Work

Social responsibility and bank resiliency

Year: 2023

Type: article

Abstract: We find strong evidence that measures of social responsibility contribute to increasing the resilience of banks. This finding holds when social responsibility is measured by aggregated ESG scores provided by Thomson Reuters, both according to their older Asset 4 categorization and to the reformed ESG Refinitiv classification, and resilience is proxied by various measures of systemic and systematic risk. The results hold on the level of subcategories of the ESG pillars, where we find that, particularly, variables related to the long-term perspective enhance resilience. Moreover, in our international study, we find significant transatlantic differences.

Source: Journal of Financial Stability

DOI: 10.1016/j.jfs.2023.101191

Authors: Thomas Gehrig, Maria Chiara Iannino, Stephan Unger

Institutions: University of Vienna, University of St Andrews, Saint Anselm College

Language: English

Topic: Corporate Social Responsibility Reporting

Subfield: Strategy and Management

Field: Business, Management and Accounting

Domain: Social Sciences

Open Access status: hybrid

Estimated APC paid: $3,240

Funder: Università degli Studi di Torino