Sustainable Practices and Shareholder Value Creation in FinTech Firms: International Evidence

FinTech firms have become an essential segment of the global economy and also of the stock markets. However, information on their sustainability practices and whether they have value relevance in the stock markets is scarce. To fill this gap in the literature, this chapter aims to examine the role of sustainable practices in creating shareholder value for an international sample of FinTech companies over the period 2015–2021. Our overall results allow us to state that not all sustainable activities are positively and significantly valued in stock markets. Our overall results reflect that sustainability activities that create value are those related to disclosure practices using GRI standards, assurance of such information and environmental activities. These findings are relevant not only to academics but also to the management of these companies, policymakers, investors and society at large.