| Direct financing like shareholder pledging can activate stock assets and widen financing channels,which is of great significance to the development of Chinese multi-level capital market.However,shareholder pledging may also create risks.Shareholder pledging seems to belong to the individual behavior of shareholders,but it still has an effect on listed companies’ stock price.Currently,investors in the capital market give weight to the ESG performance of the companies,and many enterprises also pay attention to and invest resources in improving their ESG performance.The pledging of major shareholders’ equity aggravates the agency conflict,and the major shareholders avoid investing the enterprise resources into the venture capital which can not bring the short-term return.ESG investment is one kind of these venture capital investments.In this thesis,from the perspective of shareholder pledging,this study focuses on the relationship among the shareholder pledging,ESG behavior and stock price volatility and its mechanism,and take Shanghai and Shenzhen listed companies from 2016 to 2020 as the object of study and GREE electrical as a case,using the mediation effects model selecting ESG as mediator.It is found that there is a positive correlation between major shareholders’ pledging and stock price volatility,and there is a significant mediating effect between ESG behavior of enterprises and stock price volatility.In the three dimensions of ESG,the mediating effect of Environment is not significant,but the mediating effects of Social and Governance are significant.Case analysis and event analysis are used to discuss the case company GREE electric,although the shareholder pledging of GREE electric does not involve the liquidation mechanism,but it will cause a significant change in the share price and further risk of the company.GREE electric,as a benchmark in the industry,will actively improve its ESG performance and become an example of fulfilling social responsibility in the industry.This study makes some suggestions for enterprises on how to improve the internal governance,strengthen the risk management and strategic transformation,and puts forward proposal for government supervision departments about how to consolidate the external regulation.It is of significance for guarding against and resolving major financial hazard and accelerating the healthy development of capital market. |
