Beschreibung:
This paper investigates the impact of ESG ratings on stock price synchronicity. Results show that ESG ratings increase stock price synchronicity. All robustness tests, including instrumental variable approach, confirm the positive causal effect of ESG ratings on stock price synchronicity. Mechanism analysis indicates that ESG ratings enhance stock price synchronicity by suppressing investor heterogeneous beliefs. These findings provide valuable insights into the relationship between ESG and stock price synchronicity