NO.PZ2022120703000088
问题如下:
Which of the following represents the most developed asset class in terms of ESG integration?
选项:
A.Fixed income B.Private equity C.Listed equities解释:
C is correct because "listed equities represent the most developed asset class in terms of ESG integration. Equities have various advantages relative to other asset classes, notably the greatest amount of transparency owing to its capital structure where creditors and shareholders coexist."
A is incorrect because "generally speaking, ESG integration in fixed income has experienced a good deal of catch up hence less developed relative to listed equities. However, there is still significant differentiation across the sub-asset classes. … As we will discuss, lower levels of ESG integration in areas like sovereign debt and high yield credit often reflect a scarcity in ESG ratings and data sets and ratings, particularly in the unlisted credit markets."
B is incorrect because "ESG integration in private equity faces several challenges, foremost being the lack of public transparency, established reporting standards, regulatory oversight and public market expectations around ESG" hence private equity does not represent the most developed asset class in terms of ESG integration.
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