Early movers in sustainability How can early adoption of the Taskforce on Nature-related Financial Disclosures increase financial returns for asset managers?
Publicerad
Författare
Typ
Examensarbete för masterexamen
Master's Thesis
Master's Thesis
Modellbyggare
Tidskriftstitel
ISSN
Volymtitel
Utgivare
Sammanfattning
As environmental risks are at the forefront of financial markets, nature-related dis-
closures have gained momentum. This thesis investigates how early adoption of the
Taskforce on Nature-related Financial Disclosures (TNFD) influences returns for
asset managers. By applying a Difference-in-Differences methodology to matched
samples of early and late adopters within East Capital’s portfolio, the study assesses
short-term financial impacts using rolling average returns and rolling Sharpe ratios.
Early adopters perform poorly in the short run. These results are contextualized
using signaling theory, the Efficient Market Hypothesis, behavioral finance, and the
early-mover advantage literature. The findings suggest that the effectiveness of vol-
untary ESG signals, such as the adoption of TNFD, is shaped by credibility, investor
attention, and market maturity. The thesis contributes to understanding when and
how sustainability disclosures translate into competitive financial outcomes, offering
implications for asset managers navigating ESG integration and strategic position-
ing.
Beskrivning
Ämne/nyckelord
TNFD, Early Mover Advantages, Efficient Market Hypothesis, Difference- in-Differences