Understanding Sustainable Investing
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Questions and Answers

Which of the following is NOT a method used by charities in response to undesirable and unsustainable effects of economic activity?

  • Taxing economic activity
  • Rewarding producers and consumers
  • Subsidizing producers and consumers
  • Regulating economic activity (correct)

What is the main focus of sustainable investing?

  • Minimizing environmental impact (correct)
  • Maximizing financial returns
  • Minimizing social impact
  • Minimizing governance impact

What distinguishes sustainable business from traditional business?

  • Provision of capital and cash
  • Improvement of environment and society (correct)
  • Ownership rights and cost of funding
  • Achieving the best risk-return trade-off

What does ESG stand for in the context of sustainable investing?

<p>Environmental and Social Governance (B)</p> Signup and view all the answers

What does sustainable finance include in addition to investing?

<p>Insurance and banking (C)</p> Signup and view all the answers

In the context of sustainable finance, what is the conduct of producers and consumers known as?

<p>Economic activity (C)</p> Signup and view all the answers

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