MUMBAI, (GNI): BNP Paribas Asset Management India Pvt Ltd (Indian arm of BNP Paribas Investment Partners) today announced the launch of BNP Paribas Balanced Fund. The open-ended fund, aimed at investors seeking long-term wealth creation through a combination of equity, arbitrage and debt asset classes, will be available for subscription on 17 March 2017. It would have exposure ranging from 30-60% in equity and equity-related instruments, 5-10% in equity arbitrage and 30-60% in debt, money market instruments and liquid funds. Ultimately, the objective is to improve risk adjusted returns through diversification across these asset classes.
Commenting on the BNP Paribas Balanced Fund, Karthikraj Lakshmanan, Senior Equities Fund Manager, BNP Paribas Mutual Fund said, “We are focussed on long term wealth creation through a diversified portfolio of equity, arbitrage and debt. Our equity portfolio consists fundamentally of robust companies across market cap and sectors; and we aim to have a portfolio construct with a large cap bias and targeted small and mid-caps exposure. The strategy for this fund could be considered by conservative investors seeking limited exposure to equities.”
Explaining the fixed income strategy, Mr, Lakshmanan added that the team actively manages the debt portion of the portfolio with a view to generate reasonable income over time. Given prevailing market conditions, the team intends to target the shorter end of the yield curve.
Speaking with the media persons, Anand Shah, Deputy Chief Executive Officer and Chief Investment Officer, BNP Paribas Asset Management India Pvt. Ltd said, “BNP Paribas Investment Partners India is fully committed to continue innovating to meet our clients’ investment needs. The BNP Paribas Balanced Fund leverages on our in-house ‘Business Management Valuation’ model which helps us identify companies with better earnings growth. Our distinct investment approach ensures that we continue to provide long-term value for investors.”
This will be the fourteenth fund by BNP Paribas Mutual Fund since its foray into Indian market. The total average assets under management (AUM) currently stand at Rs.5977 crores. This is in addition to the US$1.04 billion (as of 28 Feb 2017) managed and advised by the company through its Offshore Advisory & Discretionary Portfolio Management for international investors.
Speaking about BNP Paribas Investment Partners is the dedicated, autonomous asset management business of BNP Paribas Group and offers the full range of asset management services to both institutional and retail clients around the world. As a client-centric organisation, BNP Paribas Investment Partners is structured around three business lines: Institutional, Distribution and Asia Pacific & Emerging Markets. We have globally some 700 investment professionals (1) each specialising in a particular asset class or product type. Our total assets under management are EUR560 billion(1).
- Source: BNP Paribas Investment Partners, as of 31 December 2016, assets under management and advisor
BNP Paribas Mutual Fund is the Indian arm of BNP Paribas Investment Partners, the autonomous asset management business of the BNP Paribas Group. With a team of highly-experienced investment professionals located across eight Indian cities, it offers a full range of equity and fixed income mutual funds to investors in India.
The NFO of BNP Paribas Balanced Fund is opening for subscription on 17th March. An open-ended fund, the Offer of units of Rs. 10 each during the New Fund Offer (NFO) period and continuous offer for units at NAV based prices. The Scheme would offer two plans: BNP Paribas Balanced Fund – Regular Plan and BNP Paribas Balanced Fund – Direct Plan. Each plan has two options: Growth Option and Dividend Option. BNP Paribas Balanced Fund is positioned between MIP and Equity fund from a risk-reward perspective. The Fund would have 30-60% in equity and equity related instruments, 5-10% in equity arbitrage and 30-60% in debt, money market instruments, liquid funds.
The total average assets under management (AUM) currently stand at Rs.5977 crores besides managing over US$ 1.04 billion through Offshore Advisory & Discretionary Portfolio Management for international investors (28-Feb-2017). Investors could subscribe to either of the two plans; and the NFO of BNP Paribas Balanced Fund closes on 31st March 2017.ends