CFA Certificate in ESG Investing Exam Questions with Complete Correct Answers | Grade A+
14 views 0 purchase
Course
CFA
Institution
CFA (CFA)
Externalities are costs that a business does not bear itself but instead imposes on others.
Which of the following is not an example of an externalised cost?
Ans: Building on brownfield sites.
Explanation
Externalities are costs that a business does not bear itself (internalise) but instead im...
A company has scored well on ESG metrics relative to its competitors, which implies a
number of things. Which of the following is not one of the implications of this relative ESG
score?
Ans: They are more likely to grow rapidly and offer higher short term returns.
Explanation
Companies that score well on ESG metrics are better able to anticipate ESG risks and
opportunities, enjoy valuation premiums due to changing investor concerns and preferences,
and are more disposed to longer term strategic thinking and planning.
What is sustainable development goal 13 (SDG 13)?
Ans: To take urgent action to combat climate change and its impacts.
, Explanation
SDG 13 is focused on climate change. SDG 13 underpins a recognition that economic
development and climate change are inextricably linked, especially where the effects of
global warming in particular can have a negative effect on growth and development.
What is the concept of the triple bottom line (TBL) in the context of corporate accounting?
Ans: TBL attempts to clearly communicate to investors and stakeholders the value created
by companies when social and environmental issues were considered systematically in their
business operations.
Explanation
TBL attempts to improve reporting practices and communicate more clearly to investors and
stakeholders the value created by companies when social and environmental issues were
considered systematically in their business operations.
Which of the following would not be considered a corporate governance issue?
Ans: Working conditions.
Explanation
Working conditions is a social issue.
Institutional investors aim to integrate ESG factors into investment decisions. Which of the
following is not a typical method by which this may be achieved?
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller ExamArsenal. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $18.79. You're not tied to anything after your purchase.
