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CFA Institute ESG-Investing Exam - Topic 8 Question 25 Discussion

Which of the following is an example of competence greenwashing?
A) A company's board overstating their ESG expertise
B) A company that is unwilling to reveal its strides toward more sustainable practices for fear of misinterpretation
C) A company providing an incomplete picture of its environmental impact by overemphasizing carbon emissions while ignoring other factors such as toxicity

CFA Institute ESG-Investing Exam - Topic 8 Question 25 Discussion

Actual exam question for CFA Institute's ESG-Investing exam
Question #: 25
Topic #: 8
[All ESG-Investing Questions]

Which of the following is an example of competence greenwashing?

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Suggested Answer: A

by Socorro at Apr 05, 2026, 09:44 AM

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Makeda
2 days ago
I disagree with A), they might just be confident in their expertise.
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Laticia
7 days ago
Wait, are companies really that misleading?
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Brandon
12 days ago
C) is a classic example of greenwashing for sure!
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Lottie
2 months ago
I think B) isn't really greenwashing, just cautious.
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Jackie
2 months ago
A) is definitely greenwashing.
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Hubert
3 months ago
I’m confused about this one. I thought greenwashing was more about false claims, but maybe it could apply to A or C?
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Ashton
3 months ago
I feel like C makes the most sense because it talks about presenting an incomplete picture, which is definitely misleading.
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Noel
3 months ago
I’m not entirely sure, but I remember a practice question that mentioned companies hiding their practices. Could that relate to B?
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Zita
3 months ago
I think competence greenwashing is when a company exaggerates its expertise, so I’m leaning towards A.
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