Deutsche Bank’s Private Bank Chief Investment Office annual survey shows that climate change remains the biggest environmental issue for investors.

The survey of private clients and institutional investors reveals that while investors understand climate risk and are concerned about the need for economic transition, still only a small proportion of investors consider themselves well-versed in ESG. Only 15 percent of investors said they had a good knowledge of ESG, while just 3 percent identified themselves as ESG experts.

The energy transition is the most preferred (18 percent) investment opportunity, compared to investing in Artificial Intelligence, manufacturing and the circular economy.

Markus Müller, Deutsche Bank’s Private Bank CIO ESG and Global Head of the CIO says, “Investors are focused on the economic transition to a low carbon economy,” Markus Müller, Deutsche Bank’s Private Bank CIO ESG and Global Head of the CIO said. “Despite the backlash against ESG in some public debates, our survey shows a strong commitment to the issue, especially among European investors. Companies that can deliver on their transition plan and show their credentials will benefit from investor support. “There is a gap between what investors know needs to be done for the economy to transition, and how ESG investing can help with the transition. Clearly, much more investor education is needed.”

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