BNP Paribas Asset Management has expanded its range by launching three new smart beta exchange traded funds.
The three tracker funds are designed for investors seeking access to the potential yield of high dividend shares in the US, Europe, or to undervalued US shares.
The new funds are BNP Paribas Easy Equity Dividend Europe UCITS ETF, BNP Paribas Easy Equity Dividend US UCITS ETF and BNP Paribas Easy Equity Value US UCITS ETF.
The funds, which are listed on Euronext Paris and Xetra, increase the number of smart beta ETFs in the BNP Paribas Easy range to 14.
BNP Paribas Easy Equity Dividend US UCITS ETF and BNP Paribas Easy Equity Dividend Europe UCITS ETF replicate the performance of strategy indices developed by BNP Paribas, investing in a basket of liquid shares the company claimed can pay high, stable and sustainable dividends.
BNP Paribas Easy Equity Value US UCITS ETF replicates the performance of a strategy index that offers exposure to the potential performance of a basket of US shares considered to be undervalued according to fundamental analysis criteria.
Mel Kenny, chartered financial planner for London-based Radcliffe & Newlands, said these ETFs represent another route to seeking high yielding equities or undervalued shares without having to engage with a fund manager.
"They will likely appeal to fans of the passive approach that would like exposure to particular types of shares rather than a whole index.
"Furthermore, this further launch is indicative of the increasing ability for smart beta ETFs to capture the performance of greater groups of shares which in turn increases the pressure on fund managers working in the same arena.”
