Question: Please help me to get these mcq answer Question 1 (2.1 points) Which of the following factors impede the provision of full coverage in the
Please help me to get these mcq answer
Question 1 (2.1 points)
Which of the following factors impede the provision of full coverage in the insurance industry?
Question 1 options:
| Information asymmetry | |
| Adverse selection | |
| Moral hazard | |
| All of the above |
Question 2 (2.1 points)
Which of the following constitutes the majority of insured catastrophe losses?
Question 2 options:
| Human-made catastrophes | |
| Car accidents | |
| Climate-related catastrophes | |
| Earthquakes |
Question 3 (3 points)
Select (all that apply) potential impacts of increased flooding risk on coastal property
Question 3 options:
| Higher collateral requirement | |
| Shorter mortgage terms | |
| Decrease in property value | |
| Lack of property insurance |
Question 4 (3 points)
Which of the following are among the characteristics of catastrophe bonds? Select all that apply
Question 4 options:
| Offered by governments | |
| Provide higher interest rates | |
| Scheduled payments may be delayed in case of catastrophic losses beyond certain thresholds | |
| All of the above |
Question 5 (3 points)
Select (all that apply) the functions of investment banking
Question 5 options:
| Providing loans | |
| Advising investors | |
| Managing assets | |
| Underwriting securities |
Question 6 (1.65 points)
Risk-based lending is in line with Sustainable Finance 2
Question 6 options:
| True | |
| False |
Question 7 (2.1 points)
A borrower defaults and the bank recovers 78% of the loan. What's the bank's loss given default.
Loss given default = 1 - y
Where:
y = recovery rate
Question 7 options:
| 35% | |
| 78% | |
| 22% | |
| Can't be determined |
Question 8 (2.1 points)
Which of the following is a key advantage of microfinance?
Question 8 options:
| Lack of marketable collaterals | |
| Information asymmetry | |
| Group lending | |
| All of the above |
Question 9 (1.65 points)
Concentrated portfolio with a small number of assets/companies is more suitable for fundamental analysis
Question 9 options:
| True | |
| False |
Question 10 (2.1 points)
Which of the following is NOT compatible with active investing?
Question 10 options:
| Fundamental analysis | |
| Tracking a benchmark index | |
| Engaging with investee companies | |
| Continuous buying and selling of financial assets |
Question 11 (1.65 points)
Benefits of portfolio diversification continuously increase as the number of stocks in a portfolio grows
Question 11 options:
| True | |
| False |
Question 12 (2.1 points)
Which of the strategies below applies to both private and public equity?
Question 12 options:
| Fundamental | |
| Quant | |
| Passive | |
| Active |
Question 13 (1.65 points)
One can incorporate a company's value drivers (e.g. business model, competitive position, sales, margins, etc.) into equity valuation in the DCF (discounted cash flow) approach.
Question 13 options:
| True | |
| False |
Question 14 (3 points)
Select (all that apply) the attributes of modern day joint stock corporations
Question 14 options:
| Limited liability | |
| Risk sharing | |
| Residual claims | |
| None of the above |
Question 15 (2.1 points)
Which of the following methods in considering ESG issues for equity are in line with SF 1 and SF 3, respectively?
Question 15 options:
| Best in class and negative screening | |
| Negative screening and impact investing | |
| Thematic investing and ESG integration | |
| Active ownership and best in class |
Question 16 (1.65 points)
Impact investing is not concerned about financial return
Question 16 options:
| True | |
| False |
Question 17 (1.65 points)
ESG integration is more relevant to sovereign bonds than corporate bonds
Question 17 options:
| True | |
| False |
Question 18 (3 points)
Which of the following make ESG integration more difficult in bonds than in equity? Select all that apply
Question 18 options:
| Lack of voting power | |
| Illiquidity of the bond market | |
| Lack of benefits from upside opportunities | |
| Credit risk |
Question 19 (2.1 points)
Creating conditions that incentivize companies to adopt sustainable business practices is known as
Question 19 options:
| Value based lending | |
| Nudging theory of change | |
| Responsible management education | |
| Thematic investing |
Question 20 (3 points)
In transition to Sustainable Finance what are some of the themes common to coalitions of financial institutions such as the Principles for Responsible Investment? Select all that apply
Question 20 options:
| Long-term orientation | |
| Concentrated portfolios | |
| Diversified portfolios | |
| Fundamental analysis | |
| Market benchmarking |
Question 21 (3 points)
Select the statements that apply to bonds
Question 21 options:
| Face value is the amount to be paid on a bond's maturity date | |
| Bonds always trade at their face value | |
| Bonds at times trade at a value different from their face value | |
| None of the above |
Question 22 (2.1 points)
Which of the following KPI's links sustainability contributions of companies to the broader context?
Question 22 options:
| Employee attrition | |
| Injury frequency rate | |
| Absolute return targets | |
| Footprint method |
Question 23 (3 points)
Which of the methods for considering ESG in equity investing does NOT require fundamental analysis? Select all that apply
Question 23 options:
| Best in class | |
| ESG integration | |
| Exclusionary screening | |
| Active ownership | |
| Thematic investing |
Question 24 (3 points)
Select (all that apply) the factors NOT related to sovereign bonds
Question 24 options:
| Product responsibility | |
| Fiscal policy | |
| Food security | |
| Employee relations | |
| Corruption |
Question 25 (2.1 points)
A global climate risk pool, if implemented, would help
Question 25 options:
| all affected countries recover from the financial impact of all extreme climate events | |
| the most vulnerable countries recover from the financial impact of the most extreme climate events | |
| the most vulnerable countries recover from the financial impact of all extreme climate events | |
| all affected countries recover from the financial impact of the most extreme climate events |
Question 26 (2.1 points)
Which component of the transition management framework focuses on coalitions for sustainable finance?
Question 26 options:
| Transition arena | |
| Transition agenda | |
| Transition experiments | |
| Transition monitoring |
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