If the Swiss government has its way, the Swiss Confederation should become a leading location for sustainable financial services. To achieve this goal, the government drafted a set of guidelines last year. “Financial markets that want to be successful in the future must be stable and trustworthy,” wrote the Ministry of Finance in Bern. The Swiss banks are also committed to the issues of sustainability and climate protection. According to the Swiss Bankers Association (SBA), sustainable funds now make up more than half of the entire Swiss fund market. This shows that customers are demanding sustainable investments and that the financial center is offering corresponding products, the banking association announced at the end of June.
In the opinion of Greenpeace, however, the praised green profile of Swiss banks is inadequately recognizable in the day-to-day investment advice of small customers;
and many fund products don't keep their promises.
The environmental organization sent 33 activists in the spring to assess the quality of advice on sustainable investments and to assess whether the products advertised as climate-friendly actually promote a sustainable economy.
The test subjects conducted 43 interviews in 19 banks, including UBS, Credit Suisse, Bank Cler, Valiant Bank, Migros Bank, PostFinance, Raiffeisen and a number of cantonal banks, and stated that they wanted to invest 5,000, 10,000 or 50,000 francs.
Banks operate "greenwashing"
According to information from Greenpeace financial expert Larissa Marti, the conclusion of the maneuver is: "The quality of the consultations on sustainable investing is poor at most financial institutions." may be. In just five conversations (12 percent), the test subjects were proactively made aware of the possibility of a climate-friendly system, according to the report that Greenpeace published on Wednesday. In 23 percent of the discussions, the "customers" were recommended climate-friendly investment products. However, none of these products defined compliance with the goals of the Paris climate protection agreement as a benchmark. Thus the financial institutions operated "greenwashing",criticizes Greenpeace.
The financial products offered for sale as climate-friendly are only marginally more climate-friendly than conventional systems. In 60 percent of the recommended funds, the sustainability criteria were only applied to part of the portfolio. “The risk is high that these funds will also invest in companies that are harmful to the climate.” In addition, the advertising for certain products is misleading. Greenpeace attaches this accusation to funds from UBS and Credit Suisse, for example. A spokeswoman for the Swiss Bankers Association said that the study addressed "important points" with regard to advice and products. The results should not be generalized, however, since the study focuses on a customer group with small fixed assets. The banking industry has initiated many measures to address these two levels.However, this process will take longer, especially since climate-friendly systems are a field that is constantly developing.