Sustainable-Investing Exam Dumps - Sustainable Investing Certificate(CFA-SIC) Exam

A threshold assessment refers to setting a minimum criterion for governance practices that must be met before considering an investment in a company. (ESGTextBook[PallasCatFin], Chapter 5, Page 259)

Governance has the clearest and most direct link to corporate financial performance, as strong governance practices help reduce risk, improve decision-making, and lead to more sustainable long-term growth. (ESGTextBook[PallasCatFin], Chapter 5, Page 236)

The 2020 revision of the UK Stewardship Code requires signatories to annually report on how their stewardship activities have produced tangible outcomes that benefit their clients. (ESGTextBook[PallasCatFin], Chapter 6, Page 280)

Human rights are a social factor that primarily affects external stakeholders, such as communities or populations impacted by a company's operations. (ESGTextBook[PallasCatFin], Chapter 4, Page 192)

Applying constraints in ESG portfolio optimization can be done through exclusionary screening, where certain sectors, companies, or activities are excluded based on ESG criteria. This is one of the most common methods used by investors to ensure that portfolios align with ESG objectives.ESG Reference: Chapter 9, Page 505 - Investment Mandates, Portfolio Analytics & Client Reporting in the ESG textbook.

Wastewater treatment plants are capital-intensive projects, requiring significant investment upfront for infrastructure and technology, which can be a major barrier to entry. (ESGTextBook[PallasCatFin], Chapter 3, Page 153)

ESG investing in emerging markets is more challenging due to limited availability of data, variability in reporting standards, and differences in governance practices between countries and companies. (ESGTextBook[PallasCatFin], Chapter 2, Page 61)

A concert party refers to an agreement between institutions to engage with a company in a coordinated manner, usually with concrete objectives and steps agreed upon to drive change through collective shareholder action. (ESGTextBook[PallasCatFin], Chapter 6, Page 285)