Abstract
This paper examines the “greenium” in China's stock market and offers an analysis from the perspective of public climate concerns. With data during 2011–2020, we firstly find that the green stocks outperform the brown ones in China and public climate concerns brings the premium. Secondly, we figure out that firms’ stock returns are positively correlated to their ESG ratings. Last but not least, we find investors’ behavior, including both public climate concerns and retail investors’ entry to the markets strengthens the relationship. This study contributes to a deeper understanding of green asset pricing.
Sign-in/Register to access full text options 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
