Introduction to Sustainability
Sustainability is integral to FMO’s business. We believe that sustainable environmental, social and governance (ESG) business practices are invaluable in a world facing a surging population and limited resources.
As well as holding our own business up to the highest sustainability standards, we seek clients and partners who share our vision. We are committed to sharing our sustainability expertise and knowledge with our peers, partners and clients. We work closely with the latter to help them implement ESG criteria and reach their sustainability goals.
Our experience has shown that incorporating ESG opportunities into business models is essential both for mitigating risk and creating development impact. Solid sustainability practices also go hand in hand with strong financial results. An internal analysis of private equity funds found a strong positive correlation between ESG performance and financial performance. In addition to this, attention to ESG stimulates innovation and can improve a company’s bottom line by, for example, lowering costs or reducing waste. It can also help businesses increase productivity, enhance access to capital and open up new markets.
 Bastiaan Quast, Hans-Stefan Michelberger, et al. (2012) “On Correlation Between PE Funds’ Environmental, Social and Governance Management and their Financial Performance".