Picto_Video SRI Solutions

Theam quant funds

SRI Solutions

SRI Solutions

Driven by a strong tradition of service provided to individuals and businesses alike, and strongly attentive to the wider world. BNP Paribas has always regarded ethics and central to its mission. Thus, THEAM Quant offers a wide range of SRI Solutions.

Formally launched in 2001 and reinforced in 2010. The Group’s Corporate Social Responsibility (CSR) policy is rooted in four main areas, in which our actions as a responsible bank take concrete form:

  • Economic Responsibility: financing the economy in an ethical manner.
  • Social Responsibility: developing and engaging our people responsibility.
  • Civic Responsibility: being a positive agent for change.
  • Environmental Responsibility: combating climate change.

Protecting the Environment

To expand our requirements beyond those of the mandatory legal framework, we have voluntarily adopted specific CSR policies. These policies relate to high-risk sectors. They are defined by their environmental or social sensitivity. These official and public documents were designed in consultation with numerous stakeholders. For example, including independent experts, customers, NGOs (non-governmental organisations), and others. BNP Paribas employees who are responsible for financing and investment transactions integrate these policies into their decisions, in addition to the usual criteria relating to economic and financial performance.

Sustainable Funds - BNP Paribas as a key player in SRI

THEAM Quant Sustainable offer ambition is to track global benchmark series through a systematic approach integrating financial criteria and robust ESG framework, controversies and disputable activities  monitoring, while focusing on Sustainable themes.

The THEAM Quant range welcomes three new Febelfin labels for SRI investments, namely:

The label was created by Belgium’s financial sector federation FEBELFIN, as a valuable step on the way to creating a more sustainable society.

Find out more about the labels on the CLA website !

Climate Carbon Offset Plan

Following the methodology of Climate Carbon Offset Plan strategy, our project proposes three SRI funds in its collection. 

The objective of the first two funds is (i) to increase the value of its assets over the medium term by being exposed to a dynamic basket of equities, the components of which are chosen using a systematic selection method based on environmental, social and governance criteria (ESG) as well as a carbon emission and energy transition criteria and companies financial robustness, and (ii) to offset its carbon footprint.

Having a climate-related, societal and environmental impact, the funds simultaneously select environmentally focused portfolio, as well as carbon offsetting (Scope 1 and 2). 

These are based on the combination of two components:

  1. the Equity Europe Climate Care strategy :
    • stocks are selected in line with their low carbon footprint as well as the robustness of their energy transition strategy, while at the same time keeping the same sectorial proportions as the Benchmark index. 
    • The carbon footprint is therefore reduced in relation to that of the Benchmark index, thus participating in the fight against climate change.
  2. Offsetting of remaining emissions, through the “KASIGAU CORRIDOR REDD +” project :
    • A Carbon Footprint Offsetting is implemented by the Management Company via the use of a type of carbon credits, the VER (Verified Emission Reduction). It calculates the carbon footprint (Scope 1 and Scope 2) [1] using the composition of the fund’s underlying assets in order to establish the amount of VERs required to offset carbon emissions. All acquired VERs whereby offsetting will have been achieved will be cancelled so as to materialise the effective compensation. 
    • The project chosen is the “Kasigau Corridor REDD +” project. It protects more than 500,000 acres of Kenyan forests under threat, securing the whole migration corridor between the Tsavo East and Tsavo West national parks and will make it possible to offset over 1 million tonnes of CO2 per annum for the next 30 years.

      [1] Scope 3 will not be taken into consideration within the context of offsetting the fund’s carbon footprint 

As for the THEAM Quant – Bond Europe Climate Carbon Offset Plan, the fund aims to provide capital growth over the medium term and to offset its carbon footprint (Scope 1 and 2). It is exposed to the performance of a dynamic basket of European investment grade corporate Bonds, which are selected using a systematic selection method based on environmental, social and governance criteria (ESG) as well as carbon emission and energy transition criteria.

Find out more about this fund and the projects by visiting a dedicated website.

Equity Europe Climate Care

The Climate Care fund aims to increase the value of its assets over the medium term by being exposed to a dynamic basket of equities listed on European markets or operating on these markets, the components of which are chosen using a systematic selection method based on environmental, social and governance criteria (ESG) as well as a carbon emission and energy transition criteria. 

In order to achieve its investment objective, the Fund implements a quantitative investment strategy (the Strategy) through the BNP Paribas Equity Europe Climate Care NTR Index.

A new approach to energy transition: Carbon data only is not enough.

  • Introducing the Energy Transition Strategy concept. As a low carbon footprint today is not enough to combat climate change over the long term, companies are not selected on the sole basis of their current carbon emissions but also on the robustness of their Energy transition strategy.
  • Target at least 50% carbon footprint reduction vs. the Strategy’s Benchmark Portfolio.
  • The expected tracking error vs. the Strategy’s Benchmark Index must not exceed 5% p.a.

Equity Europe Climate Care Protection 90%

The objective of the fund is (i) to increase the value of its assets over the medium term by being exposed to a dynamic basket of equities listed on European markets or operating on these markets, the components of which are chosen using a systematic selection method based on environmental, social and governance criteria (ESG) as well as a carbon emission and energy transition criteria, and (ii) to distribute an annual amount of 1% for the distribution share classes (the distribution of this amount is not guaranteed).

The THEAM Quant – Equity Europe Climate Care Protection 90% Fund aims at providing a variable exposure to the Climate Care strategy such as for a given calendar year, it secures 90% of the highest NAV reached since the last business day of the previous calendar year.

The portfolio works with an annual reset of the protection level at the year change.

Equity Global SDG Champions Protection 90%

The Equity Global SDG Champions Protection 90% aims to increase the value of its assets over the medium term by being exposed to a dynamic basket of equities listed on world developed markets, the components of which are chosen using a systematic selection method based on i) environmental, social and governance (ESG) criteria, ii) contribution to the 17 Sustainable Development Goals (the SDGs) adopted on 25 September 2015 by the United Nations General Assembly and especially designed to end poverty, protect the planet and reduce inequality, and iii) companies financial robustness. In addition, the fund benefits from a protection mechanism from the Guarantor whereby, on each Valuation Day, the Net Asset Value per Share of each Class is at least 90% of the Reference Net Asset Value per Share of the Class.

The THEAM Quant Funds – Equity Global SDG Champions Protection 90% Fund is partially exposed to the Equity Global Goals Strategy and benefits from a protection feature, which aims to secure 90% of the maximum value reached by the Fund over a year until the end of the following month of June. The protection level is then reset every beginning of July, at 90% of the last valuation recorded for the Fund.

The portfolio works with an annual reset of the protection level at the year change.

Equity World Global Goals

The Global Goals fund aims to increase the value of its assets over the medium term by being exposed to a dynamic basket of equities listed on world developed markets, the components of which are chosen using a systematic selection method based on i) environmental, social and governance (ESG) criteria, ii) contribution to the 17 Sustainable Development Goals (the SDGs) adopted on 25 September 2015 by the United Nations General Assembly and especially designed to end poverty, protect the planet and reduce inequality, and iii) companies financial robustness.

Our selection is targeting returns and strong ESG standards based on 3 global goals:

  1. Positive governance outlook. Excluding companies with low ESG standards and involved in controversial activities.
  2. Positive financial outlook. Fundamental stock picking approach to ensure financial stability, subject to a defined tracking error vs. the benchmark and diversification constraints.
  3. Overweighting companies with high sustainable standards (SDG Champions). Assessed on their contribution towards the achievement of the Sustainable Development Goals.

For more details, please check the product page which is accessible through the table at the bottom of this page.

Related posts

Related funds

Funds Investment theme Asset Class Style
THEAM Quant - Bond Europe Climate Carbon Offset Plan SRI Investing Fixed Income Benchmarked
THEAM Quant - Equity World Global Goals SRI Investing Equities Benchmarked
THEAM Quant Europe Climate Carbon Offset Plan SRI Investing Equities Benchmarked
THEAM Quant - World Climate Carbon Offset Plan SRI Investing Equities Benchmarked
THEAM Quant Funds - Equity Global SDG Champions Protection 90% SRI Investing Equities Protected
THEAM Quant - Equity Europe Climate Care Protection 90% SRI Investing Equities Protected
THEAM Quant - Equity Europe Climate Care SRI Investing Equities Thematic

Investments in the aforementioned fund are subject to market fluctuation and risks inherent in investing in securities. The value of investments and the revenue they generate can increase or decrease and it is possible that investors will not recover their initial investment. Source: BNP Paribas Asset Management Holding, registered with the Paris Registry of Commerce and Companies under number 682 001 904 as a Limited Company with share capital of 23 041 936 euros. Registered office: 1 Boulevard Haussmann, 75009 Paris. Postal address: TSA 47000/75318 PARIS CEDEX 09

bnpam-logo

The asset manager for a changing world