BNP Paribas REIM Luxembourg was recently awarded SRI(1) certification for its Healthcare Property Fund Europe (HPF Europe). This ESG commitment exemplifies the fund manager’s active and successful CSR strategy.
BNP Paribas REIM confirms its commitment with a new SRI-certified fund
The SRI (Socially Responsible Investment) label was launched in July 2020 by the French government so that investors can easily identify savings and property investment products that include ESG (Environmental, Social and Governance) criteria.
It is awarded for a three-year period, renewable with an annual review. The goal is to recognise funds that invest in the best assets in terms of environmental, social and governance performance, or those that implement sound management practices to improve the ESG performance of assets over time.
By obtaining this label, BNP Paribas REIM strives to provide its customers with socially responsible savings and property investment products. At BNP Paribas REIM, 85% of the funds open to the primary market currently have ambitious environmental targets and are compliant with Article 8 of the SFDR(2) (Sustainable Finance Disclosure Regulation). Moreover, all retail funds open to the public are SRI(1) labelled and comply with Article 8(2) of this regulation.
“BNP Paribas REIM is proud to have been awarded the SRI label for our HPF Europe fund. This recognition reflects our commitment to responsible investment. Now, we aim to demonstrate the positive environmental and social impact of this accreditation,” states Nehla Krir, Head of Transformation, Innovation & ESG for BNP Paribas REIM France.
To achieve this label, BNP Paribas REIM has used a rigorous ESG criteria analysis grid to assess its assets, both prior to acquisition and throughout the holding period. The HPF Europe fund has also chosen a 'best-in-progress' approach, aiming to acquire assets with a view to improving their ESG performance over time. It has therefore drawn up binding action plans to improve the management of its assets and enhance their quality and resilience.
HPF Europe: an emphasis on healthcare assets and responsible investment
The HPF Europe was launched in the first half of 2020 and offers appealing exposure to the healthcare real estate sector thanks to a balanced target, spread between the three healthcare sub-sectors: short-stay (general hospitals and clinics), medium-stay (specialist hospitals and clinics, particularly in aftercare and mental health) and long-stay (nursing homes).
Consequently, it has built up a portfolio of some sixty assets spread across Europe - Germany, France, Spain, Belgium and Italy - with assets under management of close to € 1 billion as of 30 September 2023(3).
HPF Europe continues to expand in Europe with several acquisitions this year, including a newly built healthcare facility in Stade, Hamburg, Germany, and a portfolio of five nursing homes in Belgium, its first acquisition in the country. Newly built healthcare facilities in northern Italy will also be added to the fund's portfolio by the end of the year.
“HPF Europe’s portfolio has been expanded significantly, thanks to the expertise we have developed in the healthcare sector over more than 12 years, enabling it to invest in high-quality, sustainable healthcare solutions. In keeping with this SRI certification, HPF Europe has defined 3 ESG objectives: to improve the environmental performance of assets, to improve access to care and the well-being of residents, and to develop a joint ESG strategy with partner operators” says Eugénie Dubost, Fund Manager for BNP Paribas REIM.
- Amira TAHIROVIC
