BNP Paribas AM Announces Two New ESG ETFs

Published on: 18 March 2022
by KnowESG

BNP Paribas Asset Management has recently launched two new ESG thematic ETFs, one for medical technology and the other for the hydrogen economy.

The newly announced ETFs, the BNP Paribas Easy ECPI Global ESG Med Tech UCITS ETF and BNP Paribas Easy ECPI Global Hydrogen Economy UCITS ETF with a total expense ratio (TERs) of 0.30 per cent are listed on the Deutsche Boerse and Euronext Paris.

The asset manager's med-tech ETF is similar to the ECPI Global ESG Medical Tech index, which equally weights the 50 most active stocks within life sciences tools and services, biotechnology, healthcare equipment, and healthcare technology.

The product comprises sector exclusions on the medical tech investment universe and environmental, social and governance screens. It is categorised under Article 8 of the Sustainable Finance Disclosure Regulation (SFDR).

The hydrogen economy ETF closely analyses the ECPI Global ESG Hydrogen Economy index of companies dealing in the production, supply and storage of green hydrogen and those producing renewable energy used in sustainable hydrogen production.

The selection is done based on how hard companies work to reduce their exposure to coal and unconventional fossil fuels and their performance on ESG criteria. The ETF is classified under Article 9 of the SFDR.

Denis Panel, head of multi-asset, quantitative and solutions at BNPP AM, said: “The healthcare and green hydrogen sectors are enjoying strong growth and are themes of the future, enabling us to offer relevant long-term investment solutions. These two launches expand our range of index funds and demonstrate our desire to be a key provider of thematic ESG ETFs.”