Happy Birthday! What an exciting first year for Tomorrow Invest. Since its launch in March 2021, our sustainable investment plan has generated good figures and satisfied investors. At the same time, topics such as ethics and sustainability are more important today than ever. We take a look back, and a look ahead into the future.
Tomorrow Invest’s first year proves that sustainability is here to stay: not just in everyday life, but also when it comes to investing. Swiss people want to make a difference and invest their money in companies that are committed to issues such as the climate, equal rights and data security. And of course, they want these investments to be profitable. That is why Tomorrow Invest has attracted widespread interest right from the start.
Crises show that ethics and sustainability are more important than ever
After a successful investment year in 2021, difficult months began for the financial market with the turn of the year. Looking back, sustainability and ethics are even more relevant today than they were one year ago, both in good times and in bad. Natural catastrophes and war, such as in Ukraine, show how important it is to treat the environment and our fellow humans with respect. Companies will want to become even more involved in these issues in order to be noticed by investors and encouraged in their efforts.
ESG and profit: a good rating is the most important factor
Another development that seems to be emerging is that equities with a good ESG rating tend to generate higher returns than those with a poor rating. ESG stands for environmental, social and governance. Good ESG ratings are a decisive factor for Tomorrow Invest. The ESG ratings for Tomorrow Invest come from Sustainalytics, an ESG rating agency and a leading provider of ESG data. For our part, this ensures that the companies under consideration are selected with great care.
Sustainalytics screens companies at all levels to make sure that hollow promises and empty words about the environment do not stand a chance in a sustainable investment plan. Only companies that meet all the ESG requirements, pass the strict selection process and have a solid financial profile become part of our Tomorrow Invest investment plan. Another criterion is “Swissness”. This is because the majority of the companies in the fund are headquartered in Switzerland.
Our most successful key industry was “society”
The topics that the selected companies are involved in are decisive for Tomorrow Invest’s success. What is interesting is that these future-related topics are all megatrends, and will remain so. Nevertheless, there were differences in performance last year:
- In general, the most successful companies at Tomorrow Invest were those dedicated to demographic change in society.
- Companies from the key industry “digital transformation and data security” also had a very respectable investment year in 2021. Part of the reason for this is that the pandemic is strongly shaping our habits in this area and will continue to do so.
- The key industry “clean energy and climate change” contributed the least to Tomorrow Invest’s performance in 2021. In 2022, we see the energy sector as an important long-term topic due to the war in Ukraine.
The world is changing rapidly, which is why we want to include more forward-looking key industries on an ongoing basis into Tomorrow Invest. Our first priority is to include securities that will be particularly influential for the society and economy of the future and that have a focus on sustainability criteria.
THE AUTHORS
“Happy Birthday, Generali Investments Switzerland Ltd. A year of success under a new name.”
GENERALI SOLUTION
With Tomorrow Invest, you invest in companies that are
- 30 to 50% based in Switzerland.
- sustainable, as confirmed by leading specialist Sustainalytics.
- focussed on future-oriented issues and key industries.
You can add the investment plan Tomorrow Invest when you are choosing from our pension solutions. In this way, you will benefit from insurance coverage and pension capital at the same time. Our experts will help you put this investment together in a way that works best for you.
