Question 1

An analyst is evaluating potential long-term structural shifts with significant implications for global markets and investment strategies. Which of the following broad societal trends would be classified as a social megatrend that the analyst should consider?

Options :

A : Water scarcity

B : Mass migration

C : Religion

Answer: C

Question 2

Performance materiality:

Options :

A : is usually higher than overall materiality

B : is set lower when financial controls are strong.

C : can indicate the auditor-s level of trust in a company’s financial systems.

Answer: A

Question 3

Anti-corruption laws are a relevant governance factor for which of the following investments?

Options :

A : Private equity

B : Sovereign debt

C : Infrastructure assets

Answer: B

Question 4

Which of the following parties is most likely to help investors identify the extent and depth to which investment funds integrate ESG?

Options :

A : Fund labellers

B : Investment platforms

C : Investment consultants

Answer: A

Question 5

Companies subject to the EU Taxonomy are required to:

Options :

A : do no significant harm to any of the environmental objectives.

B : contribute substantially to at least two of the environmental objectives.

C : comply with the highest standards of social and governance safeguards.

Answer: A

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