Public HTML RI reports - PRI reporting framework 2020

	Corporate (financial)	Corporate (non-financial)	Securitised
Negative/exclusionary screening
Positive/best-in-class screening
Norms-based screening

04.2. Describe your approach to screening for internally managed active fixed income

Initial screening: - ESG Rapid Risk Screening templates or FMO ESG Toolkit - E&S officer or analyst provides advice and support to FMO Investment Officers - FMO's credit department/Investment Committee has dedicated ESG capacity (4 eye principle) providing objective feedback on the ESG analysis attached to the investment proposals (Financial Proposal stage) being made by FMO's front office. This is a formal part of FMO's investment policy.

Due Diligence: - On high and medium/high risk investment the E&S officer conducts an E&S due diligence (in some cases with support from an external ESG consultant) on the fund manager or the company. E&S officers provides advice and support to FMO Investment Managers - FMO's credit department/Investment Committee has dedicated ESG capacity providing objective feedback on the ESG analysis in the investment proposals being made by FMO's front office. This is a formal part of FMO's investment policy.

Investment decision: - Internal credit department can turn down investment proposal for reasons of ESG issues in the project - Investment Committee approval often contains strict ESG conditions.

04.3. Additional information. [Optional]

FI 05. Examples of ESG factors in screening process (Private)

FI 06. Screening - ensuring criteria are met

06.1. Indicate which systems your organisation has to ensure that fund screening criteria are not breached in fixed income investments.

Type of screening	Checks
Negative/exclusionary screening	Analysis is performed to ensure that issuers meet screening criteria We ensure that data used for the screening criteria is updated at least once a year. Automated IT systems prevent our portfolio managers from investing in excluded issuers or bonds that do not meet screening criteria Audits of fund holdings are undertaken yearly by internal audit or compliance functions Other, specify other description FMO has controls through the investment process that ensure compliance with our exclusion list. None of the above
Positive/best-in-class screening	Analysis is performed to ensure that issuers meet screening criteria We ensure that data used for the screening criteria is updated at least once a year. Automated IT systems prevent our portfolio managers from investing in excluded issuers or bonds that do not meet screening criteria Audits of fund holdings are undertaken yearly by internal audit or compliance functions Other, specify None of the above
Norms-based screening	Analysis is performed to ensure that issuers meet screening criteria We ensure that data used for the screening criteria is updated at least once a year. Automated IT systems prevent our portfolio managers from investing in excluded issuers or bonds that do not meet screening criteria Audits of fund holdings are undertaken yearly by internal audit or compliance functions Other, specify None of the above

06.2. Additional information. [Optional]

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Nederlandse Financierings-Maatschappij voor Ontwikkelingslanden N.V. (FMO)

PRI reporting framework 2020

(A) Implementation: Screening

FI 04. Types of screening applied