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BNP Paribas Assurance takes over direct retail activity of JPMorgan Asset Management in France

BNP Paribas Assurance and JPMorgan Asset Management announce today that they have just entered into an agreement for BNP Paribas Assurance to take over the retail activity of JPMorgan Asset Management in France. Under the agreement, two entities have been sold to BNP Paribas Assurance: J.P. Morgan Fleming Investissement and J.P. Morgan Fleming Sélection. Through an in-house network of 120 financial advisors and 300 partner IFAs, J.P. Morgan Fleming Investissement and J.P. Morgan Fleming Sélection offer French individual investors life insurance solutions, international investment securities and investment real estate.

The two entities will become one of the largest clients of the French branch of JPMorgan Asset Management.

“For the retail side of JPMorgan Asset Management in France, we looked for a capital-intensive partner whose core business, focused on financial services for individuals, would enable us to continue and accelerate retail growth. We are very pleased with this agreement that comes with a partnership between JPMorgan Asset Management and the two retail entities. JPMorgan Chase & Co's other lines of business in France, in particular JPMorgan Private Bank, will continue their expansion within our group,“ says Philippe Lagayette, Chairman of JPMorgan in France.

“The Institutional and Wholesale division of JPMorgan Asset Management, under the direction of Karine Szenberg, will remain the primary asset manager for the two transferred entities. The partnership is part of JPMorgan Asset Management's expansion in continental Europe,” emphasizes James Broderick, Head of JPMorgan Asset Management in Europe.


The transaction allows BNP Paribas Assurance to continue growing in the French savings sector. “This acquisition is part of the targeted external growth strategy that we are undertaking in France and abroad. We are going to develop this new activity, which we want to turn into a leading network for private wealth management in France,” says Eric Lombard, Chief Executive Officer and Director of BNP Paribas Assurance.
The network of financial advisors employed by J.P. Morgan Fleming Investissement will expand the distribution channels of BNP Paribas Assurance: the BNP Paribas branches in France, the BNP Paribas private bank unit in France, and the network of independent financial advisers partnering with Cardif and Cortal Consors for direct clients. “We now possess all the distribution channels for middle and upper level wealth management, which is going to enable us to consolidate our position as the fourth life insurance group in France,” explains Jean-Marc Altwegg, Deputy Managing Director in charge of insurance business in France.
“Our team is delighted at this new opportunity to grow with a distinguished partner. With our combined know-how we will expand our operations in France and continue to provide service and innovation to our clients, as we have for over 15 years“ says Patrick Petitjean, Chairman of J.P. Morgan Fleming Sélection and J.P. Morgan Fleming Investissement. “This agreement enables us both to benefit from long-standing ties with our asset manager and to accelerate our growth, thanks to our capital-intensive partner. We are going to strengthen our open-structured offering in the areas of life insurance, investment securities, and real estate. In this context, quality of service and proximity to our clients will continue to be our key assets,” adds Patrick Petitjean.

BNP Paribas Assurance (www.assurance.bnpparibas.com) is the Life and P&C arm of BNP Paribas. It designs and sells products and services under two commercial brands: BNP Paribas, in the case of products distributed through the BNP Paribas branch network in France, and Cardif, for the other French Networks and abroad. BNP Paribas Assurance ranks 4th in Life Insurance in France and 3rd worldwide in Creditor Insurance. It posts earnings of €BN 11.4, in 2004, of which 46% were realized outside the BNP Paribas Group and 26% abroad.

BNP Paribas (www.bnpparibas.com) is a European leader in banking and financial services, with a significant and growing presence in the United States and leading positions in Asia. BNP Paribas is the first bank in the Euro zone in terms of net income (2004). The group has one of the largest international banking networks, present in over than 85 countries with close to 100 000 employees, including 67,000 in Europe. BNP Paribas enjoys key positions in its three core businesses: Corporate and Investment Banking, Asset management & Services and Retail Banking.

JPMorgan Asset Management (www.jpmorgan.com/assetmanagement) is the asset management arm of the JPMorgan Chase & Co. group, one of the largest financial service providers in the world with a presence in 50 countries. JPMorgan Asset Management is one of the top five global leaders in asset management (source: Pensions & Investments, May 2005), with assets under management of USD 782 billion. In France, JPMorgan Asset Management markets a wide and diversified range of OPCVM aimed at institutional clients and third party distributors.

J.P. Morgan Fleming Sélection and J.P. Morgan Fleming Investissement have been providing and distributing a wide range of financial solutions and wealth management advice aimed at private French investors for over 15 years. Through a network of 120 financial advisers and 300 partner IFAs, the company offers life insurance solutions, international transferable securities and real estate investment. The total assets under management rose to EUR1.35 billion (excluding real estate) for 24,000 clients (as at June 30 2005).