THE IMPACT OF SUSTAINABILITY ASSURANCE AND PERSONALITY CHARACTERISTICS ON INVESTMENT DECISION-MAKING IN SOCIAL RESPONSIBILITY INVESTING

Abstract

Assurance reporting for non-financial information, such as sustainability reporting, is no longer guaranteed for quality, which led to differences in individual investors’ investment decision-making regarding social responsibility investing (SRI). This is mostly due to the report’s relative novelty and the unregulated nature of practices reported by the company. While professional accountants play a major role in the assurance market, other professionals also contribute to the overall proportions. Hence, this study endeavours to extend the literature on the type of assuror and the level of assurance by examining how they influence individual investment decision-making when they attempt to achieve the best environmental goals for their investment funds through the evaluation of environmental reporting assurance options. The goal of the study is to propose a conceptual model from the individual investors’ point of view, and evaluate the role of personal characteristics by using the Big Five Inventory (BFI) measurement as a possible moderator between the types of assurors and the level of assurance in decision-making.