Free CFA Institute ESG-Investing Exam Questions

Become CFA Institute Certified with updated ESG-Investing exam questions and correct answers

Page: 1 / 134

Total 667 Questions | Updated On: Jun 05, 2025

Add To Cart

Question 1

Which of the following strategies is most consistent with an investment mandate focusing on risk management?

A : Monitoring company managers

B : Tilt the portfolio towards desired ESG factors

C : Exclude certain companies with respect to ESG factors

Answer: C

Question 2

Flooding, droughts, and storms are examples of severe weather events arising from:

A : Physical risk only

B : Transition risk only

C : Both physical risk and transition risk

Answer: A

Question 3

Flooding, droughts, and storms are examples of severe weather events arising from:

A : Physical risk only

B : Transition risk only

C : Both physical risk and transition risk

Answer: A

Question 4

Compared to traditional index-based funds, ESG index-based funds typically have:

A : a lower fee structure.

B : the same fee structure.

C : a higher fee structure.

Answer: C

Question 5

Which of the following statements about engagement escalation is most accurate?

A : Disinvestment is not considered a form of escalation.

B : Litigation is an escalation tool that should be used frequently.

C : Collective engagement is often the most powerful form of escalation.

Answer: C

Page: 1 / 134

Total 667 Questions | Updated On: Jun 05, 2025

Add To Cart