GARP SCR valid exam dumps : Sustainability and Climate Risk

A city planning commissioner consults with climate scientists to assess the impact of sea level rise on strategic infrastructure projects. The scientists discuss several climate model projections and indicate sea level rise has a fundamental relationship to GHG emissions, regardless of a specific warming scenario.
How should the scientists describe this relationship?

• A. Sea level rises proportionally faster than GHG emissions.
• B. Sea level rise lags GHG emissions.
• C. Sea level rise will cease once global emissions peak.
• D. Sea level rises in response to ocean acidification.

A fashion company raises an SLL to improve the company ESG score. The sustainability team identifies two sustainability KPIs for finalizing the loan with a financial institution. Which of the following KPIs did the team most likely recommend for the SLL?

• A. Net sales and recycling of goods
• B. Electricity sources from renewable energy and revenue growth
• C. GHG emission reduction and gender diversity on the board
• D. Innovation funding and new products released

The climate risk team at a global bank works on a sustainability and climate risk report for a forthcoming company strategy meeting. The meeting will focus on bank goals to achieve net zero GHG emissions by
2050. Bank leaders will discuss potential risk exposures the bank may face, as well as possible financial systemic effects.
Which of the following is an example of how systemic climate risk can translate into liquidity risk for the bank?

• A. High level of deposit withdrawals from households and corporations after a hurricane severely affects a country.
• B. Sea level rise causes coastal property prices to decrease, which leads to real estate losses for the bank.
• C. Insurers significantly increase premiums due to climate-related risks and leave the bank without coverage, amplifying risks to financial stability.
• D. Sector-wide asset stranding for the financial sector increases due to climate pressures, which affects bank revenue and profits as cash flow decreases.

A risk manager at an investment bank works on a climate disclosure project for a bank portfolio. To understand the climate impacts on the investment portfolio, the risk manager evaluates different metrics to measure climate risk exposure. The manager selects a metric that can be easily applied across asset classes.
While the metric is sensitive to outliers, calculating the metric is simple and easy to communicate to investors.
Which metric did the manager most likely select to measure climate risk exposure?

• A. Total carbon emissions
• B. Carbon footprint
• C. Weighted average carbon intensity
• D. Carbon intensity

A senior advisor from a government agency in Southeast Asia proposes a national framework to classify sustainable economic activities, aligned with the EU Taxonomy. The new framework will limit environmental harm and promote sustainable growth. Which EU Taxonomy requirement will the advisor most likely incorporate into the proposed framework?

• A. Introduce debt financing as the primary driver for funding sustainable projects.
• B. Allow for green financial instruments to fund any economic activity.
• C. Require projects to meet one environmental objective while avoiding harm to others.
• D. Set a minimum of six economic activity objectives to limit carbon emissions.