Research On ESG Performance、Institutional Investors’ Shareholding And Corporate Investment Efficiency

High-quality development is the primary task of building a modern socialist country in an all-round way.Since entering the new development stage,the importance of ESG concept and high-level investment efficiency of enterprises has become increasingly prominent.At the same time,the construction of China ’s capital market and the impact of institutional investors on enterprise development have attracted much attention.In this context,it is of great practical significance to study the relationship between ESG performance and institutional investors ’ shareholding and corporate investment efficiency.This thesis first analyzes the theoretical mechanism of ESG performance affecting institutional investors ’shareholding and corporate investment efficiency,and then constructs a two-way fixed effect model for empirical test.This paper takes the data of 3172 listed companies in China ’s Shanghai and Shenzhen Ashare market from 2009 to 2021 as the research sample,assigns the ESG rating data of Huazheng,measures the institutional investors ’ shareholding by institutional investors ’ shareholding increase variables and shareholding ratio variables,and calculates the investment efficiency of enterprises by Richardson model.This paper empirically studies the impact of ESG performance on institutional investors ’ shareholding and enterprise investment efficiency.On this basis,it explores the impact mechanism of enterprise ESG performance on enterprise investment efficiency by increasing the shareholding ratio of heterogeneous institutional investors.In addition,this paper analyzes the heterogeneity of enterprise property rights and enterprise life cycle.Finally,this paper introduces economic policy uncertainty variables,and expands the analysis of the impact of economic policy uncertainty on the relationship between corporate ESG performance and institutional investors ’ shareholding and corporate investment efficiency.The main conclusions of this paper are as follows :(1)The improvement of ESG performance can significantly improve the investment efficiency of enterprises,curb overinvestment and alleviate underinvestment;(2)The improvement of corporate ESG performance can attract institutional investors to invest and increase the shareholding ratio of institutional investors.Compared with non-independent institutional investors,companies with good ESG performance are more able to attract independent institutional investors;compared with short-term trading institutional investors,companies with good ESG performance are more able to attract long-term stable institutional investors;(3)The improvement of ESG performance can improve the investment efficiency of enterprises and inhibit the over-investment of enterprises by increasing the shareholding ratio of independent institutional investors.The improvement of ESG performance can improve the investment efficiency of enterprises and alleviate the underinvestment of enterprises by increasing the shareholding ratio of long-term stable institutional investors.(4)For state-owned enterprises and private enterprises,the improvement of ESG performance can significantly improve the investment efficiency of enterprises.The ESG performance of state-owned enterprises has no significant impact on the shareholding behavior of institutional investors,while the improvement of ESG performance of private enterprises can significantly attract institutional investors and increase the shareholding ratio of institutional investors.(5)The ESG performance of growing enterprises has no significant impact on the investment efficiency of enterprises and the shareholding of institutional investors,while the improvement of ESG performance of mature enterprises and recession enterprises can significantly improve the investment efficiency of enterprises,attract institutional investors and increase the shareholding ratio of institutional investors.(6)In the period of rising economic policy uncertainty,enterprises with good ESG performance play a more significant role in improving their own investment efficiency,and can also attract institutional investors to invest more significantly and increase the shareholding ratio of institutional investors.Based on the above conclusions,this thesis puts forward two suggestions for the government and regulatory authorities,enterprises themselves and institutional investors,in order to provide new ideas and policy suggestions for promoting the green development transformation of Chinese enterprises,improving the investment efficiency of enterprises,improving the construction of capital market and realizing the highquality development of China ’s economy.