BNP Paribas Asset Management (BNPP AM) has expanded its institutional capabilities in the US with the launch of an actively managed emerging markets fixed income mutual fund.
The BNPP AM Emerging Market Total Return Fixed Income Fund seeks to provide investors with risk-adjusted returns and enhanced diversification opportunities by investing primarily in fixed income instruments issued by emerging entities, both sovereign and non-sovereign, denominated in local and hard currencies. The fund’s strategy is based on US dollar and local currency denominated capabilities, with dynamic and active allocation and a flexible risk budget between the two. It focuses on four alpha drivers, sovereign credit, corporate credit, interest rates and foreign exchange, to identify potential opportunities.
The Fund will be managed by L Bryan Carter, CFA, Head of Emerging Market Fixed Income at BNP Paribas Asset Management and JC Sambor, Deputy Head of Emerging Market Fixed Income at BNP Paribas Asset Management. They are supported by a highly experienced and diverse team with 12 dedicated members who average 14 years of investment experience. The team currently manages USD3.2 billion as of 31 December, 2017.
The fund is low-cost and actively managed featuring attractive initial expense ratios of 0.30 per cent for institutional shares; 0.45 per cent for investor shares; and 0.70 per cent for retail shares.
“We are pleased to launch our first in a limited number of actively managed US mutual funds to address both institutional and retail investors’ needs. These mutual funds meet a growing demand for more flexible vehicles beyond our traditional institutional offerings leveraging specific areas of expertise such as emerging markets,” says Daniel Klein, CEO of BNP Paribas Asset Management North America.
The BNPP AM Emerging Market Total Return Fixed Income Fund is now available for investment under the following tickers: Institutional Shares: BNPLX; Investor Shares: BNPMX and Retail Shares: BNPNX.
