IDEAS home Printed from https://ideas.repec.org/a/taf/jsustf/v9y2019i3p226-239.html
   My bibliography  Save this article

Tax rates of responsible stock mutual fund holdings

Author

Listed:
  • Bridget Bearden

Abstract

Two limitations of corporate social responsibility (CSR) discussion are addressed in this paper: first, the investment attributes of CSR have been prioritized over the tax implications; and second, empirical CSR analysis has focused on individual companies versus aggregated portfolios. Both limitations impact everyday investors, who bear the corporate tax burden as both ‘labor’ and ‘capital owners’, via aggregated portfolios. Further, empirical studies have shown mixed results on the relationship between CSR and corporate tax rate. This research adds to the CSR literature by intertwining tax effects of CSR with aggregated portfolios, by using environmental, social, and governance (ESG) mutual funds as a proxy. Effective tax rates of underlying securities were analyzed for years 2015, 2016, and 2017 between ESG-themed and non-ESG-themed mutual funds. A significant relationship was found only for year 2015, in which ESG-themed large-capitalization mutual funds had a lower tax rate than non-ESG large-capitalization mutual funds.

Suggested Citation

  • Bridget Bearden, 2019. "Tax rates of responsible stock mutual fund holdings," Journal of Sustainable Finance & Investment, Taylor & Francis Journals, vol. 9(3), pages 226-239, July.
    • Handle: RePEc:taf:jsustf:v:9:y:2019:i:3:p:226-239
    DOI: 10.1080/20430795.2019.1600331
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1080/20430795.2019.1600331
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1080/20430795.2019.1600331?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.

    More about this item

    Statistics

    Access and download statistics

    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:taf:jsustf:v:9:y:2019:i:3:p:226-239. 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: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/TSFI20 .

    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.