Are investments in material corporate social responsibility issues a key driver of financial performance?

Guillermo Badía, Fernando Gómez‐Bezares and Luis Ferruz

Accounting and Finance, 2022, vol. 62, issue 3, 3987-4011

Abstract: In this study, we address a lesser‐studied aspect of corporate social responsibility (CSR): distinguishing between investments in material versus immaterial CSR issues. The financial performance of stock portfolios formed according to material and general CSR issues is examined over the period 2007 to 2018 in the European Union and the United States. We find that materiality is relevant to finding the best and worst firms both in terms of CSR and financial performance, more significantly in the EU than in the US market. However, general CSR scores, including material and immaterial issues, do not discriminate the best firms.

Date: 2022
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (5)

Downloads: (external link)
https://doi.org/10.1111/acfi.12912

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:bla:acctfi:v:62:y:2022:i:3:p:3987-4011

Ordering information: This journal article can be ordered from
http://www.blackwell ... bs.asp?ref=0810-5391

Access Statistics for this article

Accounting and Finance is currently edited by Robert Faff

More articles in Accounting and Finance from Accounting and Finance Association of Australia and New Zealand Contact information at EDIRC.
Bibliographic data for series maintained by Wiley Content Delivery ().