Despite a growing interest in stocks, Czech investors continue to favor traditional investment vehicles, with real estate leading the pack as their preferred choice. A recent survey by IBRS for Golden Gate reveals that 77% of respondents over 15 consider owning property the most attractive investment option, while 70% favor land ownership.
The investment landscape is showing signs of change, particularly among younger generations. Cryptocurrencies have seen the sharpest year-over-year increase, jumping six percentage points to 23%. Meanwhile, precious metals maintain steady popularity at 48%, with gold reaching historic highs of around $2,800 per troy ounce in 2024.
Gender differences are apparent in investment preferences, with men showing greater interest in cryptocurrencies and precious metals, while women tend to favor more traditional options like savings accounts and real estate. Age also plays a role, as investors aged 16-34 are more drawn to cryptocurrencies and innovative investment tools, while those over 55 stick to conservative options.
However, financial experts point out that Czechs generally invest conservatively, with over half of their savings sitting in current accounts, savings accounts, and term deposits. Investments make up only about a quarter of their savings. The recent high inflation has prompted some to reconsider their strategy, as many realized that a 7% return on savings accounts wasn’t sufficient when inflation hit 15%.
Financial literacy in the Czech Republic has recently declined for the first time in four years, according to Portu’s Investment Literacy Index. While three-quarters of Czechs understand the difference between saving and investing, many still struggle with concepts like compound interest and the impact of exchange rates on investments.