The spillover effects of green bond issuance: a study based on Chinese firms' stock price synchronicity

Li, Rongnan1; Li, Zhongfei2; Hu, Kexin1; Gan, Kai1

2024-02-01

10.1007/s10644-024-09618-9

ECONOMIC CHANGE AND RESTRUCTURING   影响因子和分区

1573-9414

1574-0277

This study examines the impact of green bond issuance on stock price synchronicity among peer companies in the Chinese listed firms from 2013 to 2021. The findings reveal that the issuance of green bonds leads to a decrease in stock price synchronicity among peer companies, particularly within industries characterized by higher levels of competition. By employing machine learning techniques to identify green-innovation textual information in green bond prospectuses, we find that a higher proportion of green-innovation textual information, particularly company-specific and forward-looking information, strengthens the spillover effects of green bond issuance. Mechanism tests demonstrate that expanding investor information channels and improving information disclosure quality among peer companies are the main pathways through which green bond issuance generates spillover effects. In terms of economic consequences, we find that the spillover effects of green bond issuance contribute to reducing financing constraints among peer companies and enhancing environmental performance. This research focuses on analyzing the spillover effects of green bond issuance, contributing to the existing literature on green bonds and highlighting the significant role of green bond pilot programs in enhancing the overall efficiency of capital market resource allocation.

Green bonds Stock price synchronicity Spillover effects Innovation textual information Information environment

SSCI

英语

通讯

Business & Economics

Economics

WOS:001155874200004

SPRINGER

Web of Science

1.Sun Yat Sen Univ, Sch Business, Guangzhou 510275, Peoples R China
2.Southern Univ Sci & Technol, Business Sch, Dept Finance, Shenzhen 518055, Peoples R China

Li, Rongnan,Li, Zhongfei,Hu, Kexin,et al. The spillover effects of green bond issuance: a study based on Chinese firms' stock price synchronicity[J]. ECONOMIC CHANGE AND RESTRUCTURING,2024,57(1).

Li, Rongnan,Li, Zhongfei,Hu, Kexin,&Gan, Kai.(2024).The spillover effects of green bond issuance: a study based on Chinese firms' stock price synchronicity.ECONOMIC CHANGE AND RESTRUCTURING,57(1).

Li, Rongnan,et al."The spillover effects of green bond issuance: a study based on Chinese firms' stock price synchronicity".ECONOMIC CHANGE AND RESTRUCTURING 57.1(2024).