Private investors around the Nordics are interested in sustainability when they invest their money but lack knowledge about the area. This is one of the takeaways from a survey conducted by Kantar for Nordea during autumn in 2022 when around 4,000 private investors in Denmark, Sweden, Norway and Finland were interviewed about their attitude towards sustainable investments.
In Sweden, as many as 31% of respondents answered that they want to ensure that their investments are managed in a sustainable way, followed by Finnish investors at 27%. But even if investors orient themselves more and more towards sustainability, a larger part, just over 40%, says that sustainability is important but not decisive for their choice of investments.
"What the survey tells us is that the majority has ESG (Environmental, Social and Governance) factors in mind when asked,” says Josefin Degerholm, Deputy CEO of Nordea Funds. “I think some of the reasons for leaving them out then at the final investment decision stage may be that investing is still a rather complex area for most people, and they’re not sure if they have to compromise on return if they follow the theme.”
Josefin Degerholm explains that the survey data also clearly supports the assumption that investors might be unsure of how to enter the field. The majority of respondents across countries does not feel well versed in sustainable investments:
“Respondents feel they lack information and see that as an obstacle to them. I think that as a bank we have done a lot but still have work ahead of us in explaining how environmental, social and governance factors can be a part of how you as a private investor assess a fund or a company. ESG is about lowering environmental and social risks and preparing for the future, so in many cases ESG investments would be a good choice in a long-term portfolio also from a financial perspective.”
