Save Money, Save the World! Motivational and Structural Underpinnings of Ethical Finance in Switzerland

Abstract

We study the motivations and constraints for ethical banking and ethical investing by private individuals in Switzerland with a representative survey of the general population. The use of both types of ethical finance instruments is motivated by ethical beliefs and constrained by the endowment with various forms of economic and cultural capital. Yet, ethical banking is more strongly linked to ethical motivations, while ethical investing is more resource dependent. Moreover, exposure to topics of sustainability during socialization fosters the use of ethical finance.