Decreasing Interest Among Investors in Sustainable Investments - Decrease in Public Interest for Sustainable Investing
In a recent survey conducted by comparison portal Verivox, it has been revealed that the interest in sustainable investing among German savers has declined for the second consecutive year. Despite this decrease, the survey shows that young adults under 30 remain the most open to ecologically and ethically sound investments, with 81% expressing general interest.
The decline in interest could be attributed to several factors. Economic uncertainty, such as downturns or high inflation, may cause investors to prioritize financial returns over environmental or social considerations. Another possible reason is a lack of transparency in the environmental impact of investments, which might deter some investors from sustainable options.
Changes in regulations or policies affecting sustainable investing could also influence investor behavior. Market volatility, fluctuations that might make sustainable investments seem riskier, could also play a role. Cost and performance are also significant factors, as sustainable investments may be perceived as costlier or less performant compared to traditional investments.
Interestingly, the survey also found that more than half (55%) of those interested in sustainable investments would sacrifice returns if the investments met important sustainability standards. This suggests a strong commitment to sustainability among these investors.
Despite the overall decline, the survey indicates that senior citizens are not the primary demographic driving the interest in sustainable investments. Only half of those over 70 are interested in ESG investments. On the other hand, among childless households, the lack of interest in sustainable investments is almost double compared to families with children.
The survey, which involved around 1,000 people in May, was conducted in Frankfurt am Main. It's worth noting that the survey did not mention any connection to Donald Trump, climate goals, or tobacco. Instead, it appears that other topics are currently dominating the debates.
Oliver Maier, CEO of Verivox Finanzvergleich GmbH, stated that today's debates are dominated by topics other than sustainability. This shift in focus could potentially explain the decline in interest in sustainable investing among German savers.
The survey also highlighted the importance of excluding sectors like gambling (22%) and arms (20%) for respondents. Resource conservation and investments in renewable energy are also valued by respondents, with 29% and 27% expressing interest, respectively. Fair labor practices and animal welfare are particularly important criteria for respondents, with 29% and 27% citing these as important factors, respectively.
However, the survey shows that only one in six (16%) is currently invested in such financial products. This discrepancy between interest and investment could indicate a need for more accessible and attractive sustainable investment options.
[1] It's also important to note that the search results do mention a decrease in energy costs in Germany, which could be related to broader economic trends impacting investor behavior. For a detailed analysis, more specific data from Verivox or related surveys would be needed.
The decline in interest in sustainable investing among German savers could be linked to various factors, such as the influence of economic uncertainty, industry regulations, or market volatility. Additionally, a lack of transparency in the environmental impact of investments might deter some investors.
The survey also revealed that more than half (55%) of those interested in sustainable investments would sacrifice financial returns for investments that met important sustainability standards, indicating a strong commitment to sustainability.
Another important finding from the survey was the interest in environmental-science fields like resource conservation and investments in renewable energy, with 29% and 27% respectively expressing interest. This suggests a growing concern among investors for the environment and climate-change.
