How do the Green Energy Stocks React to Green Bond Issuances?
Küçük Resim Yok
Tarih
2024
Yazarlar
Dergi Başlığı
Dergi ISSN
Cilt Başlığı
Yayıncı
Mehmet Akif Ersoy Univ
Erişim Hakkı
info:eu-repo/semantics/openAccess
Özet
Achieving sustainable development is one of the main issues at the global level and both public and private sector enterprises need to make large - scale investments to fight against climate change. In this respect, green bonds gain importance to raise money for environmentally - friendly projects, especially clean energy. Proceeds from green bonds are earmarked towards financing of investments that have positive environmental impacts. This paper explores the relationship among green bond issuances and stock market reaction with special focus on renewable energy firms. Herein, through a dataset of green bond issuance announcements worldwide by 46 unique firms over the period from 2014 to 2023, we investigate how the share prices respond to such announcements using event - study methodology. From the empirical evidence of the downward stock price movements, we suggest that investors react negatively to the announcement of green bond issuances. In other words, we find significant and negative cumulative average abnormal returns (CAAR) across all the event windows except in the window of [0, 10], meaning that our findings are robust to several alternative event windows. Further, we determine that the share price response, in general, does not differ depending on the use of green bond proceeds and the years.
Açıklama
Anahtar Kelimeler
Green Bonds, Event Study, Stock Market Reaction, Renewable Energy Firms
Kaynak
Journal of Mehmet Akif Ersoy University Economics and Administrative Sciences Faculty
WoS Q Değeri
N/A
Scopus Q Değeri
N/A
Cilt
11
Sayı
3
