Make a difference with your investments

Deloitte and KBC surveyed 1 000 people and came up with insights regarding what motivates investors to include sustainability in their investment choices.

Understanding investors’ sustainability preferences offers a mirror for both asset managers and investors. Responsible investment hinges on transparency. Clear insights and reporting therefore deserve special attention in the exciting but complex world of responsible investing.

COP 28 slaughtered the sacred cow of fossil fuels, which immediately opens doors for forward-looking investors. Jonas Theyssens, Equity Analyst at KBC Asset Management, and Cora Vandamme, Senior Economist at KBC Economics, explain how the tripling of renewable energy by 2030 offers a wide range of opportunities for investors.

AI can help us take control of the future of water. But there is also a downside: training and maintaining AI models requires huge amounts of potable water.

The robust growth of the socially responsible bond market is a welcome development for investors. The growing number of issuers not only improves market liquidity but also increases the diversification opportunities.

‘There has never been a better time for energy-efficient renovations. They reduce energy bills, the payback period is shorter and the value of the property increases,’ says Anthony Sandra, Portfolio Manager at KBC Asset Management. Companies which offer these energy-efficient solutions are benefiting from the renovation trend.

Our economy is undergoing a transformation from a traditional to a sharing economy.. People can also share energy; for investors it’s best to be in on that trend from the beginning.

Each generation looks at sustainability through a different lens. Yet there is no generational conflict.

The exponential growth of single-use plastics continues. Packaging is the biggest culprit. To turn the tide, all eyes have turned to more sustainable alternatives. Recycling plastic that is still in use is essential. There can be no doubting the fact that the linear economy will have to make way for a circular economy. This is a transition that is also important for investors.

At first glance, sustainability and technology seem diametrically opposed. In reality, nothing could be further from the truth. Artificial Intelligence (AI) can add value for companies looking to make their operations more sustainable.

Now that the effects of climate change are being felt by all and legislation is tightening, calls for responsible investment are growing louder than ever. Increasing numbers of investors find it important that the funds they invest in reflect their values and principles. The climate battle plays a prominent part in this trend. Companies are jumping on the bandwagon in droves, declaring that they are making a positive contribution to the environment and society. Words and actions don't always match, though. The danger of greenwashing is lurking around the corner. Therefore, today’s responsible investor wants to see evidence of efforts made or not made.

As the world of responsible investment continues to evolve, the positive impact of dialogue between shareholders and companies is becoming increasingly evident.

The rationale for responsible investing is obvious to many. Yet in these exceptional times, doubts occasionally creep in. Is a higher cost of living compatible with a conscious decision to do business responsibly?

COP27, the 27th edition of the United Nations climate conference, focused on global climate policy. Although countries are increasingly stepping up to announce their climate ambitions, prior to the summit many did not have clear and specific action plans in place, nor the necessary legislative framework. Ample reason, then, to evaluate the results of this climate conference.

Europe has made the decision to become climate neutral by 2050, and to achieve this, new laws and regulations are needed. That has an impact on both the financial sector and you as an investor. On 2 September, KBC Asset Management tightened its approach to responsible investing. A change with impact.

Starting from August, KBC will ask you to complete a survey to find out more about your sustainability preferences. Your responses to this important survey will help us create an investment portfolio that is even better suited to your investment needs.