Higher impact portfolio

In 2020, we introduced portfolio targets in addition to our usual targets on new investments. By closely monitoring the development of our portfolio, we will steer investment decisions towards creating a higher impact portfolio.

Based on a total committed portfolio of €9.1 billion at year end 2019, we aim to grow our FMO portfolio by 8% to €9.8 billion. This includes new investments of approximately €2.2 billion. We will grow our Reduced Inequalities and Green portfolios to continue to scale our impact towards SDG 10 and SDG 13. €4 billion of the combined FMO, public funds and direct mobilized portfolios will have an Reduced Inequalities label, a 28% share of the total. Similarly, €4.9 billion – or a 34% share of the total – will have a Green label.

We continue to steer on ESG performance by our clients through the ESG performance tracker. Compared to previous years, FMO has extended its definition to monitor performance of a larger subset of clients. In 2020, 90% of ESG risks are managed at an amber or green level for all A and B+ ESG risk category clients and clients that require additional corporate governance support.