According to the recently published "Swiss Market Study Sustainable Investments 2020", sustainable investments have grown strongly in 2019, accounting for 38% of the Swiss investment fund market and 30% of institutional investments. This trend is expected to continue. BearingPoint supported the study conducted by Swiss Sustainable Finance (SSF) and the Centre for Sustainable Finance and Private Wealth (CSP) of the University of Zurich as main sponsor.
According to the study, the growth of sustainable funds can be attributed to three main pillars: A broader application of sustainable investment approaches, a positive overall market performance in 2019, and a change in methodology. While an increasing proportion of products are marketed as sustainable, a growing number of conventional products also take ESG criteria into account. These criteria include environmental, social and regulatory aspects.
Source: Swiss Sustainable Finance (SSF), «Swiss Market Study Sustainable Investments 2020»
BearingPoint has already observed the importance and the growing interest in sustainable finance in a survey of its own. This survey underlines our findings and confirms a continuing trend and growth potential of sustainable investment. According to Swiss Sustainable Finance (SSF), the Swiss financial center would be well advised to consistently pursue the course it has taken to position itself globally for sustainable investments. Especially in the current market environment, this opportunity should be seized.
The study confirms our current observations at our projects. Due to increasing client demand and the emerging EU regulation, the full integration of sustainable finance into our clients' investment and risk management processes is becoming more and more important. Challenges such as data availability and quality, the adaptation of processes and transparent reporting must be addressed.
Marco Kundert, Partner Banking & Capital Markets
We at BearingPoint appreciate the opportunity to support the "Swiss Market Study on Sustainable Investments 2020" and see our opinion about the increasing importance of Sustainable Finance not only for institutional but also for private investors, confirmed.