Digital Intelligence Development Seminar

Date: Friday, 4^th July 2025, 14:00-17:15

Location: This seminar is in person only in C03-205, Business School

Guest Speaker:

Dr Chunxia Jiang is the Head of the Accounting, Finance, and Real Estate Department, a Senior Lecturer (Associate Professor) in Finance at the Business School, University of Aberdeen, UK. Prior to joining Aberdeen in 2019, She was a Lecturer/Senior Lecturer at Newcastle University and Middlesex University Business School in UK. Chunxia holds PhD in Economics and MSc Money, Banking and Finance. Chunxia’s main research interest include banking performance and competition, financial stability, monetary policy, and recently extend to green finance and Fintech. Her research works have appeared in leading peer-reviewed academic journals such as the Journal of Banking & Finance, Journal of Financial Stability, and Energy Economics. Her research works have also appeared in top economics journal in China. Chunxia has published a research monograph: Chinese Banking Reform - From the Pre-WTO to Financial Crisis and Beyond by Palgrave Macmillan.

Abstract:

This study investigates how stock price informativeness (SPI) is jointly affected by the performance (“doing good”) and disclosure quality (“speaking well”) of financial and non-financial Environmental, Social, and Governance (ESG) information. We find that both “doing good” and “speaking well” improve SPI, and the latter strengthens the effect of the former, regardless of financial or non-financial information. Non-financial information complements financial information in shaping SPI, which is particularly influential when financial information is poor. This effect propagates through three channels: analyst attention, information asymmetry, and institutional ownership. Our findings highlight the nuanced interplay between financial and non-financial information, revealing that disclosure quality contributes to incremental informational value beyond performance metrics. The results are further validated through the out-of-sample performance of strategically constructed portfolios, which enable us to propose a double-dual signaling framework for sustainable investment strategy, which provide practical guidance for investors' asset allocation decisions.