30 May 2018: Swiss Sustainable Investment Market Study 2018
This is the first time Swiss Sustainable Finance (SSF) provides its own comprehensive market overview of sustainable investments in Switzerland. The goal of this study is to highlight the growing importance of sustainability within the Swiss financial community and to shed more light on the background and drivers for this development. In 2017, the market for sustainable investments (SI) has continued to grow significantly in Switzerland. Based on the responses to the market survey, the total volume increased by 82 % to reach CHF 390.6 billion. This figure covers all reported sustainable investment funds (47 % increase), sustainable mandates (25 % increase) and sustainable assets of asset owners (128 % increase).
The strong SI market growth can be ascribed to higher market coverage in this study (66 respondents vs. 41 in the previous year), as well as new sustainable products offered by study participants and first-time adoptions of SI approaches.
It is noteworthy that Swiss asset managers and asset owners are generally optimistic about future growth of the SI market. Investors’ demands, as well as pressure from boards, have been identified as the most relevant drivers for this development. At the same time, financial performance concerns represent one of the most critical barriers for fostering SI. Nonetheless, ESG factors have become one of the key aspects shaping asset managers’ perception of fiduciary duty.
The market study also includes case studies from two large asset owners (Migros Pension Fund and Geneva Cantonal Pension Fund CPEG), interviews from the Federal Office for the Environment (FOEN) and the State Secretariat for International Finance (SIF), and a comprehensive chapter on regulatory issues applying to Switzerland as well as globally. We are very excited to share our insights with you and continue our efforts to encourage transparency and growth in the industry.