The Coronavirus epidemic has significantly influenced social and economic activities in China since the beginning of 2020, and it is like an extreme stress test for listed companies. In the short term, the outbreak of the epidemic will deteriorate companies’ business development and financial performance. Under the extreme pressure, the behavior of listed companies can reflect their resilience against stress, which is an important component of risk management and sustainable development capabilities. Through analysis of the measures against the Coronavirus epidemic, more convincing facts on values, governance ability and relationship with stakeholders of listed companies can be recognized in a different scenario. Therefore, the ESG evaluation of companies under emergences such as the Coronavirus epidemic can be a good supplementary of the overall ESG assessment.
To comprehensively evaluate measures taken by A-share listed companies against the Coronavirus epidemic, SynTao Green Finance has developed an ESG Epidemic Control Valuation model (ESG-ECV). It is hoped that the ESG-ECV results could provide a new perspective for financial institutions to evaluate listed companies.