We monitor all medium and high E&S risk in our entire portfolio, not just the medium and high E&S risks in our target. Out of a total of approximately 800 clients, there are 306 clients with a high E&S risk category (A or B+). FMO accepts that when we first start working with a client the ESG performance may be below standard but we expect performance to improve over time in line with agreed action plans.
Most clients show progress towards these action plans and meeting our standards. FMO has, however, identified A and B+ clients that are not managing their E&S risks in line with expectations or that are materially behind schedule. Our report provides a summary of the key issues we have identified and how we engage with our clients to help them get (back) on track: https://annualreport.fmo.nl/2019/