CESGA EXAM QUESTIONS AND VERIFIED
CORRECT ANSWERS.
Best in Class - CorreCt Answers -selection of companies with the best
environmental, social, and governance practices
-mainly active equity strategies
-bias towards large-cap companies
-increasingly used in fixed income strategies
Thematic Investment - CorreCt Answers -choose stocks of companies,
countries, and sectors based on the performance of particular specific
indicators linked to growth themes, structural and long-term sustainable
development; selecting companies active in sectors or themes related to
sustainable development challenges\
-mainly active equity strategies
-bias towards small and mid cap companies
ESG Integration - CorreCt Answers -financial management that takes ESG
aspects into account throughout the investment decision-making process
-motives: seek financial advantage from the integration of relevant ESG
aspects and indicators
-main barriers: general knowledge, costs, data availability
, Engagement and Voting - CorreCt Answers --engagement: any interaction
between investor and investee companies on ESG issues and relevant
strategies with the goal of improving practices and disclosure
-voting: exercise of voting rights to formally express approval/disapproval
on relevant matters
Top 3 Engagement Priorities - CorreCt Answers --climate risk and energy
transition
-workforce and board diversity
-strategic workforce issues beyond diversity
Impact Investing - CorreCt Answers -investments made with the explicit
intention of generating positive social and/or environmental impact
alongside a financial return
-characteristics: intentionality, financial returns, range of asset classes,
impact measurement
Impact Investing - Implementation - CorreCt Answers --primarily via
private equity and debt instruments
-generally more long-term in nature
Global ESG Funds by Asset Class - CorreCt Answers --more than half
invested worldwide was in equities
-small portion invested in alternatives
CORRECT ANSWERS.
Best in Class - CorreCt Answers -selection of companies with the best
environmental, social, and governance practices
-mainly active equity strategies
-bias towards large-cap companies
-increasingly used in fixed income strategies
Thematic Investment - CorreCt Answers -choose stocks of companies,
countries, and sectors based on the performance of particular specific
indicators linked to growth themes, structural and long-term sustainable
development; selecting companies active in sectors or themes related to
sustainable development challenges\
-mainly active equity strategies
-bias towards small and mid cap companies
ESG Integration - CorreCt Answers -financial management that takes ESG
aspects into account throughout the investment decision-making process
-motives: seek financial advantage from the integration of relevant ESG
aspects and indicators
-main barriers: general knowledge, costs, data availability
, Engagement and Voting - CorreCt Answers --engagement: any interaction
between investor and investee companies on ESG issues and relevant
strategies with the goal of improving practices and disclosure
-voting: exercise of voting rights to formally express approval/disapproval
on relevant matters
Top 3 Engagement Priorities - CorreCt Answers --climate risk and energy
transition
-workforce and board diversity
-strategic workforce issues beyond diversity
Impact Investing - CorreCt Answers -investments made with the explicit
intention of generating positive social and/or environmental impact
alongside a financial return
-characteristics: intentionality, financial returns, range of asset classes,
impact measurement
Impact Investing - Implementation - CorreCt Answers --primarily via
private equity and debt instruments
-generally more long-term in nature
Global ESG Funds by Asset Class - CorreCt Answers --more than half
invested worldwide was in equities
-small portion invested in alternatives
