The Effect of Firm Size, Firm Age, and Institutional Investor on Environmental Social Disclosure (ESG)

Abstract

The disclosure of the company's Environmental, Social, and Governance (ESG) practices is the main topic of this study. The aim of this research is to examine the variables that affect ESG disclosure in the Energy and Basic Material industries, including firm age, size, and institutional investors. In this study, a quantitative research approach was adopted. The study's ESG disclosure data originates from the company's sustainability reports. The purposive sample approach was applied to select 59 firms for the sample. The sample was collected between 2021 and 2022, which is a two-year research period. Multiple linear regression was implemented in the data analysis. The study's findings indicate that while firm size has no influence on ESG factors, firm age, and institutional investors have an impact on ESG disclosure.