The Value Relevance of CSR Reporting Quality. 4/2015. 38th European Accounting Association - Annual Congress 2015. - Glasgow, UK : - Social and Environmental Accounting
Type
conference paper
Date Issued
2015-04-29
Author(s)
Abstract
Abstract:
We examine the value relevance of corporate social responsibility (CSR) reporting quality inthe so?called D/A/CH region (Germany, Austria, and Switzerland). We provide empirical evidence that higher CSR reporting quality reduces stock return volatility and abnormal returns from unexpected CSR performance risk. We argue, when the quality of CSR reporting is high, then the market is pricing firms' future CSR performance more precisely. We also find that the amount and quality of CSR reporting has significantly increased from 2002 to 2012. Particularly, the use of separate sustainability reports and integrated reports has increased over time. The data is hand?collected and obtained through an analysis of CSR reporting in annual reports, status reports, integrative reports, and CSR reports. The data set represents the complete composition of DAX30 (Germany), ATX (Austria), and SMI (Switzerland) listed firms as of December 2012.
We examine the value relevance of corporate social responsibility (CSR) reporting quality inthe so?called D/A/CH region (Germany, Austria, and Switzerland). We provide empirical evidence that higher CSR reporting quality reduces stock return volatility and abnormal returns from unexpected CSR performance risk. We argue, when the quality of CSR reporting is high, then the market is pricing firms' future CSR performance more precisely. We also find that the amount and quality of CSR reporting has significantly increased from 2002 to 2012. Particularly, the use of separate sustainability reports and integrated reports has increased over time. The data is hand?collected and obtained through an analysis of CSR reporting in annual reports, status reports, integrative reports, and CSR reports. The data set represents the complete composition of DAX30 (Germany), ATX (Austria), and SMI (Switzerland) listed firms as of December 2012.
Language
English
Keywords
CSR
value relevance
nonfinancial reporting
market efficiency
HSG Classification
contribution to scientific community
HSG Profile Area
SoM - Responsible Corporate Competitiveness (RoCC)
Refereed
Yes
Book title
38th Annual Conference 2015, Proceedings, European Accounting Association
Event Title
European Accounting Association, 38th Annual Congress 2015
Event Location
Glasgow, UK
Subject(s)
Division(s)
Eprints ID
242716