Shareholder numbers 2024: Time for political impulses

For the fifth year in a row, the number of people investing their money in shares will pass the twelve million mark in 2024, according to the shareholder numbers published today by Deutsches Aktieninstitut. 12.1 million people are investing in equity funds, ETFs or shares. That is 17.2 percent of the population aged 14 and over. Although this is a slight decline compared to the previous year, it is still a pleasing result in view of the adverse economic circumstances. It proves that people in Germany have become more aware of the importance of investing in shares in recent years.

‘The almost unchanged number of investors in the stock market shows that there is now a greater understanding of the importance of shares, equity funds and ETFs for retirement provision and wealth accumulation in Germany. This is encouraging in view of inflation and the associated loss of purchasing power for broad sections of the population. At the same time, the stagnating number of shareholders is proof of the failure of the German legislator in the last decades and shows that it is high time for political impulses’, explains Henriette Peucker, Chief Executive and Member of the Board of Deutsches Aktieninstitut. 

Equity Funds and ETFs are the backbone of equity saving 

Of the 12.1 million people who invest in equities, 8 million have only funds or ETFs in their portfolios. 1.7 million only invest in equities. 2.5 million combine both forms of investment. The number of investors in funds and ETFs thus amounts to around 10.5 million. This increase of almost 180,000 compared to the previous year. More than 85 percent of investor portfolios contain funds or ETFs. This makes them the backbone of equity investing. 

However, in other countries are much more successful in participating in the high returns on equities. This is mainly due to more attractive conditions and higher government incentives.

Reforms for retirement provision with equities is a necessity 

In the long term, a broadly diversified equity investment generates an average of six to nine percent per year. Financial security, especially in old age, is a basic need for all income groups. The effects of price increases and the poor economic situation hit people with low incomes harder. However, it is precisely this income group that would benefit significantly from greater participation. To improve their participation in economic success the role of equity investments in wealth formation and retirement planning must be strengthened. 

According to a recent Postbank survey, half of all working people are interested in a retirement savings plan. However, this requires significantly improved conditions and government incentives. A look at other countries such as Sweden, Canada or the US shows that a pension system that uses the returns on equities serves the well-being of future generations and strengthens financial independence in retirement.

‘Deutsches Aktieninstitut calls for a significant improvement of the framework for retirement provision and for strengthening the role of equity investments in the pension system. This includes the introduction of a state-subsidised retirement investment account in private retirement provision as well as the use of the higher returns on the stock market in the statutory pension insurance. This is an important task for the upcoming legislative period’, emphasises Peucker.

Here you will find our shareholder numbers 2024 ‘Time for political impulses! Economic uncertainty is reflected in the shareholder numbers’.

Deutsches Aktieninstitut’s shareholder numbers are based on a representative survey conducted by KANTAR. For this purpose, around 28,000 people aged 14 and over are asked about their investment behaviour each year.