Question 1

A company reduces water usage and increases usage of more expensive resources after regulations become more stringent. This most likely impacts:

Options :

A : revenues

B : provisions

C : operating expenditure

Answer: C

Question 2

Which of the following ESG investment approaches would most appropriately be used to construct a balanced and diversified portfolio?

Options :

A : Thematic investing

B : Screening on a relative basis

C : Screening on an absolute basis

Answer: B

Question 3

Under the "shades of green" methodology developed by the Center for International Climate Research (CICERO), a bond that funds transition activities that do not lock in emissions is considered:

Options :

A : Yellow

B : Light green

C : Medium green

Answer: B

Question 4

Which of the following statements about quantitative ESG analysis is most accurate?

Options :

A : Quantitative ESG analysis is only based on third-party data

B : The length of the timeseries for ESG data is shorter than for financial data

C : Application programming interfaces (APIs) are used to bring structure to the ESG dataset

Answer: B

Question 5

Compared with younger people, older people are more likely to have:

Options :

A : lower accumulated savings and spend less on consumer goods

B : higher accumulated savings and spend less on consumer goods.

C : higher accumulated savings and spend more on consumer goods

Answer: B

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