Research On The Performance Of ESG Thematic Funds In China Based On PSM

Along with the practice of the concept of sustainable development and "carbon peak",the aim of "carbon neutral",countries around the world are facing the global challenge of sustainable development,the requirement of the market investors are no longer limited to simply consider the financial performance,but in terms of environmental,social,and governance and more attention,thus,ESG investment concept came into view.ESG investment philosophy refers to the consideration of environmental protection(E),social responsibility(S)and corporate governance(G)in investment,while ESG theme fund is a fund management company that incorporates these three factors into investment decisions when building fund portfolios.For investors,whether the fund can achieve higher returns is the most concerned issue.Therefore,the research on the performance of ESG theme funds in this paper is of certain significance in both reality and theory.This paper firstly reviews the relevant literature at home and abroad,and puts forward two hypotheses based on the development of ESG thematic funds in China.First,funds that incorporate ESG factors into their investment decisions will get higher returns than traditional funds.Second,compared with "social responsibility" and "corporate governance" factors,"environmental" factors have a more significant impact on fund performance.In this paper,funds from 2019 to 2021 are selected as the research object,and "new energy" and "sustainable development" are selected as key words of E theme."Responsibility","poverty alleviation" and so on as the key words of S theme retrieval;With "sustainable development","governance" and other keywords as g-theme search keywords,the combination of three types of funds and "ESG","CCTV" and other search keywords as ESG theme fund search conditions,the fund name,investment objectives,investment philosophy and investment scope of the fund are screened.In tended to score matching on the basis of the premise,using PSM eliminates the problem of sample selection bias,the ESG subject funds,E,S funds,G theme with traditional fund respectively match,screen samples back after the match,according to the empirical analysis of the results,and robustness test,to verify the hypothesis of this article,Then put forward corresponding suggestions.The conclusion shows that although the returns of ESG theme funds in 2019 are lower than those of traditional funds,the conclusion is not significant.On the contrary,THE returns of ESG type funds in 2020 and 2021 are higher than those of traditional funds,and the effect is significant,and there is a positive correlation overall.Among the three factors of ESG theme funds,environmental factor(E)has a more obvious improvement on fund performance,which better verifies the two hypotheses proposed in this paper.Therefore,China can actively promote the ESG investment concept and pay more attention to the diversified development of various ESG-themed funds.Investors can also prefer ESG-type funds in fund selection to obtain better returns.The government and relevant institutions should formulate relevant policies and build an ESG evaluation system.To help implement the concept of sustainable development and achieve the dual carbon goal.