Introduction to ESG | Corporate Finance Institute (2024)

An overview of the Environmental, Social, and Governance (ESG) framework

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Corporate Finance Institute

Introduction to ESG

  • Overview
  • What You'll Learn
  • Career Programs
  • What Students Say
  • FAQ

Overview

Introduction to ESG course overview

Environmental, Social, and Governance (ESG) has gained increasing attention over the past few years, with many institutional investors investing only in those companies that provide ESG performance reporting. ESG has considerations relevant to analysts and investors, consumers and employees, and it has become a key topic of discussion at the Board table. This course provides an overview of an ESG framework and how it supports a company’s overall risk management. It examines each component in detail and provides insight into how they converge to impact a company and its stakeholders. The course also discusses how to look at corporate pressures & stakeholder expectations and their impact on risk identification and business success. Lastly, we look at critical considerations from both the company and investor perspectives before applying theory to practice in a final case study.

Introduction to ESG | Corporate Finance Institute (1)

Introduction to ESG learning objectives

Upon completing this course, you will be able to:

  • Explain what ESG is and its relevance to making financial decisions;

  • Describe key environmental, social, and governance issues;

  • Explain how stakeholders influence corporate ESG performance;

  • Analyze ESG risks and opportunities;

  • Assess ESG company performance using publicly available information;

  • Translate ESG information to business intelligence.

Introduction to ESG | Corporate Finance Institute (2)Who should take this course?

This Environmental Social Governance (ESG) course is perfect for any analyst who would like to better understand how a company manages risks and opportunities that shifting market & non-market conditions create in today’s world.

Introduction to ESG | Corporate Finance Institute (3)

This course explores concepts that will be useful for beginner and intermediate-level research analysts, banking and investment professionals, or business and finance students seeking to gain further insight into ESG.

The exercises and tools explored in this course will also be useful for any business analyst that wishes to advise public market clients on ESG strategies and improved disclosures.Introduction to ESG | Corporate Finance Institute (4)

Introduction to ESG

Led by Noah Miller

Get StartedEnroll For Free

Level 1

Approx 1.5h to complete

100% online and self-paced

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What you'll learn

Lesson

Multimedia

Exams

Files

Introduction

Course Introduction Free Preview Learning Objectives Free Preview Downloadable Materials

What Is ESG?

What Is ESG? Free Preview What’s Driving Growth? ESG vs. Socially Responsible Investing (SRI) Why Is It Important? Interactive Exercise 1 Free Preview

ESG Factors

Environmental Factors Impact of Environmental Factors on Corporations Social Factors Impact of Social Factors on Corporations Governance Factors Impact of Governance Factors on Corporations Materiality

Corporate Pressures & Stakeholder Expectations

Stakeholders Stakeholder Expectations Modern Demands on the Supply Chain Interactive Exercise 2

Key Considerations for Companies & Investors

Reporting, Transparency, and Valuation Initiative Impacts Interactive Exercise 3

Case Study & Course Summary

Case Study Course Summary

Qualified Assessment

Qualified Assessment

This Course is Part of the Following Programs

Why stop here? Expand your skills and show your expertise with the professional certifications, specializations, and CPE credits you’re already on your way to earning.

Environmental Social, and Governance Specialization

  • Skills Learned ESG Analysis, ESG Integration, ESG Investing, ESG & Business Intelligence
  • Career Prep Asset Management, Management Consulting, Business Analyst, Credit Analyst, Corporate Development, Senior Leadership

Learn More

Learner Reviews

Fantastic
Presentation and delivery of the lecture is simply amazing and all you need is just your time and attention and you will be glad you did.

Umeadi samson ilobah

I strongly recommend this course

Aniekan-Abasi Ikott

Worth time spending
Informative, detailed and helped me to understand ESG in a very easy way

Vaibhav Sharma

A pretty good course to verify your knowledge about the domain.

Narine Khachatryan

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Frequently asked questions

What are the requirements to take the courses?

All of our certification programs are open to students and professionals in various industries and levels of experience. Our curriculum is designed to teach what you need to know from basic fundamentals to advanced practical case studies. To take the courses and complete the exercises, students will only need access to a PC and/or Mac, Microsoft Suite (2016 or newer), and a stable internet connection. Click here to view the Technical Requirements

Can I download the Excel files and financial modeling templates for the course?

Absolutely! All the files and templates needed in a course are available for download. Just look for a module that shows Downloadable Files within the course dashboard. See here for a visual guide on how to do this.

How long do I have to complete the courses?

You will have yearly access to the courses as long as you maintain an active subscription. All the courses are self-paced as well so you can take your time in learning without worrying about any deadlines. Click here to compare our available enrollment options.

Are CFI courses officially accredited?

Yes, CFI is accredited by the Better Business Bureau® (BBB) to maintain training standards, the CPA Institutions in Canada, and the National Association of State Boards of Accountancy (NASBA) in the USA. Most of our courses qualify for verified CPE credits for CPA charter holders. Please refer to this page to view all available CPE credits.

Are there any additional fees or costs?

None! The bundle price includes everything and there are no additional fees or charges to earn your digital certification. You can see our enrollment fees listed here.

What currency are your courses priced in?

All our online courses are priced in USD. As this is a recurring payment, we accept all major credit and debit cards including Visa, MasterCard, and American Express.

How do I earn my certificates?

Students must complete all the video lessons, quizzes, and final assessments in each course. You can retake the assessments as many times as necessary until you reach an 80% passing grade. For more information on how to earn a course certificate, click HERE.

How are the exams conducted?

Students are required to complete an online assessment (Multiple choice questions, Fill-in-the-Blanks, and Excel Questions) at the end of each course. You can take the exams on your own schedule and will need to earn at least 80% to pass the course and earn your certificate of course completion. Please note that course exams can be repeated as many times as you need. Students are also required to complete the FMVA® final exam to earn their certification. How to Take a Qualified Assessment

Can I email the instructor if I have questions?

While the courses are designed mainly for self-study, we are happy to provide email assistance for general or technical support inquiries. The Full Immersion bundles include a premium email support function that allows you to communicate directly with in-house experts regarding course content. This is one of the key features that sets the Full Immersion bundle apart and makes it a worthwhile upgrade over the more affordable self-study bundle. You can compare more features in our bundles here.

Will these courses help me advance my career?

Based on hundreds of reviews from thousands of students we know how CFI courses have helped so many people advance their finance careers. Our courses are designed to be extremely practical and simulate the experience of being trained as a professional financial analyst…the ultimate way to advance your career. For real-world examples and to help delve even deeper into the course concepts, please look into our free career resources library.

More Questions?

You can view more detailed information through our Help Center or Email us and we'll be happy to answer any of your questions

Introduction to ESG | Corporate Finance Institute (2024)

FAQs

How hard is the CFA ESG exam? ›

The passing rate for this certificate is around 70%, and the passing mark is also around 70%. Compared with other exams by the CFA Institute, the difficulty of CFA ESG is much lower, which can be interpreted that the certificate has lower value than CFA Level 1.

What is the introduction to ESG CFA? ›

Introduction to ESG course overview

It examines each component in detail and provides insight into how they converge to impact a company and its stakeholders. The course also discusses how to look at corporate pressures & stakeholder expectations and their impact on risk identification and business success.

Is the ESG certificate useful? ›

The ESG Investing Certificate is ideal for finance professionals who want to understand how environmental, social, and governance influence investment strategy. If you're a financial advisor, asset manager or work in risk analysis, getting ESG certified could benefit your career.

What is the passing rate for CFA ESG certificate? ›

Objectively, the CFA ESG exam has quite a high passing rate (60%-70%). Its difficulty cannot be compared to any level of the CFA exams. The CFA Institute officially recommends 130 study hours. For a candidate without ESG background, I think ~90 hours could be sufficient if one reads fast and takes my study tips above.

Which is the hardest CFA exam? ›

Instead, a deep understanding of the principles is necessary to pass this level successfully. It would be safe to generalize that most CFA charterholders would call Level 2 the hardest of the CFA Exams. However, with patience, dedication, and practice, candidates can conquer the Level 2 Exam.

How many hours of learning is desirable to pass CFA ESG? ›

As for the recommended study hours, the CFA Institute suggests around 130 hours for non-investment professionals and 100 hours for investment professionals.

What is the passing score for ESG certificate? ›

Although this level is somewhat arbitrary, consistent scores above 70% of the available points is a reasonable signal of topic mastery. You can access your score report directly by traveling here; https://scorereports.prometric.com. Score reports are available for 5 years from your exam completion date.

Is a career in ESG worth it? ›

Candidates with an ESG certification are in high demand. Relatively low cost and time to invest to open up career opportunities in a high growth sector.

What is the pass rate for the CFA Level 1 exam? ›

CFA Level I Pass Rate Continues Rising to 46%

The CFA is offered several times a year and can lead to new job opportunities and higher salaries in the finance industry.

What happens if you fail the CFA ESG exam? ›

Candidates who fail the exam and re-register will receive the benefit of a reduced registration fee of USD 690 for each subsequent examination. If you fail the exam twice within a six month period, you will not be permitted to register again until six months after the date of your first failed appointment.

How long does it take to study for CFA certificate in ESG investing? ›

CFA Institute recommends 130 hours of study time to achieve the Certificate in ESG Investing.

How many questions are on the CFA ESG exam? ›

CFA ESG Certificate Exam Format and Duration

The CFA ESG certificate exam contains 100 multiple-choice questions and 3 answer options for each question.

What is the passing score for the ESG exam? ›

CFA ESG Pass Rates and GARP SCR Pass Rates

CFA ESG: The pass mark ranges from 60%-70%, with an average pass rate of 81%. GARP SCR: The pass mark ranges from 50%-60%, with an average pass rate of 54%.

What happens if you fail CFA ESG exam? ›

Candidates who fail the exam and re-register will receive the benefit of a reduced registration fee of USD 690 for each subsequent examination. If you fail the exam twice within a six month period, you will not be permitted to register again until six months after the date of your first failed appointment.

Why is ESG difficult? ›

Defining and quantifying ESG risks

Even though many organisations have discussions about ESG risk, not all have formal definitions, identified KPIs or systems in place to monitor them. This is especially challenging, as many are not quantifiable, and cannot be defined in terms of currency calculations.

Which CFA exam is the easiest? ›

Obviously, to reach Level 3 of the CFA exam, you will have had to pass Levels 1 and 2. Level 3 is considered to be the easiest of the three exams. The Level 3 exam eliminates the testing of Quantitative Methods, Corporate Finance, and Financial Reporting and Analysis.

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