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Abstract: Using a comprehensive dataset of environmental, social, and corporate governance (ESG) performances for a panel of global firms listed in the MSCI World Index from January 2007 – December 2012, environmental factors were found to have a positive effect on risk-adjusted stock returns. The results are of economic importance as an increase of one standard deviation in environmental score ... read moreresults in 3.165% in excess returns over one year, with industry variation controlled.read less
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