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BNP Paribas SA (BNP.FR, BNPQY) is expanding its U.S. fixed income business and plans to hire up to 70 professionals, mostly salesmen, over the next year and a half.

The push in the business comes as the overall Wall Street competitive landscape has shrunk and BNP seeks to gain more clients ranging from money managers to pension funds. The Paris-based bank has strong operations overseas, but wants to increase its fixed income presence in the U.S.

"We're growing at a measured pace," said Kip Testwuide, head of origination and distribution in fixed income. BNP "has spent a lot of time building products and now we want to broaden our client base," he said. Testwuide started at BNP 23 years ago in the fixed income division which had 12 employees at the time.

Fixed income has been the source of many banks' profits the past few quarters due to high margins. Now, as margins compress in the area, the profits may not be as knockout, but the area remains a lucrative source of income for banks.

BNP is not the only bank seeking to increase its market share. Japanese bank Nomura Holdings Inc. (8604.TO, NMR) has started a build business out of its U.S. fixed income department, among others.

Currently, BNP has 450 fixed income professionals in the U.S. and trades in rates, credit and foreign exchange. The bank's plan is to add salesmen because "we're growing our distribution to real money accounts around the country," Testwuide said.

The bank also wants to build out its insurance offerings and hire actuaries for the area.

In the past month, BNP has added roughly 20 hires in fixed income, including senior hire Sean Farrell as managing director to head the newly formed U.S. short-term securities team to cover accounts for rates and credit short duration products. Farrell, a 22-year veteran, had held positions at UBS AG (UBSN.VX, UBS) and Countrywide.

Marc Badner joined as a managing director in North American credit sales from RBS Greenwich Capital. He will cover hedge funds, insurance companies and asset managers.

Joseph Lyons and Keith Price join as directors of North American credit sales and U.S. inflation business, respectively.

-By Jessica Papini, Dow Jones Newswires; 212-416-2172; jessica.papini@dowjones.com