Do institutional investors care about ESG performance: evidence from India. (11th May 2023)

• Record Type: Journal Article
• Authors: Mulchandani, Kalyani; Mulchandani, Ketan; Jain, Megha
• Is Part Of: International journal of Indian culture and business management. Volume 29:Number 1(2023)
• Page Start: 136
• Page End: 149
• Publication Date: 2023-05-11
• Subjects: institutional ownership -- ESG disclosures -- socially responsible -- panel data regression model -- India; Management -- India -- Periodicals; Management; India; Periodicals; 658.0095405
• Languages: English
• ISSNs: 1753-0806

Abstract

Socially responsible investors (SRIs) evaluate ESG performance of firm and that is why firms have started disclosing ESG parameters in the annual reports. This study is focused on examining the impact of institutional ownership on the firm's sustainability behaviour in the Indian context. Data is collected for eight years from 2013 to 2020 for non-banking and non-finance companies for which continuous relevant data are available for all the years. Total of 736 observations is considered for the purpose of analysis. After examining the data, it is found that institutional ownership affects ESG performance negatively and unlevered firms score better ESG ratings than their counterparts.