Assessing the Impact of Financial Literacy on the Adoption of Sustainable Investment Strategies: An Empirical Analysis

Abstract

This empirical investigation aims to explore the impact of financial literacy on the adoption of sustainable investment strategies. The study seeks to evaluate the relationship between the levels of financial literacy among individuals and their inclination to integrate sustainability factors into investment decisions. The research anticipates revealing nuanced insights into how financial literacy influences investors’ attitudes and behaviours concerning sustainable investments. Employing a comprehensive survey methodology, data will be collected from a diverse sample of investors, with the survey encompassing questions related to financial literacy levels, investment preferences and attitudes towards sustainability. The findings of this study hold the potential to offer valuable insights for financial educators, policymakers and investment advisors. In conclusion, this empirical analysis contributes valuable insights to the growing field of sustainable finance, offering a shade in understanding of the role financial literacy plays in influencing investment behaviour. Recognising the specific aspects of financial literacy that contribute to the adoption of sustainable investments can guide targeted educational efforts and inform strategies for promoting environmentally and socially responsible investment practices.

Keywords: Financial Literacy, Sustainable Investment, Investment Decisions, Environmental, Social, and Governance (ESG), Investment Preferences, Sustainability Considerations

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