E ISSN: 2583-049X

International Journal of Advanced Multidisciplinary Research and Studies

Volume 4, Issue 1, 2024

Can Environmental, Social, and Governance (ESG) Disclosures Influence the Value of Market Capitalization Indexed by ESG Leaders in Indonesia in 2018-2022?

Author(s): Dimas Prayoga, Reni Oktavia, Tri Joko Prasetyo, Niken Kusumawardhani

DOI: https://doi.org/10.62225/2583049X.2024.4.1.2326


This research aims to examine the effect of environmental, social, and governance (ESG) disclosure on market capitalization value. This quantitative research uses purposive sampling techniques in the sampling process. The number of samples in this research was 14 companies indexed by IDX-ESG Leaders for 2018-2022. This research uses the NASDAQ 2.0 disclosure standard to measure ESG disclosure. The research results show that environmental disclosure does not affect market capitalization value. Meanwhile, social disclosure and governance have a positive effect on market capitalization value. The results of this research have implications for companies and investors in considering ESG disclosure information as an effort to increase market capitalization value and determine investment decisions.

Keywords: Environmental, Market Capitalization, Governance, Social

Pages: 997-1003

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