GARP SCR vs. CFA Institute Sustainable Investing Certificate: A Comparison Guide for Sustainability Finance Professionals

Choosing between GARP’s Sustainability and Climate Risk (SCR^®) Certificate and CFA Institute's Sustainable Investing Certificate (formerly Certificate in ESG Investing) can be challenging for finance professionals looking to specialize in sustainability. In this article, we will break down the key differences between them in order to help you decide which one is right for you.   

Key Takeaways

1. CFA Institute's Sustainable Investing Certificate (formerly Certificate in ESG Investing) is a credential for financial professionals who want to demonstrate their knowledge of environmental, social, and governance factors in investment analysis.
2. GARP’s SCR Certification is a credential primarily for financial risk management professionals who want to specialize in assessing risk associated with climate change and sustainability.
3. Both CFA Institute and GARP recommend you spend at least 100 hours preparing for their sustainability certificate exams.

Table of Contents

• How to Decide Which Certification (GARP vs. CFAI) Is Best For You?
• Enrollment Differences
• Price Differences
• Curriculum Differences
• Best ESG Certificates
• Frequently Asked Questions

What is a SCR Certification?

The SCR Certification is a certificate program provided by GARP for individuals interested in enhancing their knowledge of sustainability and climate risk management. Earning this designation will give you the tools necessary to assess and manage sustainability and climate risk challenges in industries such as energy, industrial, agricultural, transportation, and real estate. 

What is an ESG Certification?

An ESG certification is a credential individuals can gain to demonstrate their knowledge of and use of environmental, social, and governance factors in institutional investment analysis. This type of analysis is important to companies who want to understand the overall value and sustainability of an organization or investment.

How to Decide Which Certification (CFAI Sustainable Investing Certificate vs. GARP SCR) Is Best For You?

CFA Institute's Sustainable Investing Certificate (formerly Certificate in ESG Investing) vs. GARP’s SCR Certificate do have a fair amount of overlap, as both programs include content relating to sustainability and climate in finance. However, CFAI’s Sustainable Investing Certificate is broader in scope in two ways: 

• First, the Sustainable Investing Certificate focuses on topics beyond climate and sustainability by including content regarding “Social” and "Governance" factors. 
• Secondly, the Sustainable Investing Certificate is better suited for those looking to gain a generalist understanding of these factors and their impact in finance. 

With that being said, the CFAI certificate is best for individuals who are in finance and want to understand and be able to speak to ESG factors in their role. This certificate is also best for those who are actively managing an organization’s investments and wish to account for ESG factors in their decisions and/or analyses. 

The SCR certificate is best for individuals who specialize in risk management and are seeking to include in-depth analyses of climate and sustainability risks in their reporting.

Common Job Titles For Sustainable Investing Certificate Holders (formerly Certificate in ESG Investing)

Individuals who earn these certificates often hold job titles such as:

• ESG Analyst
• ESG Advisor or Associate
• Sustainability/ESG Director
• Director Sustainable Finance
• ESG Sales & Delivery Manager
• ESG Program Manager

Common Job Titles for GARP SCR Certification Holders

The most common job titles of individuals who hold the SCR certificate are:

• Audit Manager
• Business Analyst
• Chief Executive Officer
• Chief Information Officer
• Chief Marketing Officer
• Chief Risk Officer
• Environmental Engineer
• ESG Analyst
• Geoscientist
• Head of Innovation
• Principal Data Scientist
• Risk Manager
• Senior Legal Counsel
• Senior Software Engineer
• Sustainable Finance Specialist

GARP SCR vs. CFAI Sustainable Investing Certificate: Enrollment Requirements

Both certificates require a fee to enroll. No work experience is required to sit for the SCR Certificate exam or the Sustainable Investing Certificate (formerly Certificate in ESG Investing) exam.

GARP SCR vs. CFAI Sustainable Investing Certificate: Exam Details

Both the SCR Certificate exam and the Sustainable Investing Certificate exam are multiple-choice, pass/fail exams that require at least 100 hours of preparation.

CFAI Sustainable Investing Certificate vs. GARP SCR: Price Differences

GARP’s SCR Certificate is slightly less expensive than CFAI’s Sustainable Investing Certificate if you are a non-member of both organizations.

GARP SCR Certificate Exam Information

The SCR curriculum is largely about sustainability and climate risk in the context of finance and financial reporting, indicating the certificate is well suited for those working in a financial risk management role. However, the certificate is also relevant to individuals who need to understand sustainability and climate risk for their role (e.g., CEO, supply chain management, operations, technology), but are involved more in operational or other risk management rather than direct financial risk management.

GARP SCR Certificate Exam Topics and Weights

The SCR exam comprises 80 equally-weighted multiple-choice questions, including one case study.

GARP SCR Certificate Exam Dates

GARP’s SCR Certificate exam is offered twice a year in April and October. You can schedule an in-person Computer-Based Testing (CBT) Exam at a Pearson VUE test center or online proctored exam using the Pearson Vue scheduling website.

GARP SCR Certificate Exam Pass Rates

Generally SCR exam pass rates hover around 50%, which emphasizes the importance of spending the recommended amount of time (100-150 hours) preparing. 

GARP SCR Certificate Exam Grading Process

The SCR exam is scored just like the CFAI’s Sustainable Investing Certificate which is graded on a pass/fail basis. 

CFAI Sustainable Investing Certificate Certificate Exam Information

Learn important details for CFA Institute's Sustainable Investing Certificate (formerly Certificate in ESG Investing).

CFA Institute's Sustainable Investing Certificate Exam Topics and Weights

Notice the weight given to topics such as “ESG Analysis, Valuation, and Integration” and “ ESG Integrated Portfolio Construction and Management.” These two topics make up a significant portion of the curriculum and will certainly test candidates' ability to apply a range of approaches to ESG analysis and integration across a range of asset classes.

CFA Institute's Sustainable Investing Certificate Exam Eligibility Window

Candidates have six months to sit for the exam after registering. If they miss the deadline, they will need to re-register and pay another enrollment fee to get back into the program. No refunds will be issued to those that miss their exam eligibility window deadline.

CFA Institute's Sustainable Investing Certificate Exam Dates

Candidates are allowed to take the exam any month of the year including January. Candidates are allowed to sit for the exam within their eligibility window at selected Prometic sites worldwide or via online proctored testing, where available and/or permissible by local regulation. 

Expert Tip: Candidates will not be able to sit for the exam on holidays or weekends.

CFA Institute's Sustainable Investing Certificate Exam Pass Rates

The pass rates for the CFA ESG certificate have been historically high. CFA ESG pass rates are typically between 70-80%, so this is considered a slightly less challenging program than the SCR Certificate. 

CFA Institute's Sustainable Investing Certificate Exam Grading Process

The grading process for CFA Institute's Sustainable Investing Certificate exam is pass or fail based on a minimum passing score.

Best ESG Certificates

There are a few providers of certificates that incorporate ESG topics into their curriculum.

Frequently Asked Questions

Below are commonly asked questions about ESG investing in general and about both GARPs SCR certificate and CFA Institute's Sustainable Investing Certificate (formerly Certificate in ESG Investing).

Is an ESG Certificate Worth It?

If you are a financial professional that helps investors or companies make investment decisions, obtaining an ESG certificate is worth the investment. ESG investing is a rapidly growing practice within the institutional investment field and investors are looking for individuals with a good understanding of the different approaches to responsible investment.

Is a SCR Certificate Worth It?

Yes, if you are a financial risk management professional or someone who plans to work in the climate risk and sustainability field, earning a SCR Certificate is worth the investment. 

How To Register for the CFA Institute's Sustainable Investing Certificate Exam

Registering for CFA Institute's Sustainable Investing Certificate exam is easy. Simply create an account with the CFA Institute, and look for a link to register for the Sustainable Investing Certificate Exam program via your email. Once you register for the program, you will have six months to schedule the exam.

Expert Tip: Candidates should begin studying before actually scheduling a date to sit for the exam.

How To Register for the GARP SCR Certificate Exam

To register for the SCR Certificate, login to your candidate portal, complete the registration form online, pay the registration fee, and decide if you want to take the exam at a Pearson VUE exam site or remotely through Person VUE’s online proctoring system. 

Expert Tip: As part of the registration process for the SCR Certificate you will need to agree to adhere to the Candidate Responsibility Statement and the GARP Code of Conduct.

How To Study For the CFA Institute's Sustainable Investing Certificate Exam?

To study for the CFAI Sustainable Investing Certificate, candidates with no professional experience in ESG investing should expect to study around 100 hours. Candidates with professional experience in the curriculum topics should anticipate studying around a little less than 100 hours.

Once candidates decide to which category they belong, they should begin to review the ESG curriculum and read-through the program syllabus. The syllabus tells candidates what skills and knowledge they are expected to demonstrate by the end of the program. 

After becoming familiar with curriculum topics and learning outcomes, candidates should begin preparing for the ESG certificate exam. During this prep time, registered candidates will receive access to self-assessment questions and a mock exam from CFA Institute that should be used strategically. 

Once candidates have their ESG prep materials and study plan, their success will be largely determined by how committed they stay to following their study plan. 

Start Your Preparation for CFA Institute's Sustainable Investing Certificate Exam with a Free Trial

How To Prepare For the GARP SCR Exam?

To prepare for the SCR Certificate exam, you should expect to spend 100-150 hours studying and preparing. Start by developing a study plan that gives you enough time to learn the SCR curriculum, complete all of the SCR required readings, and take a few mock exams.

Once you have your study schedule completed, stick to the plan. Don’t forget to schedule your exam before the scheduling deadline. 

When Will You Receive Your GARP SCR Certificate Exam Results?

You should receive your SCR Certificate exam results within four weeks after the exam window closes. So, if you took the SCR Certificate exam during the October exam window, expect to receive your exam results by the end of November or early December. 

How Long Does it Take for CFA Institute's Sustainable Investing Certificate Exam Results to be Released?

Candidates will be presented with their results (pass/fail) immediately after completing the exam.

Ready to Prepare for a Sustainability Finance Certificate?

Whether you choose to pursue GARP’s SCR Certification or CFAI’s Sustainable Investing Certification, Kaplan Schweser has study materials available to help you prepare for a successful exam day.