Free CFA Institute Sustainable-Investing Exam Questions

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

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Total 721 Questions | Updated On: Aug 19, 2026

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Question 1

A : Screens out fossil fuels from portfolios

B : Invests only in companies with a positive environmental impact

C : Involves publicly traded firms exiting polluting businesses by sales to third parties

Answer: C

Question 2

According to the Brunel Asset Management Accord, which of the following is least likely a cause for concern when evaluating an asset manager against an ESG investment mandate?

A : Change in investment style

B : Loss of key personnel in the organization

C : Short term underperformance compared to benchmark

Answer: C

Question 3

A concept that attempts to describe what would happen to global temperatures if CO# concentrations in the atmosphere were to double relative to the pre-industrial average is best described as:

A : climate change.

B : climate sensitivity.

C : transient climate response.

Answer: B

Question 4

A challenge to ESG integration for investment managers is the:

A : Narrow range of possible ESG data.

B : Inherently subjective nature of ESG analysis.

C : High correlation among third-party ESG ratings.

Answer: B

Question 5

When constructing net zero portfolios, investors:

A : Can follow a clearly accepted standard for netting exposures to carbon risk

B : Typically agree on how to best account for the role that derivatives and shorts play

C : Will tend to have overweight equity allocations in the technology sector if they exclude Scope 3 emissions

Answer: C

Page: 1 / 145

Total 721 Questions | Updated On: Aug 19, 2026

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