CFA Institute Sustainable-Investing Question Answer
Which of the following is best classified as a primary ESG data source?
A.
ESG ratings
B.
Regulator scores
C.
Research from investment consultants
The Answer Is:
A
This question includes an explanation.
Explanation:
ESG ratings are considered a primary source of ESG data. These ratings are generated by specialized ESG research firms and provide an assessment of a company’s ESG performance based on various metrics and methodologies. Research from consultants or regulatory scores may supplement these ratings but are not primary sources.ESG Reference: Chapter 7, Page 319 - ESG Analysis, Valuation & Integration in the ESG textbook.
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