IDEAS home Printed from https://ideas.repec.org/a/eee/reveco/v93y2024ipap1211-1225.html
   My bibliography  Save this article

Unveiling the timeless potential: A comprehensive analysis of ESG integration in Chinese listed firms

Author

Listed:
  • Wang, Ting
  • Zhang, Huaxi

Abstract

This paper provides a practical guide for integrating Environmental, Social, and Governance (ESG) information into portfolio construction in Chinese listed firms. We analyze panel data from 2015 to 2019, revealing that higher ESG scores correlate with increased stock market returns. We construct an ESG portfolio, identifying strategies that affirm ESG's value. Notably, our enhancement portfolios for both CSI 300 and CSI 500 consistently outperform their benchmarks. Through Brinson attribution analyses, we attribute the excess return primarily to individual stock selection. Our findings underscore the incremental value of incorporating ESG information in stock price explanations.

Suggested Citation

  • Wang, Ting & Zhang, Huaxi, 2024. "Unveiling the timeless potential: A comprehensive analysis of ESG integration in Chinese listed firms," International Review of Economics & Finance, Elsevier, vol. 93(PA), pages 1211-1225.
    • Handle: RePEc:eee:reveco:v:93:y:2024:i:pa:p:1211-1225
    DOI: 10.1016/j.iref.2024.03.057
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S1059056024002211
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.iref.2024.03.057?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:reveco:v:93:y:2024:i:pa:p:1211-1225. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/inca/620165 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.