The asset management arm of France's BNP Paribas Group has expanded its range of socially responsible investment funds.

BNP Paribas Investment Partners has launched a "responsible dividend" strategy to focus on European equity opportunities that generate a yield that is both high and sustainable.

Companies will be selected using environmental, social and governance filters alongside financial and non-financial criteria. For example, the strategy will exclude the bottom decile of companies with the lowest-rated ESG practices within each sector, as well as companies that fund their dividends with debt or reserves.

“Through the growing area of high-dividend equities, BNPP IP continues to extend its long-standing expertise in managing SRI themes. This innovative responsible dividend approach marks a new stage in our strategy of offering our clients first class SRI management,” said Gaëtan Obert, head of sustainable thematic equities at BNPP IP.

The firm's Parvest Sustainable Equity High Dividend Europe fund already includes this approach in its investment strategy. It has assets under management of almost €800 million ($898 million).

BNPP IP, which serves both institutional and private investors around the world, managed assets of €521 billion at the end of March 2016.