A Lombard Odier study suggests that 91% of the new-age rich investors in the Middle East are allocating their capital to the Islamic investment class, while 88% also factoring sustainability in their investment decisions.
More than seven out of the 10.73% surveyed individuals also believe that sustainability can drive better investment performance, the report stated.
Lombard Odier surveyed some 300 High-Net-Worth Individuals in the Middle East and the majority of the participants were under 40.
As per the report, 79% think that there are significant investment opportunities in the digital and tech sectors, while 60% believe that private assets represent an important asset class.
While 89% of the surveyed investors prefer holding their assets within the Middle East, 23% are rethinking such moves.
Lombard Odier quoted one young UAE investor, who said that Islamic finance has proven its resilience against the worst of situations, while another from Saudi said, “Sustainable investing is a key business fundamental for us. We formulate our investments and determine whether they are sustainable according to key factors, prioritizing these conditions.”
As per the survey, younger investors are putting a huge focus on improving their lifestyle and remaining. Those above 40 are more interested in creating financial and reputational legacies.
Senior Lombard Odier official Arnaud Leclercq said, “The latest results from our Middle East investor views 2022 survey reveal a consensus emerging between older and younger investors in several areas, but specifically in values-based investing. The next generation’s enthusiasm for Islamic and sustainable investing, and their keenness to work with expert financial advisors that share their values, is very encouraging.”
The report is the final part of the Swiss banking group’s “Middle East investor views 2022” survey. The survey saw participation from 300 high net worth (HNW) investors and business owners from the Middle East.