Study On Environmental And Financial Performances Of Green Fund

Under the guidance of green development,investors have gradually reached a consensus on the environmental value of green funds,expecting to achieve financial and environmental performances through green funds.However,the quantitative evaluation of the environmental performance of green funds is still lack of in-depth research and interpretation.In addition,it is still worth discussing in detail whether the environmental performance of green funds is better than that of traditional funds,and whether they achieve environmental performance while pursuing financial performance.In order to comprehensively evaluate the environmental performance of funds,this paper proposes a universal environmental performance quatification method,and validates its application in investment decisions through the verification analysis of samples involving multiple industries.In this paper,27 green funds and 27 traditional funds in the capital market are selected,and the economic input-output life cycle model（EIO-LCA）is adopted to convert the environmental impact of the enterprises invested in the fund into carbon emissions.Combined with the market value of the fund,the environmental performance of the fund is evaluated.In addition,the paper constructs a quadrant analysis model of environment-financial performance,and comprehensively analyzes the environmental performance and financial performance of the fund,providing an evaluation tool for accurately judging whether the green fund can achieve the "dual objectives".The results show that:（1）The environmental performance of both funds is improved,but the environmental performance of the green fund group is worse than that of the traditional fund group,and the green fund does not achieve its investment objectives in environmental aspects.In the aspect of economic sector investment,the investment difference between the two is smaller than expected.In terms of investment in heavily polluting industries,the proportion of investment in the two groups decreased year by year,but the proportion of investment in the green fund group was about 10% higher than that in the traditional fund group.In terms of corporate ratings,the green fund group is still worse than the traditional fund group.（2）Under the common constraints of financial performance and environmental performance: through static comparison and dynamic comparison,the green fund group is superior to the traditional fund on the whole,which indicates that the development of green fund still has positive significance.According to the analysis,our study found that green fund investors also seek equal to or higher financial returns than conventional investment funds.Thus,managers for green funds may also take similar investment strategies to conventional funds and also seek financial performance at the expense of environmental performance.Our findings reflect that the green capital market in China is still not well developed and efficient.There is a need to have a better environmental information disclosure scheme for listed companies.Finally,corresponding suggestions are put forward for the above factors.