Question 1

The Global Real Estate Sustainability Benchmark (GRESB) full benchmark report provides a GRESB score. The GRESB score includes and weights which of the following considerations? Management, policy, and disclosure Overall portfolio key performance indicator (KPI) performance

Options :

A : I, but not II

B : II, but not I

C : Both I and II

Answer: C

Question 2

The size of the discount rate adjustment to account for ESG risks most likely depends on:

Options :

A : Company-specific ESG risks.

B : The magnitude of the company’s cash flows.

C : The effectiveness of the company's ESG risk management.

Answer: A

Question 3

Which of the following data are most likely the easiest to optimize in a portfolio?

Options :

A : Social

B : Governance

C : Environmental

Answer: B

Question 4

Under the "shades of green" methodology developed by the Center for International Climate Research (CICERO), a bond that funds transition activities that do not lock in emissions is considered:

Options :

A : Yellow

B : Light green

C : Medium green

Answer: B

Question 5

A challenge to quantitative approaches to ESG integration is that:

Options :

A : research from third-party data providers is relatively unsophisticated.

B : most available data is from third-party research and is undifferentiated.

C : ESG factors are correlated with existing factors such as value and momentum.

Answer: C