What does the term "greenwashing" refer to in the context of environmental finance?

A. The process of making money through sustainable investments
B. The deceptive practice of exaggerating or misrepresenting environmental credentials
C. The certification process for eco-friendly financial products
D. The marketing of financial products with low carbon footprints

Correct Answer: B

A common motivation for companies engaging in greenwashing is attracting environmentally conscious investors. One potential consequence of greenwashing for investors is financial losses due to misinformed investment decisions.