Fri, Nov 22 2024
Leading global investment management company BNP Paribas Asset Management is to further demonstrate its dedication to sustainability and combating climate change by launching an eponymous Net Zero Transition Equity fund.
According to ESG News, the BNP Paribas Global Net Zero Transition Equity fund was introduced in response to growing investor demand for investment options that support net-zero goals.
The company wants to provide investors a cutting-edge approach that will help them achieve their sustainability objectives and generate substantial financial rewards.
The fund is an equity fund with Luxembourg domicile that aims to provide investors with exposure to a well-diversified strategy across markets, industries, and geographical areas.
The fund applies a Just Transition lens and focuses on enterprises committed to decarbonization and sustainable growth, with the primary goal of reaching net-zero alignment.
The fund's high conviction portfolio, which was chosen from a pool of more than 1,000 international companies with an emphasis on reaching net-zero emissions, is one of its primary characteristics. The portfolio has a strong representation of technology, industrials, and materials firms and is diversified by geography, size, and industry.
Furthermore, the fund is actively managed to consistently generate excess returns through the application of a behavioural basic approach.
Under the Sustainable Finance Disclosure Regulation (SFDR), the BNP Paribas Global Net Zero Transition Equity fund is categorized as Article 8 and is dedicated to making investments in "sustainable" holdings.
Additionally, the fund incorporates a charitable share class to help Electriciens Sans Frontières, a global non-governmental organization that combats electricity poverty and promotes sustainable energy sources.
"Investments towards companies providing solutions and those adopting solutions to decarbonize and thus contribute to net zero alignment can help achieve net zero," said Nadia Grant, Head of Global Equities at BNPP AM and Portfolio Manager of the BNP Paribas Global Net Zero Transition Equity fund. We hope to use our social and environmental experience and put an emphasis on involvement with this new equity fund, all while offering an inventive approach in line with BNPP AM Net Zero commitments.
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