Quantitative Sustainability Disclosure –An international comparison and its impact on investor valuation
Muller, Sebastiaan (2011)
Pro gradu -tutkielma
Muller, Sebastiaan
2011
Julkaisun pysyvä osoite on
https://urn.fi/URN:NBN:fi-fe201106101728
https://urn.fi/URN:NBN:fi-fe201106101728
Tiivistelmä
This research focuses on the link between quantitative sustainability
disclosure and information asymmetry. It builds upon previous research
which links information asymmetry with voluntary disclosure. Stakeholders
from the financial services sector claim that sustainability disclosure needs to
be more numerical and comparable between companies. This research
covers 111 firms from Denmark, Finland, the Netherlands and Sweden from
non-service industries and studies how quantitative their sustainability
disclosure is, and whether or not there is a negative relation with information
asymmetry. The results support the hypotheses, where two out of three
information asymmetry proxies have a significant negative relation with
quantitative disclosure. Size is supported as a moderating factor.
Quantitativity also proves to have a significant link with third party
sustainability ratings. The direct link between quantitativity and cost of
capital is not however supported.
disclosure and information asymmetry. It builds upon previous research
which links information asymmetry with voluntary disclosure. Stakeholders
from the financial services sector claim that sustainability disclosure needs to
be more numerical and comparable between companies. This research
covers 111 firms from Denmark, Finland, the Netherlands and Sweden from
non-service industries and studies how quantitative their sustainability
disclosure is, and whether or not there is a negative relation with information
asymmetry. The results support the hypotheses, where two out of three
information asymmetry proxies have a significant negative relation with
quantitative disclosure. Size is supported as a moderating factor.
Quantitativity also proves to have a significant link with third party
sustainability ratings. The direct link between quantitativity and cost of
capital is not however supported.