Emerging Markets Loans Fund

The FMO Emerging Markets Loans Fund I, launched in 2018, raised almost USD 400 million investor capital. By the end of the investment period (May 2021), the Fund successfully (re)committed over USD 400 million across more than 50 projects and businesses globally. In July 2021, the FMO Emerging Markets Loans Fund II launched with investor capital commitment of USD 150 million.

Strategy 

This Fund enables institutional investors to co-invest alongside FMO in loans to financial institutions, renewable energy projects and agribusiness companies in emerging and frontier markets. It combines measurable social and environmental impact, a moderate risk profile and likely a stable, attractive financial return.

This FMO Emerging Markets Loans Fund provides:

• A better return through the relative high illiquidity premium
• Protection against rate sensitivity due to the variable interest rates on the LIBOR + bps loans
• Advantages of broad diversification of your portfolio
• An attractive risk return profile also through the full integration of environmental, social and corporate governance (ESG) aspects in all parts of the investment and portfolio management process    

A natural partnership

As a pioneer in emerging market debt with an excellent track record, GSAM (former NN IP) is a natural partner for FMO IM to work with. This partnership combines the best of both worlds: FMO’s extensive experience and solid track record in corporate loan investing in emerging markets, plus  their high credit ratings, along with GSAM’s fund management and client servicing capabilities.

Through the FMO Emerging Markets Loans Fund qualified investors:

• Are able to invest in emerging markets loans, expected to generate stable and attractive returns with a strong ESG profile;
• Can invest alongside FMO, as the fund will mirror loan investments made by FMO, taking advantage of their strong underwriting capabilities and track record in emerging markets;
• Will invest with measurable impact following FMO's impact measurement model.

The value of your investments may fluctuate. Results achieved in the past do not offer any guarantee for the future.