The mediating role of investor confidence on ESG performance and firm value: Evidence from Chinese listed firms

Hua Tang, Langyu Xiong and Ru Peng

Finance Research Letters, 2024, vol. 61, issue C

Abstract: This study explores how environmental, social and governance (ESG) performance impacts firm value of Chinese listed companies from 2009 to 2022 through external market factors. The analysis indicates that positive ESG performance is beneficial for enhancing investor confidence and thereby enhancing firm value. This positive relationship is more pronounced among eastern enterprises and non-state-owned enterprises. ESG sub items are significantly related to firm value, but the effect size of is different. We conclude that the ESG related activities promotes investor confidence, while the impact of sub item activities on firm value presents different characteristics.

Keywords: ESG performance; Investor confidence; Firm value; Resource-based theory (search for similar items in EconPapers)
Date: 2024
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (5)

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S1544612324000187
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:finlet:v:61:y:2024:i:c:s1544612324000187

DOI: 10.1016/j.frl.2024.104988

Access Statistics for this article

Finance Research Letters is currently edited by R. Gençay

More articles in Finance Research Letters from Elsevier
Bibliographic data for series maintained by Catherine Liu ().