BNP Paribas Investment Partners will develop as a provider of 'quality investment solutions' for individual, corporate and institutional investors; target annual growth in assets under management of 5%; and rebrand as BNP Paribas Asset Management (BNPP AM), as of 1 June, in order to support its strategy and a simpler organisation and accelerate the growth of its activities.
BNP Paribas Asset Management is enhancing its investment platform with the aim to delivering 'superior investment performance' for its clients, while recognizing the changing industry dynamics, such as the increasing polarisation between lower cost passive products and actively managed higher alpha funds.
The goal is to build on the firm's core strengths to become a 'leading provider of quality investment solutions for individual, corporate and institutional investors', according to Frederic Janbon, CEO of BNP Paribas Asset Management. 'We are investing in a scalable platform on which to base our future growth globally and achieve sustainable long-term success,' said Janbon. 'By streamlining our operating model and product range, we will be very well placed to deliver high-quality products and solutions at the right price to our clients. We believe that this will enable us to meet our growth targets and will be the key to our success.'
In order to deliver sustainable long term performance with a robust risk management and Environmental, Social and Governance (ESG) framework, BNPP AM will reinforce its proprietary research and build on existing quantitative and qualitative capabilities in both active and passive management, along with its equity and fixed income platforms.
Under the new set up, the company will leverage its expertise in smart beta strategies, multi-asset solutions and private debt capabilities with a focus on providing 'high quality, innovative solutions including advisory services and risk management to institutional clients'.
The firm is also targeting individual investors with outcome-based retirement savings products and capital protected products, and will provide access to digital platforms to distributors. Other digital initiatives will include partnering with fintechs in areas such as robo-advice, smart coding and artificial intelligence.
The organisational structure, governance, operating model and product range are being substantially simplified through a transformation program which include the creation of the private debt and real assets team which is headed by David Bouchoucha (pictured), incorporating a broad range of investment solutions in private debt instruments financing companies or assets such as infrastructure or real estate.
BNPP AM has also launched a project to combine the current Theam, multi asset solutions and CamGestion teams, which will be led by Denis Panel, current CEO of Theam.
With significant assets under management, this new group will bring together the best of quantitative and fundamental investment management approaches, to extend market share in a fast-growing segment of the industry. Theam offers a range of exchange-traded funds (ETFs), index solutions as well as dynamic proportion portfolio insurance (DPPI) products.
BNPP AM has a strong presence throughout Europe, a unique footprint in emerging markets and growing operations in the United States, and is seeking to leverage its footprint in Belgium, France, Italy and Luxembourg, as well as its presence in emerging markets, while accelerating its development in three key strategic countries: Germany, China and the US.
BNPP AM said it will continue to develop BNP Paribas Group's retail network while in the institutional market it will implement a targeted and bespoke approach to meeting the specific needs of different client segments. The new set up will also help to expand dedicated solutions to insurers and pension funds globally as part of its offering to corporates, central banks and sovereign wealth funds.
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