Pass Guaranteed CFA Institute - Latest ESG-Investing - Pass4sure Certificate in ESG Investing Exam Prep
Pass Guaranteed CFA Institute - Latest ESG-Investing - Pass4sure Certificate in ESG Investing Exam Prep
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Tags: Pass4sure ESG-Investing Exam Prep, Cert ESG-Investing Guide, ESG-Investing Reliable Test Simulator, Valid ESG-Investing Test Dumps, ESG-Investing Dumps Discount
One thing has to admit, more and more certifications you own, it may bring you more opportunities to obtain better job, earn more salary. This is the reason that we need to recognize the importance of getting the test ESG-Investing certifications. More qualified certification for our future employment has the effect to be reckoned with, only to have enough qualification certifications to prove their ability, can we win over rivals in the social competition. Therefore, the ESG-Investing Guide Torrent can help users pass the qualifying examinations that they are required to participate in faster and more efficiently.
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CFA Institute Certificate in ESG Investing Sample Questions (Q607-Q612):
NEW QUESTION # 607
Which of the following is an example of shareholder engagement? Institutional investors:
- A. responding to policy consultations
- B. discussing ESG issues with an investee company's board
- C. making ESG recommendations to policy makers
Answer: B
Explanation:
An example of shareholder engagement is institutional investors discussing ESG issues with an investee company's board. Shareholder engagement involves active dialogue between investors and company management to address and influence ESG practices and performance.
* Direct Interaction: Engaging directly with the board allows institutional investors to communicate their ESG concerns and expectations. This can lead to more informed decision-making by the board on ESG matters.
* Influence and Accountability: By discussing ESG issues with the board, investors can hold the company accountable for its ESG performance. This can drive improvements in areas such as governance, environmental impact, and social responsibility.
* Long-term Value: Effective engagement on ESG issues can enhance long-term value creation for both the company and its shareholders. It encourages sustainable business practices that mitigate risks and capitalize on ESG opportunities.
References:
* MSCI ESG Ratings Methodology (2022) - Highlights the role of shareholder engagement in influencing corporate ESG practices.
* ESG-Ratings-Methodology-Exec-Summary (2022) - Discusses the importance of direct dialogue between investors and company boards in improving ESG performance.
NEW QUESTION # 608
Investment in fossil fuels is permitted under:
- A. Both the EU Paris-Aligned Benchmarks and the EU Climate Transition Benchmarks
- B. The EU Climate Transition Benchmarks only
- C. The EU Paris-Aligned Benchmarks only
Answer: A
Explanation:
Both the EU Paris-Aligned Benchmarks and the EU Climate Transition Benchmarks allow for limited investment in fossil fuels. However, these benchmarks include strict criteria to ensure that such investments contribute to the transition to a low-carbon economy and are aligned with long-term decarbonization goals.
ESG Reference: Chapter 8, Page 406 - ESG Integrated Portfolio Construction & Management in the ESG textbook.
Scope 3 carbon emissions, which include indirect emissions throughout the value chain (e.g., suppliers and consumers), are accounted for under both the UK Task Force on Climate-related Financial Disclosures (TCFD) and the European Union's Sustainable Finance Disclosure Regulation (SFDR). These frameworks encourage comprehensive reporting of all emissions sources.ESG Reference: Chapter 3, Page 133 - Environmental Factors in the ESG textbook.
Reporting in the ESG textbook.
NEW QUESTION # 609
Regrowing previously logged forests is most likely an example of climate:
- A. change mitigation.
- B. change adaptation.
- C. resilience.
Answer: A
Explanation:
Regrowing Previously Logged Forests:
Regrowing previously logged forests is an example of climate change mitigation.
1. Climate Change Mitigation: Climate change mitigation refers to efforts to reduce or prevent the emission of greenhouse gases. Regrowing forests contributes to mitigation by absorbing CO2 from the atmosphere through the process of photosynthesis, thereby reducing the overall concentration of greenhouse gases.
2. Climate Resilience and Adaptation:
Climate Resilience: Involves enhancing the ability of systems to withstand and recover from climate-related impacts.
Climate Adaptation: Refers to adjustments in systems or practices to reduce the negative effects of climate change and take advantage of new opportunities. While regrowing forests can contribute to adaptation by improving ecosystem services, its primary role is in mitigation by sequestering carbon.
Reference from CFA ESG Investing:
Climate Mitigation Strategies: The CFA Institute highlights various strategies for climate change mitigation, including afforestation and reforestation as key practices for sequestering carbon and reducing greenhouse gas concentrations in the atmosphere.
NEW QUESTION # 610
Which of the following statements best describes the greenium?
- A. The increased return required by investors to hold green bonds
- B. The premium paid by investors to exclude fossil fuel stocks from their portfolio
- C. The lower yield investors accept to hold green bonds compared to conventional bonds
Answer: C
Explanation:
Thegreeniumrefers to thelower yield ("green premium") investors accept when purchasing green bonds, as they prioritize sustainability over purely financial returns.
* Green bonds often trade at lower yields than conventional bonds due to high demand from ESG- conscious investors.
* Increased return required (A) is incorrect because green bonds generally offer lower yields.
* Excluding fossil fuels (C) is part of negative screening, not greenium.
References:
* Climate Bonds Initiative Greenium Research
* Principles for Responsible Investment (PRI) Green Bond Market Analysis
* CFA Institute ESG Fixed Income Report
========
NEW QUESTION # 611
A regulatory framework designed to support ESG integration in corporate disclosures is:
- A. The US Foreign Corrupt Practices Act (FCPA)
- B. The EU Sustainable Finance Disclosure Regulation (SFDR)
- C. The EU General Data Protection Regulation (GDPR)
Answer: B
Explanation:
TheEU Sustainable Finance Disclosure Regulation (SFDR)mandatesESG-related disclosure requirementsfor investment managers and financial advisors, ensuringtransparent reporting on sustainability risks and ESG integration.
* GDPR (B) is about data privacy, not ESG disclosures.
* FCPA (C) targets anti-corruption laws, not sustainability reporting.
References:
* European Commission SFDR Compliance Guide
* CFA Institute ESG Disclosure & Regulation Report
* Principles for Responsible Investment (PRI) ESG Regulatory Overview
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NEW QUESTION # 612
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