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The concept of double-agency in society refers to the conflict of interest between
The concept of double-agency in society refers to the conflict of interest betweenA . corporate CEOs and shareholdersB . money managers and asset owners.C . corporate CEOs and money managersView AnswerAnswer: B Explanation: The concept of double-agency in society refers to the conflict of interest between money managers and asset...
An ESG scorecard for sovereign debt issuers has the following information:
An ESG scorecard for sovereign debt issuers has the following information: Country 1 No carbon policy and high corruption risk Country 2 High-level carbon policy and low corruption risk Country 3 Detailed carbon policy and low corruption risk Based only on this information, the country with the lowest ESG risk...
Which of the following statements about corporate governance is most accurate? Companies with a more diverse board of directors are most likely associated with
Which of the following statements about corporate governance is most accurate? Companies with a more diverse board of directors are most likely associated withA . lower profitabilityB . lower stock return volatility.C . less investment in research and development.View AnswerAnswer: B Explanation: Companies with a more diverse board of directors...
The divergence of ratings among ESG providers most likely.
The divergence of ratings among ESG providers most likely.A . enhances the credibility of empirical researchB . ensures that ESG performance is reflected in asset prices.C . hampers the ambition of companies to improve their ESG performanceView AnswerAnswer: C Explanation: The divergence of ratings among ESG providers most likely hampers...
Which of the following is a form of individual engagement?
Which of the following is a form of individual engagement?A . Generic letterB . Soliciting supportC . Informal discussionsView AnswerAnswer: C Explanation: Individual engagement refers to direct and personal interactions between investors and companies. Informal discussions are a form of individual engagement where investors engage directly with company representatives to...
When undertaking an ESG assessment of a private equity deal ESG screening and due diligence will most likely take place during:
When undertaking an ESG assessment of a private equity deal ESG screening and due diligence will most likely take place during:A . exitB . ownershipC . deal sourcingView AnswerAnswer: C Explanation: When undertaking an ESG assessment of a private equity deal, ESG screening and due diligence are most likely to...
A company reduces water usage and increases usage of more expensive resources after regulations become more stringent. This most likely impacts:
A company reduces water usage and increases usage of more expensive resources after regulations become more stringent. This most likely impacts:A . revenuesB . provisionsC . operating expenditureView AnswerAnswer: C Explanation: When a company reduces water usage and increases the use of more expensive resources due to more stringent regulations,...
Which of the following is an example of a just’ transition with regards to climate change?
Which of the following is an example of a just’ transition with regards to climate change?A . A company issues a first transition bond to finance a gas-fired power utility projectB . A manufacturer designs products that are more reusable and recyclable to support the circular economyC . A government...
The investor initiative FAIRR focuses on screening out companies
The investor initiative FAIRR focuses on screening out companiesA . mining ancestral lands.B . using suppliers that do not pay a living wage.C . exhibiting poor antibiotic stewardship in animal farmingView AnswerAnswer: C Explanation: The FAIRR initiative focuses on screening out companies exhibiting poor antibiotic stewardship in animal farming. Here...
With respect to ESG integration, adjusting financial model inputs based on an evaluation of a company’s ESG risk factors is an example of a:
With respect to ESG integration, adjusting financial model inputs based on an evaluation of a company’s ESG risk factors is an example of a:A . hybrid approachB . qualitative approach.C . quantitative approachView AnswerAnswer: C Explanation: Adjusting financial model inputs based on an evaluation of a company’s ESG risk factors...
