BNP Paribas launches Italian minibond fund

first_img“The liquidity premium offered by the asset class is attractive, and the yield can be double that of a Eurobond of similar quality.”She said SMEs were potentially nimbler and more able to adapt to a changing economic environment than large companies.Furthermore, their operational leverage might be more contained because of lower fixed costs, leading to faster adjustment of the production capacity. On the other hand, SMEs might suffer more from price competition.Minibonds were created in October 2012 by Italy’s then government to give SMEs an alternative source of finance as bank lending dries up.Generally, they enjoy the same tax treatment as debt issued by listed companies, including tax relief on interest costs and issuance expenses.In addition, there are relatively few, and simplified, regulatory requirements for issuing the debt instruments.BNP Paribas Bond Italia PMI’s investable universe is made up of 1,500 companies selected on the basis of risk profile, type of business, turnover, industry outlook and international business profile.The fund will hold bonds from between 25 and 40 issuers.There will be a maximum holding of 8% for BBB-rated issuers and 5% for BB-rated issuers.Holdings will include both bullet bonds and amortising bonds.Ori said: “We have not set a maximum percentage per region, but we expect a large part of the investment to be made in the northern part of the country, given the concentration of the GDP in that area.“To ensure good diversification, we will allocate investments by industries, based on their weighting in the GDP and their financial outlook.”Bonds will typically be fixed rate but variable-rate issues will also be considered to hedge risk.The average maturity of the debt will be between four and five years.The target yield to maturity will be around 6% per year, with a net return for investors of 5% per year.Dividends will be paid at least annually.Ori said: “The risk/return of the fund is particularly attractive compared with similar products in foreign markets, for example, France and Germany. We therefore expect foreign investors to show interest in this product.”She added: “The profile of our fund is more conservative compared with others, as we want the asset class to start properly in the market, especially for investors such as pension funds.“We have launched a multi-originator platform with strict rules to manage conflict of interest and ensure the alignment of information and interest between investors and originators.”The fund’s target subscription is €150m, and the minimum investment is €1m.The fund will have a seven-year lifespan once subscriptions close next October.Financial consultancy Prometeia will act as the fund’s independent adviser, assisting with the screening of SMEs. BNP Paribas Investment Partners is seeking pension funds, banking foundations and other institutional investors for a new closed-end fund investing in bonds issued by small and medium-sized enterprises (SMEs) in Italy – so-called minibonds.The BNP Paribas Bond Italia PMI will target companies with an annual turnover of less than €250m.Elisa Ori, head of institutional business development at BNP Paribas Investment Partners, said: “Companies with a turnover below this level are normally unable to finance themselves in the liquid Eurobond market, via a syndicated bond issue. The aim of this fund is to provide these companies with market-based financing as an alternative to bank loans.”Ori added: “The asset class is a good opportunity for long-term investors because it offers diversification and a good risk/return profile.last_img read more

28 new COVID-19 cases locally in 24 hours

first_imgStatewide—The Indiana State Department of Health has reported that 809 additional Hoosiers have been diagnosed with COVID-19 as of Tuesday. A total of 63,678 Indiana residents have tested positive for the coronavirus. To date, 716,809 tests have been reported to ISDH at an 8.9% positive rate and 16 new deaths were reported for a total of 2,725 Hoosiers have died to date.Locally Dearborn County has a total of 421 cases and 27 deaths reported (up 17 new cases), Decatur County has a total of 285 positive cases and 32 deaths (up 7 new cases), Franklin County has 175 positive cases and 8 deaths (up 2 new cases), and Ripley County has 179 positive cases and 7 deaths (up 2 new cases). This is an increase of 28 new positive cases locally.last_img read more

Summer League MVP Lonzo Ball prepares to return to Las Vegas

first_imgEL SEGUNDO — Lonzo Ball’s debut as a Laker was entirely forgettable. The prized rookie arrived at the Las Vegas Summer League with massive expectations and promptly clanked 13 shots, including 10 3-point attempts. Ball’s father, LaVar, called it his “worst game ever.”What came next was the most important lesson Ball learned in Las Vegas, where the Lakers will play a preseason game against Sacramento on Sunday.“Once you play a game forget about it and move on,” Ball said. “In college you get a week. You can sit up, sit back and watch film and stuff. But the NBA it’s a quick turnaround.”Ball obviously recovered just fine. He averaged 16.3 points over the six games he played, leading the field in assists (9.3 per game), and was crowned Summer League MVP en route to a Lakers tournament championship. AD Quality Auto 360p 720p 1080p Top articles1/5READ MOREUCLA alum Kenny Clark signs four-year contract extension with Packers“I just went out there and played the game I know how to play,” Ball said. “Started slow, finished strong. That’s all there was to it.”The No. 2 overall pick in June’s draft, Ball was a limited participant in Lakers practice on Friday. He is still recovering from the sprained left ankle he suffered in Monday’s loss to Denver. The mild injury kept him out of an exhibition game Wednesday in Ontario, and could prevent him for playing Sunday.“I’ll make the trip,” Ball said, “but whether I’ll play or not it’s too tough to tell.”On Friday, Ball “went over some plays” but was held out of the five-on-five portions of the practice.“Just being out there with my team,” Ball said. “Showing them I’m still here for them. Regardless of whether I play Sunday or not, I’m going to be here.” Coach Luke Walton said Ball would have played Wednesday had the regular season already begun, but given that it’s still the exhibition season there is no reason to rush him back.“We would love to have him out there obviously,” Walton said. “But … if he is not ready to go then he won’t play.”For Walton, watching Ball at summer league proved “he is capable of doing it at this level.”It didn’t matter that the rosters were populated mostly by rookies and a lot of players who will never make it to the NBA.“He makes the gym exciting to be in,” Walton said. “I was just observing out there and kind of evaluating. When he is playing basketball it is fun to sit there and watch. That is what he is going to bring to our team.”In two preseason games before spraining his ankle, Ball averaged 6.5 points, 6 assists and 4.5 rebounds.Forward Brandon Ingram, who missed Wednesday’s game with a bruised head, was a full participant on Friday and is listed as probable for Sunday.NUMBERS AS NEWSIt was only a few years ago that the Lakers were viewed as well behind the curve in the analytics movement. That has certainly changed, and on Friday the team announced a new director of basketball analytics.A Harvard graduate, Jason Rosenfeld previously had the same title working in the league office, where he developed new statistics – like hustle plays – to better evaluate players.In May, Rosenfeld’s predecessor, Yuju Lee, resigned from the position rather than accept a demotion, according to an ESPN report.center_img Newsroom GuidelinesNews TipsContact UsReport an Errorlast_img read more