BNP PARIBAS EASY JPM ESG-SCREENED EMBI GLOBAL COMPOSITE
| Issuer: BNP Paribas Asset Management |
| Asset Class: Fixed Income |
| TER: 38bps |
| Trading Currency: GBP |
| Pays Income: False |
| Listing Date: 08 Oct 2025 |
| Ticker: EMBG |
| ISIN: LU2868144093 |
This fund provides targeted exposure to a diversified basket of U.S. dollar-denominated sovereign and quasi-sovereign debt issued by emerging market countries. It is designed for investors aiming to capture the potentially higher yields offered by developing economies compared to their developed counterparts. By investing across a wide range of countries, the fund seeks to offer broad representation of the emerging market debt landscape, appealing to those looking to enhance the income-generating potential and diversification of a global fixed-income portfolio.
The investment strategy is distinguished by its integration of Environmental, Social, and Governance (ESG) criteria. The fund passively tracks the J.P. Morgan ESG-Screened EMBI Global Composite Index, which applies specific sustainability filters to the parent benchmark. This methodology excludes issuers involved in controversial business activities such as thermal coal and tobacco production, as well as those violating established international norms like the UN Global Compact. This ESG screening process aims to construct a portfolio that not only pursues financial returns but also aligns with the principles of socially responsible investing, potentially mitigating long-term sustainability-related risks.
As an accumulating share class, any interest income generated by the underlying bonds is automatically reinvested back into the fund, which promotes the compounding of capital over time without generating taxable income events for the investor. This structure is particularly suitable for long-term investors focused on capital growth. The fund offers an efficient solution for those seeking to add a socially conscious, higher-yielding fixed-income allocation to their portfolio, provided they have an appropriate risk tolerance for the volatility inherent in emerging markets.
