“…With enterprises in China paying attention to ESG practice, can enterprise ESG performance reduce investors' risk expectations? Theoretically, ESG performance can reduce financing constraints (El Ghoul et al, 2011;Zhang et al, 2022), while financing constraints affect the cost of equity capital (Hashim Syarif et al, 2019), however, there is limited evidence in prior literature to support the moderating influence of ESG performance and cost of equity capital. Further, when the enterprise is seeking financing from the outside, external investors often have different understanding and interpretation of the same information, and form inconsistent expectations for the target enterprise (Hong and Stein, 2007), the investment concept is a value that reflects the investor's investment personality, urges the investor to carry out normal analysis and judgment, makes decisions and guides the investor's behavior, and reflects the investor's investment purpose and willingness.…”