Is it possible to get EU residents to save less and invest more in shares? Yes, says APG chief economist Thijs Knaap during the investor panel of the radio program ‘BNR Zakendoen’. "Sweden is an example of a country in which investing has become a national sport."
Where Americans are used to investing, the average European is a bit more hesitant about it. The European Commission wants to change this and encourage households to invest in shares. Knaap is asked what is needed for this and what the results could be.
"In Sweden, it has been made easy to invest, through a tax-friendly special account, which allows you to easily transfer money to an investment section. As a result, seventy percent of Swedes now have exposure to the market. Much more than in the Netherlands, where about a quarter of private individuals invest and much more is put in savings accounts."
Shocks
Knaap notes that in the Netherlands, of course, many people are indirectly exposed to – among other things – shares, through the pension fund to which they are affiliated.
On average, the return on shares is higher than on a savings account, APG's chief economist notes. "We can all get richer from it. In addition, it is an advantage of broad shareholding that if the stock market is not doing well, the shocks are also spread and we do not have a financial crisis all at once. And it is good for European companies, which need to get financing."