Do Female CEOs Impact ESG Performance? - Evidence from Scandinavia

Abstract

This thesis examines the influence of female leadership on ESG (Environmental, Social, and Governance) performance across publicly traded companies in Scandinavian countries, with a particular focus on the roles of female CEOs. Our research encompasses a comprehensive dataset from the Thomson Reuters (Refinitiv) ESG database, analyzing the period from 2018 to 2023. The findings reveal that companies led by female CEOs generally exhibit enhanced ESG performance, with notable variations across the Environmental, Social, and Governance pillars. Illustrating that the most significant influences occur within the Social and Governance aspects. Further analysis reveals that female CEOs have a more pronounced positive impact in clean industries and firms with lower investment intensity. There is also evidence that the dual role of female CEOs as a board member amplifies their positive impact on ESG scores. This research not only enriches the discourse on gender diversity within corporate leadership but also provides insights into how these dynamics manifest in the progressive business environments of Scandinavian countries.