ESG Perceptions: Investigating Investor Motivations and Characteristics


  • Yu Zhang Kansas State University



Financial knowledge, ESG, socially responsible motivation


Integrating ESG factors into investment strategies is a rapidly growing trend, but less is known about how investors value these ESG factors. The characteristics of investors prioritizing ESG in their decisions remain under-recognized. This study uses the Value-Belief-Norm conceptual framework to investigate the relationship between socially responsible motivation and the perceived importance of ESG when making investment decisions. How financial-related, sociodemographic, human capital, and economic variables correlate with the perceived value of ESG was explored. Analyzing data from the 2021 National Financial Capability Study (NFCS) State-by-State and Investor Survey through cumulative logistic regressions, the findings revealed that socially responsible motivation was significantly and positively linked to the likelihood of assigning greater importance to ESG factors. Variables such as objective and subjective financial knowledge and investment experience in years emerged as significant factors. The segment analysis, which was differentiated based on the presence of socially responsible motivation, further highlighted that financial knowledge and investment experience are significantly associated with the importance placed on ESG factors.




How to Cite

Zhang, Y. (2024). ESG Perceptions: Investigating Investor Motivations and Characteristics. Financial Services Review: The Journal of Individual Financial Management, 32(2), 29–52.



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