Sustainability-linked product

Sustainability - capital markets - Financial Markets Standards Board (FMSB).

(SLP).

The Financial Markets Standards Board (FMSB) defines a sustainability-linked product as a type of financial instrument for which the financial and/or structural characteristics can vary depending on whether the User of the instrument achieves predefined Sustainability/ESG objectives.

Those objectives are typically:

(i) measured through predefined Key Performance Indicators (KPIs); and

(ii) assessed against predefined Sustainability Performance Targets (SPTs).

(Source - FMSB Glossary).

See also

• Capital market
• Corporate sustainability due diligence
• Environmental, social and governance (ESG)
• Financial Markets Standards Board (FMSB)
• Governance
• Greenwash
• Key performance indicator (KPI)
• Sustainability
• Sustainability bond
• Sustainability bond framework
• Sustainability Bond Guidelines
• Sustainability breach
• Sustainability co-ordinator
• Sustainability-linked
• Sustainability-linked bond (SLB)
• Sustainability linked bond framework
• Sustainability-Linked Bond Principles
• Sustainability-linked derivatives (SLDs)
• Sustainability linked financing
• Sustainability linked loan (SLL)
• Sustainability-Linked Loan Principles
• Sustainability performance target (SPT)
• Sustainability reporting
• Sustainability statement
• Sustainability themed investing
• Sustainable bond
• Sustainable Bond Market
• Sustainable debt
• Sustainable
• Sustainable finance
• User

Other resource

• FMSB Statement of Good Practice - Governance of sustainability-linked products