CFA Institute Exam ESG-Investing Topic 6 Question 8 Discussion

Actual exam question for CFA Institute's ESG-Investing exam

Question #: 8
Topic #: 6

[All ESG-Investing Questions]

A common characteristic of the EU Paris-Aligned Benchmarks and the EU Climate Transition Benchmarks is that they both:

Apermit only green investments.

Bpermit fossil fuel investments as part of a transition process.

Crequire a reduction in carbon emissions intensity in the starting year.

Show Suggested Answer

Suggested Answer: C

Both the EU Paris-Aligned Benchmarks and the EU Climate Transition Benchmarks require an initial reduction in carbon emissions intensity in the starting year, to ensure alignment with climate goals and the Paris Agreement. (ESGTextBook[PallasCatFin], Chapter 3, Page 153)

by Rikki at Jan 15, 2025, 08:30 PM

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Aretha

1 days ago

I disagree, I believe the answer is A) permit only green investments.

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Hoa

1 days ago

I think C is the correct answer. The benchmarks require a reduction in carbon emissions intensity from the start to support the transition to a low-carbon economy.

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Lenny

14 days ago

I think the answer is B) permit fossil fuel investments as part of a transition process.

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