The Impact Of Environmental Information Disclosure On Stock Marcket Reaction

In recent years,due to the fact that many measures implemented by the national government are in line with the laws of economic development and improve people’s livelihood,China’s economy has developed at a high speed and high quality.However,in the process of national economic development,environmental pollution has also emerged in an endless stream,and multiple environmental pollutions have occurred.The problem has brought many negative effects to the society and the people.In view of this,the government has successively issued a series of laws such as the Environmental Protection Law and the Environmental Impact Assessment Law,which further improved China’s environmental protection laws and regulations and showed the government’s governance in China.The determination of environmental pollution is in line with the basic requirements for sustainable development in the scientific development concept.With the introduction of a series of environmental laws and the publicity of media public opinion,citizens’ awareness of environmental protection has been enhanced.Investors in the capital market take into account the environmental information disclosed by listed companies in their investment decisions.From the perspective of the degree and quality of environmental information disclosure of listed companies,the performance of the company itself in the capital market is affected.However,due to the need to invest a certain amount of cost in environmental protection and the lack of attention within the company’s management and the imperfect environmental protection system,the cases of environmental pollution in listed companies in China are still common,with the most obvious performance in the chemical and petroleum industries,many environments.The pollution behavior has not only aroused widespread concern of public opinion,but also sounded the alarm of environmental pollution control.The public and media public opinion pay close attention to environmental information,and urge enterprises to timely disclose environmental information in social responsibility information.The specific market reaction triggered by the disclosure of environmental information Although the previous research has not yet given a unified and clear answer,this article starts with the case of Xinan Shares,mainly using the event research method and the factor molecular method to study listed companies.The market reaction of Xin’an shares after environmental information disclosure.This paper first expounds the literature research and theoretical basis of the research.The theoretical basis mainly includes effective market theory,signal transmission theory,herd effect theory,stakeholder theory,etc.The literature research mainly focuses on the system and status quo of corporate environmental information disclosure.,motivation,market reaction,three aspects are reviewed.Secondly,it introduces the case overview,and shows the environmental governance measures and information disclosure development process after Xinan shares first disclosed negative environmental information disclosure in 2013 in the form of a combination of forms and text descriptions.Subsequently,this paper studies the market reaction of Xin’an shares after environmental information disclosure from stock price changes and investor sentiment changes.The specific method is to select representative positive and negative environmental information from many environmental information disclosure announcements announced by Xinan.Disclosure of the announcement and a separate study of them.On June 20,2013,Xinan Co.,Ltd.issued a temporary announcement to respond to the pollution of the Beijing-Hangzhou Grand Canal as a negative environmental information disclosure point.On January 10,2018,Xinan Co.,Ltd.announced the comprehensive environmental protection disclosure plan as a positive environmental information disclosure event.Study the changes in stock price before and after the incident of positive and negative environmental information disclosure and the changes in investor sentiment index.For the negative environmental information announcement disclosed by Xinan Shares,the capital market can make timely and negative external reactions to negative environmental information in the short term,but in the long run,the impact of negative environmental information disclosure on the capital market will return.At normal levels,the effect is not obvious enough.For positive environmental information disclosure,whether for the short-term capital market or the long-term capital market,there is no obvious market reaction to positive environmental information disclosure,and the reaction of stock price and investor sentiment is not obvious.According to the research conclusions of this paper,the corresponding policies are proposed in the seventh chapter of the article,and corresponding suggestions are proposed for the government policy level,the social public level and the enterprise level.These suggestions can all encourage the Chinese enterprises to actively disclose environmental information.Take the initiative to assume social responsibility and accelerate the role of China’s green capital market construction.