BNP Paribas Funds Green Tigers Class C (VN30)

Overview

BNP Paribas Funds Green Tigers Class C is a capitalization share class of an equity mutual fund that is managed by BNP Paribas Asset Management. Domiciled in Luxembourg, it serves as a sub-fund of the BNP Paribas Funds SICAV. The fund primarily focuses on investing in approximately 40-45 companies within the Asia-Pacific region. Its main objective is to support companies that provide innovative solutions to critical environmental challenges, particularly in the context of rapid urbanization, industrialization, and pollution pressures.

The fund emphasizes key sectors such as information technology and industrials, with notable allocations to major countries like China, Taiwan, Japan, and India. Top holdings include prominent firms like Delta Electronics Inc. and Shenzhen Inovance Technology Co Ltd A. Classified under SFDR Article 9 for sustainable investments, the fund showcases a strong Environmental, Social, and Governance (ESG) global score of around 59, which exceeds its benchmark. It also ensures that the entire portfolio maintains ESG focus, particularly on contributions towards climate change mitigation and resource efficiency.

In terms of risk, the fund is benchmarked against a composite that includes 20% MSCI Japan (NR) and 80% MSCI AC Asia Pacific ex-Japan (NR) and holds a medium risk rating of 4 out of 7. This reflects the inherent volatility associated with equity markets and emerging market exposures. With a fund size nearing USD 500-600 million and conducting daily NAV calculations in USD, BNP Paribas Funds Green Tigers Class C plays a crucial role in promoting sustainable investing by targeting growing environmental technology markets within the Asia-Pacific region.

Products and Services

• Equity Mutual Fund: This fund is dedicated to investing in a diversified portfolio of approximately 40-45 companies that are primarily located in the Asia-Pacific region. By focusing on firms addressing environmental challenges, the fund seeks both financial returns and positive social impact.
• Sustainable Investment Strategy: The fund operates under the SFDR Article 9 classification, allowing it to meet stringent criteria for sustainable investments. This strategy ensures that all holdings contribute positively to environmental goals such as climate change mitigation and resource efficiency.
• ESG Portfolio Management: With an ESG global score of approximately 59, the fund exemplifies commitment to responsible investing. It ensures full portfolio ESG coverage, prioritizing companies with strong environmental practices as part of its investment criteria.
• Risk Management Framework: The fund adopts a structured approach to risk assessment, using benchmarks that include 20% MSCI Japan (NR) and 80% MSCI AC Asia Pacific ex-Japan (NR). The medium risk rating of 4/7 indicates a balanced approach to expected equity market volatility.
• Investment in Key Sectors: Focusing on information technology and industrials, the fund strategically allocates capital to sectors with significant growth potential, particularly those that contribute to sustainable development amid industrialization challenges.
• Daily NAV Calculation: The fund ensures transparency and precise pricing by performing daily calculations of net asset value (NAV) in USD, providing investors with timely information on their investments.