Fact panel
| Investee: BNP Paribas Funds Inclusive Growth | Investor: BNPP AM |
|---|---|
| Sector: Inclusive growth (social) | Sector: Finance, banking |
| Type of investments: Global Listed Equity | Asset Manager, 100% part of BNP Paribas Group |
| Type of investee: B | AuM: €612 billion |
| Country of investment: Luxemburg UCITS fund | Country: France |
| Investment strategy: Sustainable investing | Activity: Private assets, High Conviction Active Strategies, Emerging Markets, Quantitative & Index and Liquidity Solutions |
| Ticket size of the investment: Fund size: €639 million (29.08.25) | |
| Range of Investment tickets: as from 1 share (NAV) | |
| Type of investor: Private and institutional clients | |
| Expected return (of the fund): Similar to market return | |
| Characteristics: SFDR: Art. 9 fund |
The what: BNP Paribas Funds Inclusive Growth
Problem addressed
Inequality is more than just a social issue. Lack of access to opportunities or social mobility can lead to significant disparities in income and, as a result, threaten trust in institutions and economic health. Tackling inequality can improve social cohesion, financial market stability and overall quality of life, both individual and collective.
Solution provided by BNP Paribas Asset Management
BNP Paribas Asset Management believes companies which promote strong social practices and offer equal opportunities can not only benefit society but also generate potential returns for investors. Businesses that commit to inclusive practices can help contribute to economic growth, reverse wage stagnation and increase purchasing power.
For the ‘Inclusive Growth Fund’, BNPP AM uses their Inclusive Growth scoring model to assess how companies are tackling inequality in five areas: decent work, social mobility, access to quality products and services, business ethics and decarbonisation. The fund’s social-investment framework allows them to screen stocks and build a diversified portfolio. Selecting companies with inclusive practices can potentially enhance returns.
The top 10 of the BNP Paribas Funds Inclusive Growth are: NVIDIA Corp, Microsoft Corp, VISA INC CLASS, Lowes companies, Astrazeneca PLC, Palo Alto Networks, Boston Scientific Group, S&P Global, Walt Disney, Natwest Group
By putting forward measurable sustainable investments, BNP Paribas Funds Inclusive Growth is an art. 9 fund according to SFDR (09/202) regulation.
The how: BNP Paribas Asset Management
General presentation of BNPP AM
BNP Paribas Asset Management (BNPP AM) is the investment management business of BNP Paribas, a leading banking group in Europe with international reach. BNPP AM aims to generate long-term sustainable returns for its clients, based on a sustainability-driven approach. BNPP AM focuses its expertise on five core capabilities, Private Assets, High Conviction Active Strategies, Emerging Markets, Systematic, Quantitative & Index and Liquidity Solutions, with investment processes incorporating quantitative, ESG and fundamental research. These capabilities can be combined into multi-asset solutions aligned with our clients’ goals.
Sustainability is core to BNPP AM’s strategy and investment philosophy. Among the leaders in thematic investment in Europe, BNPP AM intends to contribute to a successful Energy transition, healthy Ecosystems, and greater Equality in our societies (our “3Es”). BNPP AM currently manages €612 billion of assets (€723 billion of assets under management and advisory) and benefits from the expertise of more than 500 investment professionals and around 400 client servicing specialists, serving individual, corporate and institutional clients in 64 countries.
Intentionality
At BNP Paribas Asset Management, they are working towards a world where all investing is responsible. For BNPP AM investing responsibly is not just about embracing the social values and global concerns they share with their clients, it is about investing in a brighter future that delivers long-term rewards for both their clients and future generations. BNPP AM acknowledges the importance of their role in representing the interests of their clients to the management teams of the companies in which they invest.
Impact measurement and management
BNPP AM uses stewardship, proxy voting, company engagement and public policy advocacy, to encourage companies and policy makers to improve their performance on sustainability topics. Promoting good ESG standards is an essential part of their ownership responsibilities. Being long-term investors enables them to develop productive relationships, allowing them to engage in the issues that are most relevant to their investment cases. In 2019, BNPP AM enhanced their investment philosophy with the development of a set of six investment beliefs focused on sustainability. They updated them as part of their Global Sustainability Strategy update in 2023.
Additionality
The additionality of investments in listed equities is generally limited, given their relatively high liquidity: buying or selling shares on the secondary market does not directly channel new capital into companies. However, by clearly articulating specific objectives through its Inclusive Growth Fund, BNPP AM signals its priorities to the market. In doing so, it helps to steer capital flows toward businesses that actively promote social inclusion and reduce inequalities, and it raises awareness among both investors and companies about the importance of aligning financial performance with positive social outcomes.
More information
- BNPParibas
- sustainability within BNPParibas
