Article
Business, Finance
Florian Berg, Julian F. Kolbel, Roberto Rigobon
Summary: This paper investigates the divergence in ESG ratings among six prominent rating agencies. Through mapping different methodologies onto a common taxonomy, the study decomposes the divergence into contributions of measurement, scope, and weight. The results reveal that measurement accounts for the majority of the divergence, followed by scope and weight. The analysis also identifies a rater effect where the overall view of a firm influences the measurement of specific categories. The findings emphasize the importance of understanding the data generation process underlying ESG ratings.
Article
Business, Finance
Andrew C. Baker, David F. Larcker, Charles C. Y. Wang
Summary: This paper discusses the biases of staggered difference-in-differences regression estimators and introduces three alternative estimators for addressing the biases. The application of these alternative estimators shows significant differences in causal estimates or inferences compared to prior research papers.
JOURNAL OF FINANCIAL ECONOMICS
(2022)
Article
Business, Finance
Muhammad Saeed Meo, Mohd Zaini Abd Karim
Summary: This study examines the relationship between green finance and carbon dioxide emissions. The findings indicate a negative impact of green finance on CO2 emissions, but this relationship varies across different quantiles.
BORSA ISTANBUL REVIEW
(2022)
Article
Business, Finance
Michael Dowling
Summary: In early 2021, NFTs emerged as a prominent application of blockchain technology. Although there is limited volatility transmission between cryptocurrencies and NFTs, their pricing patterns exhibit co-movement, indicating some relationship. However, the low volatility transmissions suggest that NFTs can be considered as a distinct low-correlation asset class.
FINANCE RESEARCH LETTERS
(2022)
Article
Business, Finance
Yan-xi Li, Chao He
Summary: This study finds that cognitive diversity, particularly in terms of educational background and expertise, is positively associated with corporate innovation. This is mainly due to the additional diversity brought by executive directors and depends on demographic diversity. Additionally, the introduction of hi-tech talent and incentives are two channels through which board diversity affects corporate innovation.
INTERNATIONAL JOURNAL OF FINANCE & ECONOMICS
(2023)
Article
Business, Finance
Dane M. Christensen, George Serafeim, Anywhere Sikochi
Summary: Despite the increasing use of ESG ratings, there is substantial disagreement among rating agencies regarding the ratings given to individual firms. This study finds that greater ESG disclosure actually leads to greater ESG rating disagreement, and raters disagree more about ESG outcome metrics than input metrics. It is also observed that ESG disagreement is associated with higher return volatility, larger absolute price movements, and a lower likelihood of issuing external financing.
Article
Business, Finance
En-Ze Wang, Chien-Chiang Lee
Summary: Using a finite mixture model to estimate the production function, this research examines the interrelationships among environmental regulation, clean energy consumption, and economic growth. The findings show that environmental regulation enhances the positive impact of clean energy consumption on economic growth, while ignoring measurement error and misspecifying the production function can bias estimation results. Moreover, traditional frameworks may underestimate the significance of clean energy consumption's impact on economic growth compared to accounting for heterogeneity and using clean energy production data.
INTERNATIONAL REVIEW OF ECONOMICS & FINANCE
(2022)
Article
Business, Finance
Sabri Boubaker, John W. Goodell, Dharen Kumar Pandey, Vineeta Kumari
Summary: Using an event study methodology, this study examines the impact of the 2022 Russian invasion of Ukraine on global stock markets. The research finds that this invasion generated negative cumulative abnormal returns for global stock market indices, with varying effects across countries and regions. The study reveals that higher levels of economic globalization, as measured by GDP-scaled trade, are associated with lower event-day and post-event returns. Additionally, markets of NATO countries exhibited higher returns, consistent with the expected economic stimulus of military preparedness.
FINANCE RESEARCH LETTERS
(2022)
Article
Business, Finance
Aviral Kumar Tiwari, Emmanuel Joel Aikins Abakah, David Gabauer, Richard Adjei Dwumfour
Summary: This study examines the transmission of return patterns between green bonds, carbon prices, and renewable energy stocks. The empirical results indicate that clean energy dominates all other markets and is the main net transmitter of shocks in the entire network.
GLOBAL FINANCE JOURNAL
(2022)
Article
Business, Finance
Ayse Demir, Vanesa Pesque-Cela, Yener Altunbas, Victor Murinde
Summary: This paper investigates the relationship between FinTech, financial inclusion and income inequality and finds that financial inclusion is a key channel through which FinTech reduces income inequality. The effects of financial inclusion on income inequality are primarily associated with higher-income countries.
EUROPEAN JOURNAL OF FINANCE
(2022)
Article
Business, Finance
Sitara Karim, Brian M. Lucey, Muhammad Abubakr Naeem, Gazi Salah Uddin
Summary: The study reveals significant risk spillovers among blockchain markets and a strong disconnection of NFTs. NFTs offer greater diversification avenues and substantial risk-bearing potential to mitigate extreme risks.
FINANCE RESEARCH LETTERS
(2022)
Article
Business, Finance
Brian M. Lucey, Samuel A. Vigne, Larisa Yarovaya, Yizhi Wang
Summary: The Cryptocurrency Uncertainty Index (UCRY) has been developed based on news coverage, capturing uncertainty in cryptocurrency price and policy. The index exhibits distinct movements around major events in the cryptocurrency space, and can be used for academic, policy, and practice-driven research beyond Bitcoin.
FINANCE RESEARCH LETTERS
(2022)
Article
Business, Finance
Michael Dowling
Summary: The current popularity of NFT markets demonstrates the success of blockchain technology, and the pricing of virtual real estate in Decentraland shows both inefficiency and a steady increase in value.
FINANCE RESEARCH LETTERS
(2022)
Article
Business, Finance
Huwei Wen, Qiming Zhong, Chien-Chiang Lee
Summary: Digital transformation has a significant impact on the manufacturing industry and its effect on corporate innovation investment is noteworthy. It also influences manufacturing enterprises' market competition strategies.
INTERNATIONAL REVIEW OF FINANCIAL ANALYSIS
(2022)
Article
Business, Finance
Zaghum Umar, Onur Polat, Sun-Yong Choi, Tamara Teplova
Summary: We investigate the impact of the Russian-Ukrainian conflict on Russia, European financial markets, and global commodity markets. The findings show that the relationship among them has changed, with European equities and Russian bonds acting as the main transmitters of shocks. The conflict affects the returns and volatility connectedness among them at short- and long-term frequencies.
FINANCE RESEARCH LETTERS
(2022)
Article
Business, Finance
Md Akhtaruzzaman, Sabri Boubaker, Zaghum Umar
Summary: This study examines the dynamic connectedness between the COVID-19 media coverage index (MCI) and ESG leader indices, revealing that MCI facilitates the transmission of the pandemic to advanced and emerging equity markets. The connection between MCI and ESG leader indices is most prominent in March and April 2020, during the peak of the pandemic. The United States, as a net receiver of shocks, reaffirms its status as the most affected country during the pandemic.
FINANCE RESEARCH LETTERS
(2022)
Article
Business, Finance
Yizhong Wu, Chien-Chiang Lee, Chi-Chuan Lee, Diyun Peng
Summary: The study shows that high-speed rail construction can improve investment efficiency in China, particularly for companies with low information transparency and media coverage. High-speed rail can mitigate information asymmetry and reduce external regulatory costs. Additionally, non-state-owned enterprises, high-growth firms, and companies located in core cities benefit more.
JOURNAL OF BANKING & FINANCE
(2022)
Review
Business, Finance
Isaac Akomea-Frimpong, David Adeabah, Deborah Ofosu, Emmanuel Junior Tenakwah
Summary: This study reviews existing research on green finance in the banking sector, identifying key products such as green securities and green investments. Determinants influencing green finance policies include environmental policies, interest rates, and risks.
JOURNAL OF SUSTAINABLE FINANCE & INVESTMENT
(2022)
Article
Business, Finance
Muhammad Asif Khan, Hammad Riaz, Masood Ahmed, Abubakr Saeed
Summary: The Asian Development Bank (ADB) is playing a significant role in sustainable development and climate change through climate finance, which has shown positive impacts on reducing ecological footprints in Asian economies.
BORSA ISTANBUL REVIEW
(2022)
Article
Business, Finance
Sitara Karim, Muhammad Abubakr Naeem, Nawazish Mirza, Jessica Paule-Vianez
Summary: This study quantifies the hedge and safe haven features of bond markets for multiple cryptocurrency indices and finds that bond markets are not hedge or safe havens except for SKUK, which offers substantial diversification during economic fragility. The study also suggests that SPGB outperforms other bonds in terms of hedge effectiveness during crisis periods and provides diversification potential for cryptocurrency indices.
JOURNAL OF RISK FINANCE
(2022)
