BNP Paribas Asset Management (‘BNPP AM’) announces the launch of Parvest Disruptive Technology, a fund investing in innovative technologies that enable transformative business models and allow businesses to improve their efficiency and provide new products and services.
Launched on 16 November, Parvest Disruptive Technology is a sub-fund of the Luxembourg-registered Parvest SICAV and is currently valued at EUR 181 million (as at 30 November 2017). It is managed in Boston by Pam Hegarty of BNPP AM’s Global Specialist & Thematic Equity team. She is supported by the wider US Equity and Global Sector Equity teams, as well as benefiting from the research and expertise of BNPP AM’s European, Asian, Global and Emerging Markets equity teams.
The portfolio is concentrated yet diversified, consisting of 30 to 50 holdings in companies with a minimum market capitalisation of USD 1 billion, selected from the MSCI World Index. The investment approach combines top down and bottom up analysis: thematic and industry analysis is used to identify companies that are enabling or benefiting from transformative technology themes. This is complemented by rigorous fundamental research to identify those companies with the highest growth potential and greatest competitive strengths. The portfolio is then constructed in accordance with BNPP AM’s internal environmental, social & governance criteria, and is subject to ongoing risk management.
Innovative technology is enabling significant transformation across the global economy. Current secular themes include cloud computing, artificial intelligence & data analytics, automation & robotics, augmented & virtual reality, and the internet of things. These themes have wide-reaching implications across sectors such as industrials, healthcare, financial services, consumer and energy. Examples in the consumer sector include e-commerce, home automation and driverless cars, while financial services are benefiting from digitisation, fraud prevention, payment technology and blockchain.
Pam Hegarty, Manager of Parvest Disruptive Technology, comments:
“The impact of technological innovation is being felt across a broad range of areas beyond just the technology sector itself. It is having a widespread impact on many aspects of our daily lives, and brings with it many exciting investment opportunities. Parvest Disruptive Technology identifies and invests in those companies that are leaders in or beneficiaries of transformational technologies, while avoiding those that are threatened by the forces of change. We believe that companies that enable or adopt innovative technologies and business models will produce superior long term growth and returns on invested capital. A portfolio of these stocks should therefore deliver outperformance to investors over the long term.”
About BNP Paribas Asset Management BNP Paribas Asset Management is the investment management arm of BNP Paribas, one of the world’s major financial institutions. Managing and advising EUR 571 billion in assets as at 30 September 2017, BNP Paribas Asset Management offers a comprehensive range of active, passive and quantitative investment solutions covering a broad spectrum of asset classes and regions. With more than 700 investment professionals and around 600 client servicing specialists, BNP Paribas Asset Management serves individual, corporate and institutional investors in 73 countries around the world. Since 2002, BNP Paribas Asset Management has been a major player in sustainable and responsible investing. ‘BNP PARIBAS ASSET MANAGEMENT UK Limited, “the investment management company”, is authorised and regulated by the Financial Conduct Authority. Registered in England No: 02474627, registered office: 5 Aldermanbury Square, London, England, EC2V 7BP, United Kingdom. This material is issued and has been prepared by the investment management company. This material is produced for information purposes only and does not constitute: 1. an offer to buy nor a solicitation to sell, nor shall it form the basis of or be relied upon in connection with any contract or commitment whatsoever, or 2. investment advice. This material makes reference to certain financial instruments and no action has been taken which would permit the public offering of the financial instrument(s) in any other jurisdiction, except as indicated in the most recent offering documents. Opinions included in this material constitute the judgement of the investment management company at the time specified and may be subject to change without notice. The investment management company is not obliged to update or alter the information or opinions contained within this material. Investors should consult their own legal and tax advisors in respect of legal, accounting, domicile and tax advice prior to investing in the financial instrument(s) in order to make an independent determination of the suitability and consequences of an investment therein, if permitted. Please note that different types of investments, if contained within this material, involve varying degrees of risk and there can be no assurance that any specific investment may either be suitable, appropriate or profitable for an investor’s investment portfolio. Given the economic and market risks, there can be no assurance that the financial instrument(s) will achieve its/ their investment objectives. Returns may be affected by, amongst other things, investment strategies or objectives of the financial instrument(s) and material market and economic conditions, including interest rates, market terms and general market conditions. The different strategies applied to the financial instruments may have a significant effect on the results portrayed in this material. This document is directed only at person(s) who have professional experience in matters relating to investments (“relevant persons”). Any investment or investment activity to which this document relates is available only to and will be engaged in only with Professional Clients as defined in the rules of the Financial Conduct Authority. Any person who is not a relevant person should not act or rely on this document or any of its contents.