BNP AM

The sustainable investor for a changing world

Factor investing

Factor investing is an investment approach that aims to generate higher risk-adjusted returns by systematically selecting securities according to proven drivers of returns, known as factors. Common factors include quality, value, momentum and low volatility.

BNP Paribas Asset management has been among the leaders in factor investing since 2009, with a quantitative team of more than 40 professionals and a comprehensive range of solutions spanning different factors, asset classes and regions.  

Why factor investing?

Coupled with the expertise of a skilled and experienced investment manager, this innovative approach can offer a number of benefits:

ENHANCED RETURN POTENTIAL
PORTFOLIO DIVERSIFICATION
REDUCED DOWNSIDE RISK
ESG INTEGRATION

Why us?

We have been managing factor-based strategies for over a decade, both in equities and fixed income. Over the course of this time, we have combined our fundamental, academic and quantitative expertise to create a robust, quantitative investment platform and team that enable us to deliver better portfolio outcomes.

Our platform benefits from security selection according to proven factors or styles, in-house research by our Quantitative Research Group, integration of ESG and climate change objectives, and a fully systematic process with human supervision.

Our team includes more than 40 experts dedicated to quantitative solutions with an average of 15 years each of industry experience. They are responsible for portfolio management, academic research and model development.

Our solutions

We offer a wide range of single- and multi-factor solutions across asset classes and geographies.

Our solutions are accessible via pooled or separately managed vehicles, and are fully customisable to different clients’ needs: the return they expect, the level of risk they are willing to take and the sustainability objectives they seek.

EQUITY
BNP Paribas Sustainable Europe Multi-Factor Equity
BNP Paribas Global Low Vol Equity
BNP Paribas Sustainable US Multi-Factor Equity

Related insights

      The value of investments and the income they generate may go down as well as up and it is possible that investors will not recover their initial investment. Past performance is not a guide to future performance. Investing in emerging markets, or specialised or restricted sectors, is likely to be subject to a higher-than-average volatility due to a high degree of concentration, to greater uncertainty because less information and/or less liquidity is available or due to greater sensitivity to changes in market conditions (social, political and economic conditions). Some emerging markets offer less security than the majority of international developed markets. For this reason, services for portfolio transactions, liquidation and conservation on behalf of funds invested in emerging markets may carry greater risk.
      Past performance or achievement is not indicative of current or future performance.