentum.  The asset management industry faces a period of profound change, driven by the need to reallocate capital towards a more sustainable and inclusive economy; new geopolitical dynamics; evolving regulation; technological transformation; and demographics, including a younger generation that demands more sustainability  for its savings.  With a resilient, flexible and scalable platform, BNPP AM is well positioned to continue to thrive in the face of these challenges.”

Over the past five years, BNPP AM has created a simplified and scalable platform based on a unified business model, differentiated investment capabilities, a state of the art distribution framework and an enhanced operational structure.  Sustainability was put at the core of this transformation, with the design and implementation of a Global Sustainability Strategy.  In 2021, BNPP AM marked a turning point by revising its strapline to ‘The sustainable investor for a changing world’ to better embody its core values, which are now embedded across the firm and its employees.  With a unique offering focused on sustainable investing, BNPP AM has gained significant market share through strong commercial traction and is now well placed to further accelerate its development.

The asset management industry is expected to continue to be driven by structural forces relating to sustainability, technology, demographics and geopolitics.  These disruptors, which are highly intertwined, are creating a rapidly-changing environment in which BNPP AM is well positioned to seize opportunities to generate value for clients, employees and the broader economy. BNPP AM’s strategic ambitions are based on its strong foundations and will be focused on:

  • Further strengthening five core investment capabilitieshigh conviction active strategies, private assets , multi-asset investments, emerging markets and liquidity solutions.
  • Leadership in sustainability: in line with our Global Sustainability Strategy that defines our corporate and investment philosophy, we aim to become the sustainable asset manager of reference in Europe, with  a science-led and transparent approach, continuing to expand our thematic fund range, including ESG ETFs, and further building our corporate culture of sustainability.
  • Focused distribution strategy: accelerate development with wholesale clients by addressing the evolving needs of distributors’ sustainability offering, while supporting institutional clients with an outcome-based approach in which the role of private assets will be growing.
  • Leveraging technology and digital: strengthen the investment platform capacity to generate returns by innovating in areas such as artificial intelligence, data, natural language processing and algorithmic portfolio optimisation; and further improve clients’ experience through full digitalisation of the client value chain.
  • Supporting savings transformation: reinforce BNPP AM’s position in the savings transformation in France and Europe by addressing the wider demographic and societal disruptions.  This includes the pensions challenge; the appetite of younger generations to save and invest in a more digital and sustainable way, and the evolving structures in emerging markets, where we are seeing a rapid growth of a new middle class with more sophisticated savings needs.

Source: BNPP AM

Related articles

  1. Aim is improve risk management, boost efficiency and enhance customer service.

  2. Buy Side Forced to Review Collateral Arrangements

    As rates and volatility rise, the need to optimise the value of collateral is greater than ever.

  3. The banks allegedly colluded to distort competition when trading bonds.

  4. Taylor Cable will lead Cowen Digital’s European and Asian activities.

  5. This opens the door for the delivery of the first live intraday repo market.