Research On The Influence Of Institutional Investors On Corporate Social Responsibility Performance

The report of the Nineteenth National Congress of the Communist Party of China proposed that we should deepen the reform of financial system,strengthen the economic capacity of financial service entities,increase the proportion of direct financing,and promote the healthy development of multi-level capital markets.Institutional investors are the main body of China's capital market.It is a long-term strategic task for the capital market to vigorously develop institutional investors and form an open,multi-inclusive team of institutional investors,which is conducive to increasing the proportion of direct financing.At present,a pattern of joint development of institutional investors such as securities investment funds,securities firms,QFII,social security funds,insurance companies and trust companies has been formed.With the increase of shareholding ratio,institutional investors have changed their investment concept and began to adopt the strategy of "voting by hand",that is,to participate in corporate governance through "institutional investors' activism".As an important part of corporate governance,corporate social responsibility performance and disclosure of social responsibility information have attracted wide attention from various stakeholders.Institutional investors usually have deeper professional knowledge and stronger ability to collect,process and analyze information because of their scale advantages.They have motivation and ability to promote corporate social responsibility in the process of participating in corporate governance.Then,what are the motivations for institutional investors to pay attention to corporate social responsibility performance,what mechanisms can they adopt to promote corporate social responsibility performance and enhance corporate social responsibility performance under the framework of corporate governance,and what are the mechanisms and effects of different types of institutional investors on corporate social responsibility performance?The answers to these questions are not only related to the stable and efficient development of China's capital market,but also the logical starting point of this study.This paper divides institutional investors into pressure-resistant and pressure-sensitive types from the two aspects of the close relationship between institutional investors and their own investment concepts.According to relevant basic theories,the paper analyses the mechanism of institutional investors' influence on corporate social responsibility performance with the logical thinking of motivation?mechanism?effect and puts forward hypotheses.From 2013 to 2017,companies listed on Shanghai and Shenzhen a-share markets with both institutional investors and Rankins CSR Ratings report are selected as research samples.The following conclusions are obtained through empirical analysis:(1)Institutional investors can exert A positive effect on CSR performance;(2)The impact on CSR performance of heterogeneous institutional investors is different.Pressure-resistant institutional investors are positively correlated with CSR performance,while pressure-sensitive institutional investors are not significantly correlated with CSR performance;(3)The influence of institutional investors on CSR performance is lagging behind.Finally,on the basis of empirical test of relevant theories,the following suggestions are proposed:(1)China should continue to provide strong support for the development of institutional investors and increase the proportion of institutional investors,so that institutional investors have stronger ability and more sufficient motivation to exert influence on CSR performance.(2)Optimize the structure of institutional investors.(3)Advocate institutional investors' activism and long-term investment,value investment and responsible investment.(4)In terms of social responsibility,enterprises need to strengthen their sense of responsibility and improve the level of disclosure.