Within the business line, BNP Paribas Asset Management ("BNP PAM") manages funds for international institutional clientele and sells mutual funds worldwide through outside retail networks (banks, financial institutions, etc.), and the Group's internal retail networks (Retail Banking, Private Banking, etc.).
BNP Paribas Asset Management is Restructuring its Organisation Around Four Strategic Growth Areas
The fund management industry will be undergoing considerable changes in Europe: the gradual availability of an open architecture is expected to lead to a growing separation of the retail distribution and management businesses, and specialist management services.
BNP PAM has chosen to anticipate this trend and focus on the promising sectors in which it has substantial strengths due to is size, expertise, experience and diversified revenue sources.
This is reflected in an organisation with four business lines:
- BNP PAM Global Funds is in charge of promoting and selling mutual funds
- BNP PAM Institutional, which includes institutional portfolio managers and fundamental quantitative management platforms, is designed to offer a full range of products and services to all its institutional customers worldwide
- BNP PAM Risk Managed Strategies has alternative, structured and index-based management platforms and aims, through partnerships, to secure a good position in fast-growing markets, particularly in alternative management services
- BNP PAM New Markets sets up and oversees local sales and investment teams on promising emerging markets, preparing today to manage tomorrow's growth.
This new organisation will enable BNP PAM to achieve its growth objectives. These objectives are particularly ambitious in terms of fund distribution for which external distribution and multiple-management fund solutions are the main drivers of growth.
A European Pioneer in Fund Distribution
BNP PAM Global Funds is the entity in charge of promoting and selling funds to all customers (Group and otherwise) in all the countries in which the Group plans to develop this business. It is one of Europe's leading fund distributors: Number 1 promoter in France, number 6 in the euro zone, and 8th in Europe.
Multiple-management fund solutions form an integral part of our service and organisation, along with marketing, customer support, and our sales organisation in order to better meet customer needs (internal fund management service or third party management under BNP PAM's name or under other outside distributors' names; related services offered for each customer segment in each country (reporting, on-line information, websites).
BNP PAM Global Fund has set itself some ambitious goals:
- Boost the number of distributors in Europe by 30% by 2005
- Reach euros 100 billion in assets under management by 2005
To achieve these goals, BNP PAM Global Funds has valuable strengths and major resources:
- A solid and diversified customer base that will help pay the fixed costs in connection with this type of business
- A wide range of structured and segmented funds: 250 funds available to the general public and 70 special French and international funds
- A vast sales and marketing reach: close to 80 employees located in 18 countries
A powerful integrated platform of products and services, supported and adapted by professional support personnel dedicated to the various customer segments in each country: 80 individuals handle our comprehensive product and service offering.
BNP PAM is a pioneer in setting up such an organisation and in its growth strategy focused on external fund distribution. The aim of this new organisation is to consolidate BNP PAM's position as one of Europe's leading fund distributors.