Paris-headquartered BNP Paribas Asset Management has launched a sterling accumulation share class for Parvest Equity Russia, a sub-fund of the Luxembourg-domiciled Parvest Sicav.
This comes in response to growing demand from UK-based investors and fund selectors.
The Parvest Equity Russia fund was launched in May 2013 and was worth €1.56bn in assets as of 5 June 2018.
It looks for growth opportunities within the Russian stock market and invests across the market capitalisation spectrum. Some 40% of its assets are currently in small and mid-cap stocks.
The fund seeks to outperform the MSCI Russia 10/40 (Net Return) Index by using a bottom-up approach. This is coupled to in-house research used to identify and select stocks based on the strength of their sustainable free cash flow yield relative to the cost of equity, together with qualitative analysis including the quality of management teams and the alignment of majority and minority shareholders’ interests.