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問題 #263
Which of the following UK Stewardship Code principles is not addressed in the European Fund and Asset Management Association (EFAMA) Code? The principle that institutional investors should:
答案:B
解題說明:
The principle that institutional investors should have a robust policy on managing conflicts of interest in relation to stewardship is not addressed in the European Fund and Asset Management Association (EFAMA) Code.
UK Stewardship Code: This code includes principles that address monitoring investee companies (A), reporting periodically on stewardship and voting activities (B), and having robust policies on managing conflicts of interest in relation to stewardship (C).
EFAMA Code: While the EFAMA Code covers monitoring and reporting on stewardship activities, it does not explicitly address the need for a robust policy on managing conflicts of interest.
CFA ESG Investing Reference:
The CFA Institute's resources on stewardship codes and principles provide a detailed comparison of various stewardship codes globally, including those by the UK and EFAMA. The UK Stewardship Code is noted for its comprehensive approach, including conflict of interest management, which is less emphasized in the EFAMA Code.
問題 #264
In contrast to engagement dialogues, monitoring dialogues most likely involve:
答案:A
解題說明:
In responsible investment, engagement dialogues and monitoring dialogues are two distinct approaches used by investors to interact with investee companies regarding ESG issues.
1. Engagement Dialogues: Engagement dialogues are proactive and involve a two-way sharing of perspectives between investors and the investee company. The objective is to influence and improve the company's ESG practices and performance. These dialogues often focus on specific ESG issues and seek to bring about change through constructive feedback and recommendations.
2. Monitoring Dialogues: Monitoring dialogues, on the other hand, are more about gathering information and understanding the company's operations, stakeholders, and overall performance. These dialogues are intended to provide investors with insights into how the company is managing ESG risks and opportunities. The focus is on ensuring that the company adheres to its stated ESG policies and commitments.
3. Nature of Monitoring Dialogues: Monitoring dialogues are typically more passive compared to engagement dialogues. They involve discussions that aim to understand the company's approach to ESG matters, its interactions with stakeholders, and its performance metrics. These conversations can occur at any level of the investee entity, including with non-executive directors, but are primarily focused on information gathering rather than influencing change.
References from CFA ESG Investing:
* Engagement and Monitoring: The CFA Institute outlines the differences between engagement and monitoring dialogues, emphasizing that monitoring is primarily about understanding and assessing the company's ESG performance and stakeholder interactions.
* Investor-Company Interactions: Understanding the nature of these interactions helps investors effectively manage their ESG integration strategies and ensures that they are well-informed about the investee company's practices.
In conclusion, monitoring dialogues most likely involve discussions intended to understand the company, its stakeholders, and performance, making option B the verified answer.
問題 #265
Scores used to construct ESG index benchmarks can be
答案:C
解題說明:
ESG (Environmental, Social, and Governance) scores used to construct ESG index benchmarks can be based on both raw data and ratings derived from various data points and methodologies. The following references from ESG and sustainable investing documents validate this:
* Data-based Approach:
* ESG ratings incorporate vast amounts of raw data. For instance, MSCI ESG Research collects over 1,000 data points related to ESG policies, programs, and performance, including data on individual directors and shareholder meeting results spanning up to 20 years.
* This raw data is sourced from a variety of inputs including company disclosures (e.g., sustainability reports, 10-K filings), government databases, and over 3,400 media sources that are monitored daily.
* Rating-based Approach:
* ESG ratings are not just aggregations of raw data but involve sophisticated methodologies to convert this data into actionable insights. MSCI ESG Ratings, for example, are assigned on a scale from AAA to CCC, reflecting the relative ESG performance of companies within their industry.
* The process includes assessing exposure metrics (how exposed a company is to material ESG issues), management metrics (how well a company manages these issues), and continuously monitoring controversies and events that may impact these ratings.
* ESG ratings also involve setting key issue scores and weights, which combine to form an overall ESG rating relative to industry peers. This integration of various data points and weighted scoring systems exemplifies the rating-based nature of ESG benchmarks.
By combining both these approaches, ESG index benchmarks ensure a comprehensive assessment of a company's sustainability performance. The data-based aspect ensures that decisions are grounded in factual, quantitative information, while the rating-based aspect provides a nuanced, comparative evaluation of ESG risks and opportunities across companies and industries.
These detailed methodologies align with the CFA ESG Investing standards, which emphasize the importance of integrating both quantitative data and qualitative assessments in ESG evaluations.
CFA ESG Investing References:
* The CFA Institute's curriculum on ESG Investing highlights the need for both data-based and rating-based approaches in constructing ESG benchmarks. The CFA ESG Investing Exam Preparation materials emphasize understanding various ESG data sources, metrics, and the methodologies for aggregating these into ratings to provide a comprehensive view of a company's ESG performance.
This integrated approach ensures that ES
問題 #266
An analyst derives correlations to determine how ESG factors might impact financial performance over time and then weights those factors appropriately within the portfolio. This approach is best described as:
答案:B
解題說明:
The systematic approach involves deriving correlations between ESG factors and financial performance, then weighting those factors accordingly within the portfolio. This method is quantitative and aims to integrate ESG factors into the overall risk and return analysis.
ESG Reference: Chapter 7, Page 325 - ESG Analysis, Valuation & Integration in the ESG textbook.
問題 #267
Which of the following statements about the materiality of social factors is most accurate?
答案:B
解題說明:
The importance of a specific social issue often depends on the regional or country context. For example, population aging might be more relevant in developed markets, while labor rights may be more critical in emerging markets. Social factors are highly context-dependent and vary significantly across different regions and sectors.ESG Reference: Chapter 4, Page 192 - Social Factors in the ESG textbook.
問題 #268
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