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Mid-Market and SMB Equity Savings Plan

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Equity Savings Plan for Mid-Market Companies – Small and Medium Businesses

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The Mid-Market and SMB Equity Savings Plan is a securities and cash account that allows you to invest in securities of both French and European Small and Medium Businesses (SMBs) and mid-market companies, while benefitting from tax advantages.

  • The amount of deposits made into a SMB Equity Savings Plan is
  • capped at €75,000.

In detail

Capital gains

ADVANTAGEOUS TAXATIONAFTER THE 5TH YEAR

Your capital gains are tax-exempt(1) if you keep your Mid-Market and SMB Equity Savings Plan for 5 years. After 8 years, you may make partial withdrawals while retaining your Mid-Market and SMB Equity Savings Plan.

(1) Excluding social security contributions

SMB Equity Savings Plan Limit

€75,000(2)SAVE AT YOUR OWN PACE

Make deposits or set up automatic transfers to build your capital.

(2) Individuals subject to joint taxation (married or domestic partners) may each hold a Mid-Market and SMB Equity Savings Plan.

Savings diversification

AN EXTENSIVE LINE OF FUNDS ELIGIBLE FOR THE EQUITY SAVINGS PLAN AND MID-MARKET AND SMB EQUITY SAVINGS PLAN

Lean more about our extensive line of funds eligible for Equity Savings Plans and Mid-Market and SMB Equity Savings Plans.
Invest in eligible stocks and UCIs on the French or European markets.

Preparing for retirement

TAX-EXEMPT ANNUITIESAFTER 8 YEARS

After 8 years, the capital in a Mid-Market and SMB Equity Savings Plan can be converted into a tax-exempt life annuity.(3)

(3) Excluding social security contributions on a portion of the annuity.

Please note

You can hold only one Mid-Market and SMB Equity Savings Plan.

Further details

Detailed characteristics of the

Mid-Market and SMB Equity Savings Plan

Download the pdf

  • OVERVIEW OF THE MID-MARKET AND SMB EQUITY SAVINGS PLAN
  • FISCAL AND PRACTICAL TERMS AND CONDITIONS
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OVERVIEW OF THE MID-MARKET AND SMB EQUITY SAVINGS PLAN

Sign-up conditions

Any private individual with a tax residence in France may open a Mid-Market and SMB Equity Savings Plan, but may hold only one. Individuals who are married or in a domestic partnership and subject to joint taxation may each hold one Mid-Market and SMB Equity Savings Plan.

It is not possible to hold a Mid-Market and SMB Equity Savings Plan in a joint or joint-signature account. Similarly, a dependent (for example, a child under 18 years of age) may not open a Mid-Market and SMB Equity Savings Plan.

Composition of a Mid-Market and SMB Equity Savings Plan

A Mid-Market and SMB Equity Savings Plan consists of a securities account and an associated cash account.

Funding your Mid-Market and SMB Equity Savings Plan

The recommended deposit when opening an Equity Savings Plan is €16, which starts the process of settling the account at maturity (see effective date). Deposits, by transfer, may be made individually or set up automatically. Depending on your management profile, you can fund your Mid-Market and SMB Equity Savings Plan in three different ways.

  • If you have strong financial market knowledge and would like to maintain your independence: you can buy and sell your stocks yourself.
  • If you prefer to receive advice from our experts and delegate management: you can invest in markets with ease through BNP Paribas UCIs.
  • If you want to protect your investment while participating in the growth of the stock markets: you can easily choose from among our regularly offered guaranteed maturity funds.

Please note:

Diversified UCI funds, whether based on economic sectors or predominately geographic zones, should be considered only as a limited portion of your net worth, given the concentration of risk involved. To find out your risk profile, create your "Customer Profile" either with your branch advisor or on mabanque.bnpparibas after logging in.

Mid-Market and SMB Equity Savings Plan Limit

Deposits into an Equity Savings Plan cash account are capped at €75,000, or €150,000 for a married couple or domestic partnership if both spouses or partners each hold a Mid-Market and SMB Equity Savings Plan (excluding gains earned as part of a Mid-Market and SMB Equity Savings Plan).

The invested and developed savings may therefore exceed the maximum limit.

Term of the Mid-Market and SMB Equity Savings Plan

The fiscal term required to obtain a tax exemption on the gains and income is a minimum of five years

Beyond eight years, you have several options:

  • Retain the Mid-Market and SMB Equity Savings Plan under the same conditions
  • Receive a tax-free life annuity
  • Make partial withdrawals without closing the account

Effective date

The effective date is generated by the initial deposit. This is the reference date for calculating the tax periods (five and eight years) required for exemption (excluding social security withholdings).

Mid-Market and SMB Equity Savings Plan Eligible Securities

  • The securities below, issued by a company headquartered in France, another European Union member state, Iceland or Norway, subject to either corporate tax or an equivalent tax under common law conditions (with exceptions) and meeting the following criteria:
    • Have less than 5,000 employees
    • Have an annual turnover below 1.5 billion euros or a total balance sheet below 2 billion euros
    • Not be an SIIC (Société d'Investissement Immobilier Cotée, publically traded real estate investment company)

1. Stocks and investment certificates.
2. Shares of a limited liability company or companies with an equivalent status.
3. UCI stocks or shares (of French SICAVs [open-ended investment companies] and mutual funds, or UCIs established in the European Union, Iceland or Norway) of which at least 75% of the assets are invested in European securities eligible for a Mid-Market and SMB Equity Savings Plan.
4. Shares of venture capital mutual funds and innovative mutual funds, adhering to the 75% quota of securities eligible for a Mid-Market and SMB Equity Savings Plan, except those allotted to managers or members of the fund management team.

  • Securities of non-listed companies. For this latter category, the following procedure must be respected:
  1. Send a letter of commitment to the bank
  2. The bank will send an information letter to the company issuing the securities
  3. The company issuing the security will send you a confirmation letter, which you will then send to the bank

FAQ ()

In addition

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