PENGARUH KINERJA ENVIRONMENTAL, SOCIAL, DAN GOVERNANCE (ESG) TERHADAP KEPUTUSAN INVESTASI DI PASAR MODAL INDONESIA DI KOTA MALANG

The development of sustainable finance encourages investors to consider not only financial factors but also non-financial factors in making investment decisions. Environmental, Social, and Governance (ESG) is an important indicator that reflects a company's commitment to sustainability and responsible governance. This study aims to analyze the influence of Environmental, Social, and Governance on investor investment decisions in the Indonesian capital market. This study uses a quantitative approach with a survey method. Primary data was obtained by distributing questionnaires to 120 investors domiciled in Malang City and actively investing in the Indonesian capital market. The sampling technique used purposive sampling with the criteria of investors who have experience and a basic understanding of ESG. Data analysis was performed using multiple linear regression with the help of statistical software. The results of the study indicate that the Environmental variable has a partial significant effect on investment decisions, and the Social and Governance variables have no partial significant effect on investment decisions. The results of the simultaneous test show that ESG jointly has a significant effect on investor investment decisions. These findings indicate that investors in the Indonesian capital market are a basis for investment decision-making. This research provides theoretical implications in strengthening the Theory of Planned Behavior in the context of ESG-based investment and provides practical implications for investors, issuers, and regulators in encouraging the implementation and disclosure of ESG in the Indonesian capital market.