BNP Paribas will unblock three of its investment funds it suspended earlier this month due to the turmoil in the global stock markets, according to Agence France-Presse.
On Aug. 7, BNP Paribas suspended the funds it had in connection with the risky U.S. subprime home loans, because there was difficulty in valuing them.
The bank said the “conditions had been met” for valuing them and that the funds would be unblocked on Aug. 28 and Aug. 30.
“BNP Paribas Investment Partners has drawn up a methodology allowing, as it committed itself at the outset to do, to resume the process of subscriptions and redemptions” the subsidiary said in a statement.
The estimated value of the total assets under management by the funds had dropped between July 27 and August 7 from around two billion euros to 1.6 billion euros partly due to withdrawals by investors.
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