Thesis Defence – Yavuz Arda Yıldız (MSFE)

Yavuz Arda Yıldız - M.Sc. Financial Engineering

Asst. Prof. Dr. Umut Gökçen – Advisor

Date: 05.05.2025

Time: 14.30

Location: Özyeğin University Altunizade Campus - Classroom ALT 101

“The Impact of Being Listed in the BIST Sustainability Index and Corporate Governance Principles on the Financial Performance of Companies”

Asst. Prof. Dr. Umut Gökçen, Özyeğin University

Asst. Prof. Dr. Emrah Ahi, Özyeğin University

Prof. Dr. Sevcan Yeşiltaş, Koç University

Abstract:

   This study explores how corporate governance performance and sustainability index participation relate to the financial performance of companies listed on Borsa Istanbul. Drawing on a firm-level panel dataset spanning from 2014 to 2023, the analysis employs the Pooled Mean Group (PMG) estimator within the plm package in R to examine both accounting-based and market-based performance indicators.

The models include Return on Equity (ROE), Return on Assets (ROA), and EBITDA to Total Assets as accounting measures, while nominal and alpha returns are considered as market-based outcomes. Independent variables encompass corporate governance performance, firm size (measured by market capitalization), systematic risk (beta), book-to-market ratio, inclusion in the BIST Sustainability Index (SIC), and prior-period returns. A total of twelve model specifications were employed, allowing for a comparative analysis of how the same explanatory variables relate to different dimensions of financial performance. This design provided a broader perspective on the ESG-performance nexus and helped assess the robustness of the results.

Keywords:

Corporate Governance Performance, ESG, Financial Performance, BIST Sustainability Index

Bio:  

Arda Yıldız, having graduated from the business administration and management Department at Istanbul University in 2018, currently works at Doğuş Otomotiv as an investor relations assistant manager.