SET ESG ratings and firm value: The new sustainability performance assessment tool in Thailand.

ABSTRACT: This study investigates the influence of SET ESG ratings on firm value of companies listed on the Stock Exchange of Thailand (SET), emphasizing the multifaceted relationships between ESG performance, third-party evaluations, and market reactions following SET ESG ratings announcements. The findings reveal that firms with higher SET ESG ratings experience significant enhancements in firm value due to their superior management of environmental and social risks, which reduces regulatory and reputational threats. Furthermore, the research uncovers the nuanced role of third-party ESG evaluations, indicating that while endorsements from reputable sources can amplify the positive effects of SET ESG ratings, more or conflicting assessments can lead to diminished firm value. Specifically, a single

SUBMITTER: Moolkham M 

PROVIDER: S-EPMC11805399 | biostudies-literature | 2025

REPOSITORIES: biostudies-literature