Higher Test Marks with Free Online Sustainable-Investing Exam Practice

Assess the CertsIQ’s updated Sustainable-Investing exam questions for free online practice of your Sustainable Investing Certificate(CFA-SIC) test. Our CFA-SIC Sustainable Investing dumps questions will enhance your chances of passing the CFA Institute Certificate certification exam with higher marks.

Question 1

Which of the following has the long-term goal to keep the increase in global average temperature to well below 2°C (3.6°F) above pre-industnal levels?

Options :

A : The Kyoto Protocol

B : The Paris Agreement

C : The UN Framework Convention on Climate Change

Answer: B

Question 2

Which of the following challenges is most likely related to the attribution of returns to ESG factors?

Options :

A : Difficulty to demonstrate the value added by a programme of engagement

B : Difficulty to assess the performance drag that comes from excluding an industrial sector

C : Performance attribution to ESG factors is still in its early stages and may well need further assurance and consistency for it to have real power

Answer: C

Question 3

Suppose the average price-to-earnings (P/E) ratio for the financial industry is 10x. A financial institution with high ESG risk compared to its industry, is most likely assigned a fair value P/E ratio:

Options :

A : lower than 10x

B : of 10x

C : higher than 10x

Answer: A

Question 4

Which of the following statements about externalities is most accurate?

Options :

A : Externalities are reflected in the prices of commercial goods and services

B : Private costs are higher than societal costs when externalities are negative

C : Measures to internalize externalities can be taken by corporates or governments

Answer: C

Question 5

To be aligned with the EU Taxonomy for Sustainable Activities, economic activities should make a substantive contribution to:

Options :

A : Each of the environmental objectives.

B : At least one of the environmental objectives.

C : One or more of the environmental objectives that outweighs any significant harm made to others.

Answer: B