Over the past several years, the proportion of sustainable investing relative to total managed assets has fallen in:

Over the past several years, the proportion of sustainable investing relative to total managed assets has fallen in:
A . Europe
B . Canada
C . the United States

View Answer

Answer: A

Explanation:

Over the past several years, the proportion of sustainable investing relative to total managed assets has fallen in Europe.

Here ’ s a detailed explanation:

Stricter Standards:

The decline in Europe’s proportion of sustainable investing assets is partly due to the adoption of stricter standards and definitions for sustainable investing. These higher standards have led to a reclassification of assets, resulting in a decrease in the reported proportion of sustainable assets relative to total managed assets.

Comparative Growth:

In contrast, other regions such as Canada and Australia/New Zealand have seen an increase in the proportion of sustainable investing assets. This growth highlights the relative decline in Europe as stricter regulatory frameworks have reshaped the sustainable investing landscape.

CFA ESG Investing

Reference: The CFA ESG Investing curriculum emphasizes the regional differences in the growth and adoption of sustainable investing practices. Europe’s move towards stricter regulations and definitions has impacted the proportion of sustainable assets, a trend well-documented in recent ESG reports and industry analyses.