Something in the Air | Air Pollution & Carbon Divestment

UNIVERSITY OF TECHNOLOGY SYDNEY
Finance Department
Research Seminars in Finance

Profile picture of Ying Xia

Topic: Something in the Air: Does Air Pollution Affect Fund Managers’ Carbon Divestment?

Speaker: Ying Xia, Monash University

Abstract: We examine whether mutual fund managers overestimate carbon risk when they are exposed to local air pollution. We find that air pollution causes fund managers to underweight stocks of high-emission firms. The effects are stronger among fund managers located in pro-environmental states and among those likely to be surprised by air pollution—consistent with the idea that managers revise their beliefs about carbon risk following their exposure to air pollution. Carbon-intensive stocks sold by fund managers who are exposed to air pollution subsequently outperform stocks that they buy, suggesting that such underweighting is costly to fund investors.

Moderator: Kenny Phua, University of Technology Sydney

Date: Wednesday, 11th May 2022
Time: 12:00pm - 1:00pm (Australian Eastern Standard Time)
Venue: On campus face-to-face seminar in room CB08.08.002 that will also be streamed via Zoom

After registering, you will receive a confirmation email containing information on how to join the meeting, including an access link.

Seminar protocols:

  • The webinar will run for 45 minutes, followed by a 15 minute Q&A session.
  • There will be a moderator for each seminar event, who will facilitate communication and resolve any technical issues.
  • Participants can use the chat facility or raise their had to ask questions during the presentation. The moderator will then alert the speaker at the appropriate time and either ask the questions raised or unmute the participant so they can ask the question directly to the presenter.

Co-ordinator: Kenny Phua
Enquiries: Ray Alonso

Back to Finance seminars
Acknowledgement of Country

UTS acknowledges the Gadigal people of the Eora Nation, the Boorooberongal people of the Dharug Nation, the Bidiagal people and the Gamaygal people, upon whose ancestral lands our university stands. We would also like to pay respect to the Elders both past and present, acknowledging them as the traditional custodians of knowledge for these lands.