This study examines the resilience of ESG investments across different phases of the COVID-19 pandemic, focusing on the Italian Stock Exchange. We compare the performance of firms included in the MIB ESG index with a carefully stratified control group of non-ESG companies. Using a network analysis approach, the results show a higher degree of resilience among ESG assets, particularly in the post-lockdown phase, when they exhibited a faster and stronger recovery than traditional investments. The findings suggest that firm-level commitments to environmental responsibility, social engagement, and sound governance can enhance market robustness during periods of uncertainty and stress. By providing empirical evidence on the stabilising role of ESG practices, the study contributes to the sustainable finance literature and improves understanding of the relationship between ESG investing and market dynamics. The analysis identifies consumer discretionary, healthcare, and technology as the sectors that benefited most from ESG adoption during the recovery phase.
Falcone et al. (Thu,) studied this question.