Study

Vorarlberg residents are increasingly turning to securities

In a recent study commissioned by Erste Bank and the savings banks, almost two thirds of respondents stated that saving means more to them than just putting money in a savings account. The focus is on security.

"The high negative real interest rate in recent years, which has caused balances in savings accounts to melt away, was a wake-up call for many to actively consider alternatives," emphasizes Martin Jäger, spokesman for the Vorarlberg savings banks. Compared to 2023, people are increasingly turning to securities such as funds, shares, bonds, state-subsidized pension insurance models or cryptocurrencies. Almost a quarter of respondents are also convinced that securities are also suitable for retirement provision.

Security remains the trump card
80 percent still see themselves as "very security-oriented" or "rather security-oriented". However, 14% accept risk for at least part of the investment amount in order to have the chance of a higher return. "Security is definitely a priority when investing money. That's why the savings account forms a solid basis. However, if you already have more than three net monthly salaries on the side, you can invest more broadly and thus protect your savings more successfully against loss of value and purchasing power."

Advice needed
The attitudes and requirements of Vorarlberg residents differ greatly when it comes to alternative forms of investment: while 61% consider securities to be understandable, 39% consider them to be complex. As far as the level of knowledge is concerned, only around a quarter in Vorarlberg consider themselves to have "very good" or "good knowledge", while more than three quarters only have "average" to "insufficient knowledge". However, there is broad agreement on the need for investment advice: eight out of ten in Vorarlberg consider securities advice to be "absolutely" or "fairly necessary".

Detailed observations on alternative forms of investment show that young Austrians in particular have discovered securities for themselves. "Of course, the younger generation in particular is more willing to take risks. They also have a longer investment horizon ahead of them," explains Jäger.

For example, 44 percent of 16 to 29-year-olds state that they use securities. In comparison, only 36% of 30 to 39-year-olds, 35% of 40 to 59-year-olds and just 28% of 60 to 69-year-olds do so.