‘Club Invest’ informs beginning investors
5 January 2021 - 6 min Reading time
To inform as many potential new investors as possible, Febelfin, in partnership with Assuralia, has launched 'Club Invest,' an educational campaign aimed at providing people with information about various investment options in a playful and accessible manner. The campaign emphasizes both the potential benefits and the risks and potential losses associated with investing.
- 55% of Belgians would prefer to see their savings yield more returns.
- 40% of Belgians invest in financial products other than a savings account.
- 29% of Belgians want to invest but do not do so due to a lack of information.
- The most popular investment products are investment funds (51%), followed by supplementary pensions (49%).
- For 41% of investors, the return on investment is the most important concern, while 26% prioritize sustainability over returns.
- When seeking information or advice on investing, people primarily turn to their banker or insurer.
Nearly 70% of Belgians are investors or would like to become investors
Today, 4 out of 10 Belgians opt for financial products other than their savings account. Moreover, a significant 29% would like to invest but refrain from doing so due to a lack of information. These findings are from a survey conducted by Febelfin and the research firm IndiVille. The top three reasons cited for not investing are insufficient capital, lack of knowledge, and the risk of loss. Among young people, lack of knowledge tops the list. Hence, Febelfin, in collaboration with Assuralia, has launched the accessible information campaign 'Club Invest,' which explains the basics of investing and dispels some common myths.
National Financial Knowledge Survey by Febelfin, March 2021, conducted among 2045 Dutch/French respondents, aged 16-79.
The figures
The figures reveal that 55% of Belgians would like to see their savings generate higher returns. As a result, 40% of them seek other financial opportunities, not confining their funds to a savings account alone. The most popular investment products are investment funds (51%), followed by supplementary pensions (49%), insurance products (43%), and shares of listed companies (35%).
While the return on investment remains the primary concern for a large portion (41%) of investors, the sustainability of a financial product is also gaining importance, with 26% prioritizing sustainability over returns. This trend is particularly noticeable among young people and has been acknowledged by the financial sector. Febelfin, in collaboration with stakeholders within and outside the financial sector, including Assuralia, has developed a sustainability label called 'Towards Sustainability' to identify and promote sustainable products, available at www.towardssustainability.be.
When seeking information or advice on investing, people primarily turn to their banker or insurer (55%), followed by the bank or insurer's website, and then specialized media. Young investors tend to rely more on the internet and advice from friends or family.
Economic boost
Belgians are not averse to investing but often limit themselves to savings accounts due to a perceived lack of information. Saving has been ingrained in almost everyone, but there are numerous alternatives that could compensate for the low interest rates on savings accounts. Especially as the economy rebounds from the recent downturn, it may be time for novice investors to take their first steps, of course, with a good understanding of the associated risks. Investing savings can give the economy an additional boost, and only a strong economy can compensate for the revenue losses caused by the coronavirus.
Educational campaign
To inform as many potential new investors as possible, Febelfin, in partnership with Assuralia, has launched 'Club Invest.' It is an educational campaign that explains the various possibilities in a playful and accessible manner. The campaign highlights the potential benefits as well as the risks and potential losses associated with investing. Therefore, before embarking on investments, it is advisable to thoroughly inform yourself by consulting your banker, insurer, or broker.
The focus of the campaign is on 'start-to-invest.' You can liken it to a 'start-to-run,' where you first walk before you can cover longer distances. Guidance from your banker, insurer, or broker is essential.
In case of investment advice, your bank or insurance company will also create your investor profile based on a questionnaire. This will determine your knowledge of investment products, your experience, your objectives, and your risk tolerance. The bank or insurer will then offer only those products that match your profile, taking into account your knowledge and experience.
Several well-known Flemish personalities (Kamal Kharmach, Kedist Deltour, Kristof Hoefkens, Leen Dendievel, etc.) are supporting the campaign on social media, giving it a light-hearted boost. There are also videos on YouTube in which Kamal Kharmach explains savings products, life insurance, pension savings, investment funds, bonds, stocks, as well as more specialized products like options, trackers, and warrants.
Febelfin is collaborating with Assuralia in this campaign to shed light on both the banking and insurance aspects, providing consumers with a comprehensive view of the investment offerings.
In addition to offering an accessible introduction to various products, the federations also aim to debunk some myths. You don't need a large capital to invest, and you don't have to be a stock market specialist to achieve potential returns. There is a suitable offering for every potential investor, tailored to their preferences and investor profile.
Making savings generate returns benefits not only the investor but also the economy and society as a whole. The banking and insurance sector also aims to fulfill its societal role by informing people about investment opportunities while providing comprehensive information about potential risks.
