BNP Paribas Asset Management (BNPP AM) has strengthened its multi-factor range by launching a new fund that offers exposure to dollar-denominated, investment-grade credit.
Dubbed Parvest US Multi-Factor Corporate Bond, the new vehicle includes various factors such as momentum, quality, valuation and risk in its investment approach.
A quantitative analysis of fundamental indicators and market data is used in the process.
The aim is to pick bonds expected to offer the best returns.
The fund will be run by the quant management team within the firm’s Multi-Asset, Quantitative & Solutions (MAQS) unit.
The new fund also incorporates ESG criteria and targets SRI certification.
The other strategies in the multi-factor range already secured the certification.
BNPP AM quantitative investment specialist Charles Cresteil said: “Parvest US Multi-factor Corporate Bond offers a complementary solution to investors seeking to diversify their bond exposure.
“The launch of a dollar credit fund alongside the existing euro fund means that the range now covers the main regions in both equity and fixed-income markets.
“Furthermore, the integration of ESG criteria into the investment process means that the funds meet investors’ growing demand for sustainable investment solutions.”
The latest offering is similar to the euro credit fund launched by BNPP AM in 2018.
Some of BNPP AM’s other recent fund launches include the Parvest Disruptive Technology fund, which targets innovative technologies disrupting businesses.
The firm recently also launched Parvest Global Equity Absolute Return Strategy.