绿色偏好，绿色投资（英）

GREENPREFERENCE,GREENINVESTMENT ZhenyuGao,YanLuo,ShuTian,andHaoYang NO.722 April2024 ADBECONOMICSWORKINGPAPERSERIES ASIANDEVELOPMENTBANK ADBEconomicsWorkingPaperSeries GreenPreference,GreenInvestment TheADBEconomicsWorkingPaperSeriespresentsresearchinprogresstoelicitcommentsandencouragedebateondevelopmentissuesinAsiaandthePacific.TheviewsexpressedarethoseoftheauthorsanddonotnecessarilyreflecttheviewsandpoliciesofADBor itsBoardofGovernorsorthegovernmentstheyrepresent. ZhenyuGao,YanLuo,ShuTian,andHaoYangNo.722|April2024 ZhenyuGao(gaozhenyu@baf.cuhk.edu.hk)isanassociateprofessoratChineseUniversityofHongKong.YanLuo(luoyan@fudan.edu.cn)isaprofessorandHaoYang(17210690042@fudan.edu.cn)isaPhDcandidateatFudanUniversity.ShuTian(stian@adb.org)isasenioreconomistattheEconomicResearchandDevelopmentImpactDepartment,AsianDevelopmentBank. ASIANDEVELOPMENTBANK CreativeCommonsAttribution3.0IGOlicense(CCBY3.0IGO) ©2024AsianDevelopmentBank 6ADBAvenue,MandaluyongCity,1550MetroManila,PhilippinesTel+63286324444;Fax+63286362444 www.adb.org Somerightsreserved.Publishedin2024.ISSN2313-6537(print),2313-6545(PDF) PublicationStockNo.WPS240238-2 DOI:http://dx.doi.org/10.22617/WPS240238-2 TheviewsexpressedinthispublicationarethoseoftheauthorsanddonotnecessarilyreflecttheviewsandpoliciesoftheAsianDevelopmentBank(ADB)oritsBoardofGovernorsorthegovernmentstheyrepresent. ADBdoesnotguaranteetheaccuracyofthedataincludedinthispublicationandacceptsnoresponsibilityforanyconsequenceoftheiruse.ThementionofspecificcompaniesorproductsofmanufacturersdoesnotimplythattheyareendorsedorrecommendedbyADBinpreferencetoothersofasimilarnaturethatarenotmentioned. Bymakinganydesignationoforreferencetoaparticularterritoryorgeographicareainthisdocument,ADBdoesnotintendtomakeanyjudgmentsastothelegalorotherstatusofanyterritoryorarea. ThispublicationisavailableundertheCreativeCommonsAttribution3.0IGOlicense(CCBY3.0IGO)https://creativecommons.org/licenses/by/3.0/igo/.Byusingthecontentofthispublication,youagreetobeboundbythetermsofthislicense.Forattribution,translations,adaptations,andpermissions,pleasereadtheprovisionsandtermsofuseathttps://www.adb.org/terms-use#openaccess. ThisCClicensedoesnotapplytonon-ADBcopyrightmaterialsinthispublication.Ifthematerialisattributedtoanothersource,pleasecontactthecopyrightownerorpublisherofthatsourceforpermissiontoreproduceit.ADBcannotbeheldliableforanyclaimsthatariseasaresultofyouruseofthematerial. Pleasecontactpubsmarketing@adb.orgifyouhavequestionsorcommentswithrespecttocontent,orifyouwishtoobtaincopyrightpermissionforyourintendedusethatdoesnotfallwithintheseterms,orforpermissiontousetheADBlogo. CorrigendatoADBpublicationsmaybefoundathttp://www.adb.org/publications/corrigenda.Notes: Inthispublication,“CNY”referstoyuan. ADBrecognizes“China”asthePeople’sRepublicofChinaand“HongKong”asHongKong,China. ABSTRACT BasedonAlibaba’srenowned“green”initiative,theAntForestprogram,wedevelopanovelmeasuretorevealanindividualinvestor’snonpecuniarygreenpreferenceandlinkittoanindividual’sinvestmentactions.Wepresentcompellingevidencethatsupportsnonfinancialincentivesforinvestingingreenmutualfundswhiledivestingfrom“brown”funds.Concernsoverclimatephysicalandregulatoryrisksfurtherreinforcethisinfluence.Individuals’greenpreferencesdonotleadtofinancialgainsfromtrading.Moreover,wemitigatetheendogeneityissuebyemployingthedevelopmentofalocalsubwaynetworkasasourceofvariationsingreenpreferences. Keywords:nonpecuniarypreference,revealedpreference,sustainablefinance,FinTech JELcodes:G11,G50,Q55 Thispaperwaspreviouslydistributedunderthetitle“ClimateRiskAwarenessandRetailTrading.”WearegratefultoAbdulAbiad,ChanikJo,WenhaoLi,WenxiJiang,PaoloSodini,LeileiSong,DenisSosyura,WeiXiong,AnthonyZhang,andparticipantsata2022AsianDevelopmentBankworkshop,XiamenUniversityseminar,DeakinUniversityseminar,and2023AsianEconomicDevelopmentConferenceforhelpfulcommentsanddiscussions.Allremainingerrorsareours.TheauthorsacknowledgeandappreciatesupportfromtheDigitalFinanceOpenResearchPlatform(www.dfor.org.cn).Alldataaresampled,desensitized,andstoredontheAntOpenResearchLaboratoryinanAntGroupEnvironment,whichisonlyremotelyaccessibleforempiricalanalysis.DuetolengthlimitsofADBworkingpaperseries,amorecompleteversionofthisworkingpaperwithadditionalresultsontestsaddressingconfoundingfactorsandsensitivityissuescanbeaccessedatSSRN:https://ssrn.com/abstract=4655538. 1.Introduction Inherpresidentialaddressatthe2023AmericanFinanceAssociation(AFA)LauraStarkshighlightstheimportanceofunderstandingthemotivationsbehindsustainablefinance,particularlythedistinctionbetween“value”versus“values”motivations(Starks2023).Nevertheless,unravelingindividuals’motivesforinvestmentsposestwomajorchallenges.First,itisdifficulttomeasureindividuals’nonpecuniarypreferencestowardsustainabilityanddifferentiatethemfromtheirfinancialconsiderations.Second,itischallengingtostudyhowinvestors’“green”preferencesshapetheirinvestmentchoices. Inthispaper,wetacklethesechallengesbyutilizingarevealedpreferencemethodology(Samuelson