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How to understand the PLL FM?

Question asked by Longlong Li on Dec 6, 2018
Latest reply on Jan 2, 2019 by Diana Batrlova

S12ZVM Reference Manual says "FM1 and FM0 enable frequency modulation on the VCOCLK. This
is to reduce noise emission". How to understand that ?

In my understand, for example, PLL output ( VCOCLK ) set as 10MHz and FM set as '01', actual VCOCLK  is 10±0.1%. Is that correct? How about FM off? 

Best regards.