KIT Fortis Investments becomes TKB BNP Paribas Investmsnt Partners
The 50% stake currently owned by KIT Finance Holding Company will be transferred to TKB later this year. TKB BNP Paribas IP will then become a 50/50 joint venture between BNP Paribas Investment Partners and TransKreditBank (TKB).
As at 31 May 2010, TKB BNP Paribas IP has EUR 2.1 bln assets under management (source TKB BNP IP). Assets under management have doubled from their pre-crisis levels at the end of 2007, and ongoing high growth is expected from the domestic institutional and offshore business lines in particular.
The renaming is part of both shareholders' ambitious plans for ongoing expansion of the company both in Russia and abroad.
The TKB BNPP IP shareholders bring specific strength to both the domestic and international operations of the company. TransKreditBank is Russia's 15 largest bank with strong presence in brokerage, retail and investment banking. BNP Paribas Investment Partners is a top-tier international asset manager with more than EUR 500 bln under management, of which more than EUR 60 bln are invested in emerging markets capabilities) (source BNP IP. data as of 31 of March).
William De Vijlder, CIO Partners & Alternative Investments, commented: "Thanks to its high quality investment process and strong risk management, in recent years TKB BNP Paribas IP has significantly increased its management of Russian assets for international investors in Latin America, Asia and Europe. TKB BNP Paribas IP has already been awarded five new sub-advisory mandates from BNP Paribas Investment Partners to provide portfolio advice on dedicated offshore funds invested in Russian equities, with a total AUM of EUR 311 million (source TKB BNP IP. data as of 31 of May). The BNP Paribas IP international sales network of 700 people in 70 countries will continue to provide exceptional reach for international investors to gain access to all 10 offshore Russian funds advised by the company. "
Yuri Novozhilov, President of TransKreditBank, said: "Going forward TKB BNP Paribas Investment Partners will cooperate with TransKreditBank on the distribution of Russian mutual funds through its extensive branch network comprising 300 offices in 180 cities. TransKreditBank will become a valued distribution agent and will be able to offer its clients the entire TKB BNP Paribas IP fund range. TKB BNP Paribas IP has also developed a strong expertise in managing pension assets for large Russian NPFs. As an indication of the strength of this business, the company has increased assets of Russian institutional clients on 90% since the beginning of the year".
Vladimir Kirillov, CEO of TKB BNP Paribas Investments Partners: "We have already the largest range of investment funds on offer in Russia and are the first player on the market for the management of offshore Russian assets, with a total of EUR 1.2 bln under management (source TKB BNP IP. data as of 31 of May). We also experience a significant growth in the pension funds segment. Thanks to our on-the-ground understanding of Russian markets and the support of our two shareholders, our company is well positioned to become a top three Russian asset manager within the next three years."
TKB BNP Paribas Investment Partners
TKB BNP Paribas Investment Partners (TKB BNPP IP) is one of the leading asset management companies in Russia, a 50/50 joint venture owned by BNP Paribas Investment Partners and KIT Finance Holding Company (in its' turn owned by NPF Blagosostoyanie and KRP-Invest). As of May 31, 2010 the company has over EUR 2 bln under management and advice. TKB BNPP IP's client base includes global corporates, institutions, pension funds, private banks, and retail distributors. TKB BNPP IP manages 10 Russian equity and BRIC funds as well as 24 multi-asset class funds for Russian domestic clients and a large institutional segregated mandate business focused on pension funds. The company employs more than 80 people in Moscow and St Petersburg.
It has been awarded the highest security rating of AAA by the NRA, and A++ by Expert RA 2010 (dedicated Russian rating agencies) on 11th of January. In 2009 the company was awarded the Lipper Award 'Best fund over three year period' for the Alfred Berg Rusland fund for Nordic investors. In 2010 KIT Fortis Investments was awarded the Best Manager of Russian Funds for International Investors awards by National League of Asset managers. TKB BNP Paribas Investment Partners is a new name for KIT Fortis Investments (OAO). The legal approval of a new name will be completed in July 2010.
JSC TransKreditBank is the leading bank in Russia's transport industry and a strategic partner of JSC Russian Railways. The Bank's customer base includes companies from all segments of the transport industry, other sector of real economy and nearly 3 million individuals. TransKreditBank has a network of over 300 offices and 2,500 ATMs operating in 180 cities and towns of the country. TransKreditBank has high ratings from domestic and international rating agencies and its financial performance secures it a slot in Russia's Top20 banks league table. The Bank offers a full array of services for corporate and retail clients.
BNP Paribas Investment Partners
BNP Paribas Investment Partners is the dedicated asset management business line of the BNP Paribas Group. BNP Paribas Investment Partners offers a full range of investment management services to institutional and retail clients around the world. Central to the way we work is the concept of partnership - both in terms of how we behave as a family of companies and our relationships with our clients. Around 1,200 investment professionals work across our network of some 60 investment centres, each of which is a specialist in a particular asset class or type of product. With total assets under management of EUR 542 billion as at 31 March 2010, BNP Paribas Investment Partners is the fifth-largest asset manager in Europe and the eleventh-largest in the world*(Source: Based on the IPE Top 400, July 2009 (figures as at 31 December 2008).
On 1 April 2010, the operations of Fortis Investments were merged with those of BNP Paribas Investment Partners. Fortis Investments' investment experts and international locations were a natural and complementary fit with BNP Paribas Investments Partners, whose flexible partnership model has proven successful in integrating new expertise in the past. Together, our combined company provides clients with an even broader range of investment solutions and even better client service than before.
BNP Paribas (www.bnpparibas.com) is one of the six strongest banks in the world* and the largest bank in the eurozone by deposits. With a presence in more than 80 countries and more than 200,000 employees, including 160,000 in Europe, BNP Paribas is a leading European provider of financial services on a worldwide scale. It ranks highly in its three core activities: Retail Banking, Investment Solutions and Corporate & Investment Banking. In Retail Banking, the Group has four domestic markets: Belgium, France, Italy and Luxembourg. BNP Paribas is rolling out its integrated model across the Europe-Mediterranean zone and boasts a large network in the United States. BNP Paribas Personal Finance is the leader in consumer lending in Europe. In its Corporate & Investment Banking and Investment Solutions activities, BNP Paribas also enjoys top positions in Europe and solid and fast-growing businesses in Asia.
*Rated AA by Standard & Poor's i.e. 3rd rating on a scale of 22.
BNP Paribas Group in Russia
Representative office of BNP Paribas in Russia was opened in 1974. In July 2002 BNP Paribas received a banking license which was granted to the subsidiary «BNP Paribas» Closed Joint Stock Company (ZAO).
Today BNP Paribas offers the whole range of services in Russia:
Retail Banking Services
- BNP Paribas - retail banking services to individuals, small enterprises and corporate clients (CB «BNP Paribas Vostok» ООО)
- Cetelem - consumer finance in the point of sale («BNP PARIBAS» ZAO)
- Arval - operational leasing and fleet management (ООО «Arval»)
Cardif - life insurance services (ООО «Insurance company Cardif»)
Corporate and Investment Banking
- BNP Paribas - Corporate and Investment Bank («BNP PARIBAS» ZAO)
- TKB BNP Paribas Investment Partners - asset management company