Local overview
Find out how global investment trends in areas such as sustainability and private markets are affecting South Africa — as well as how local strategies are being adapted for the new investment landscapeNew paths in a changing investment landscape
Investors currently face difficult challenges. Ongoing inflation and geopolitical uncertainty – coupled with the need to decarbonise our economies – are making markets difficult to navigate. To understand how their strategies and views are adapting, Schroders’ Global Investor Study surveyed over 23,000 people who invest, from 33 countries and territories around the world.
Yet people are still optimistic about returns
How people in South Africa think their returns over the next 12 months will compare with the previous 12 months
What investments have become more attractive to people in South Africa over the last six months?
Ranked by the difference between “more attractive” and “less attractive”
Sustainable investment: time to engage
As people understand more about sustainable investing, they are thinking in greater depth about what it means. One aspect is “active ownership”, where investment managers influence company boards and management teams so that more sustainable practices are properly considered for the benefit of long-term value creation.
A large majority of people in South Africa believe that engaging with companies on sustainability will benefit their investments
Do people in South Africa think encouraging companies to act sustainably helps generate long-term value?
As people in South Africa learn about investing, they become more convinced that active ownership is effective
Top three areas where people in South Africa think engagement is most important
More information and education would mean more people would invest sustainably
Yet overall, people in South Africa remain enthusiastic about sustainable investing
Whether people in South Africa are attracted to sustainable funds and why
Moving forward with private assets
The survey shows people generally understand the issues around investing in private assets. (Private assets include private equity, real estate, infrastructure, and private debt and credit, i.e. direct lending to companies.) This is an important finding, as increasingly regulators globally are allowing ordinary investors to access these types of investments, which were previously reserved for pension funds and similar large institutions.
The top three private assets people in South Africa most want to invest in
People in South Africa think private assets boost performance and improve sustainability
Reasons why people in South Africa would invest in private assets
But they acknowledge the complexities around private assets, and admit they need to gain experience with them
Top five perceived barriers to people in South Africa investing in private assets
On average, people in South Africa would consider putting
Explore the findings
Schroders commissioned alan. agency and iResearch to conduct an independent online survey of more than 23,000 people who invest from 33 countries and territories around the globe, spanning across Europe, Asia and the Americas. The survey was conducted online between May 26 and July 31, 2023. The research defines “people” as those who will invest at least €10,000 (or the equivalent) in the next 12 months and who have changed their investments within the last 10 years. Due to this threshold, Schroders acknowledges that the research findings are not representative of everyone’s experience.