Investor preferences and ESG ratings

dc.contributor.advisorSchmitz, Dirk-Jan
dc.contributor.authorJanssen, Tijs
dc.date.issued2023-07-05
dc.description.abstractThe importance of SRI investment strategies is growing. ESG ratings are a measure of how well a company performs on SRI issues. We know investors look to invest according to their social preferences, and can use ESG ratings to do so. Little is known though about which dimensions of ESG ratings they value most. This information can be valuable to companies. Companies can lower their cost of capital by attracting more investors. More investors can possibly be attracted by improving their E, S or G rating. This study uses a factorial survey with a sample of Dutch individuals. This is to learn if ESG ratings are material to the likelihood to invest, and which of the three dimensions is most important to investors. Results show respondents in this study significantly positively valued companies with higher environmental and social ratings. But governance ratings had no significant effect. The results imply that companies looking to improve their ratings to interest new investors should prioritize on increasing their environmental and social rating.
dc.identifier.urihttps://theses.ubn.ru.nl/handle/123456789/14894
dc.language.isoen
dc.thesis.facultyFaculteit der Managementwetenschappen
dc.thesis.specialisationspecialisations::Faculteit der Managementwetenschappen::Master Economics::Corporate Finance & Control
dc.thesis.studyprogrammestudyprogrammes::Faculteit der Managementwetenschappen::Master Economics
dc.thesis.typeMaster
dc.titleInvestor preferences and ESG ratings

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