Do green investors empower companies to develop sustainably? A study based on the perspective of innovation investment and corporate governance levels

The study employs empirical research methods to investigate the relationship between green investors and sustainable development of enterprises, drawing on data from A-share listed companies in Shanghai and Shenzhen, China, from 2012 to 2022. The results reveal that green investors significantly promote sustainable development of enterprises. Mechanism analysis shows that green investors facilitate corporate sustainable development by increasing innovation investment and improving governance levels. Moreover, the impact of green investors is notably strong when enterprises are subject to intense analyst attention and complete internal controls, as well as in enterprises that are non-state-owned, non-heavy polluting, and located in Eastern China.