Individual investors globally surveyed for Morgan Stanley Sustainable Signals 2026 edition; Two-thirds see opportunities in private markets

Individual investors globally surveyed for Morgan Stanley Sustainable Signals 2026 edition; Two-thirds see opportunities in private markets

Sustainable Signals INDIVIDUAL INVESTORS 2026

Key takeaways for 2026 We surveyed 2,250 individual investors globally to understand their current thoughts around sustainable investing. Allocation to sustainable investments is slightly down, although sentiment remains positive Headline numbers around interest in sustainable investing remain at very high levels, at 92% of global respondents, up four points from 2025. The average portfolio allocation to sustainable investments is 31% this year, slightly down from 33%, demonstrating that there can be a disconnect between expressed views and behavior. Investor expectations about returns drive portfolio allocations Over 80% say financial returns are a key driver of their interest in sustainable investing, and expectations about returns continue to drive allocation plans. This year, 64% say they plan to increase their sustainable investment exposure, citing confidence in financial performance. Another 28% expect to maintain allocations, often due to diversification, while 5% plan to reduce exposure, most commonly citing disappointing returns. Thematic interests span a broad range of topics, while greenwashing remains a key barrier A quarter say that their top thematic goal is to advance a combination of environmental and social objectives in their portfolio, followed by 15% naming each of financial inclusion and health and wellness as their top priority. While almost a third say greenwashing is a very significant concern, more than three-quarters see sustainable investment options as a differentiator when selecting a financial advisor. Two-thirds see greater opportunities for sustainable or impact investments in private markets Globally, 40% of investors have private market assets in their portfolios today and a further 34% would like to in future. Most see greater opportunities for sustainable or impact investments in private markets compared to public markets. Those with most exposure to sustainable investments are more likely to have private market investments today (55%), driven by the ability to invest in innovation as well as for portfolio diversification. MORGAN STANLEY INSTITUTE FOR SUSTAINABLE INVESTING  |  2026  |  SUSTAINABLE SIGNALS: INDIVIDUAL INVESTORS 2026 2 SENTIMENT & ALLOCATIONS RETURN EXPECTATIONS & ALLOCATION DECISIONS THEMES & PRIORITIES PRIVATE MARKETS MENA SAMPLE DESIGN

DATA SOURCE The source for all charts is the survey, unless otherwise indicated. For more information on the sample profile and quotas, please see page 20. CONTACT US For any questions related to the report, please reach out to the Institute for Sustainable Investing team at globalsustainability@morganstanley.com. To get insights like this report delivered to your inbox, subscribe to the Institute for Sustainable Investing’s newsletter. SIGN UP About the Sustainable Signals Series This report is led by the Morgan Stanley Institute for Sustainable Investing (“Institute”) and presents results from an online survey of individual investors conducted by iResearch on behalf of the Institute. This is a different vendor to previous editions, but the methodology and sample design remained very similar, so results are comparable to the 2024 and 2025 editions. This report is the latest in the “Sustainable Signals” series, which is designed to identify global market trends in sustainable investing. From February 19 to March 16, 2026, a global sample of 2,250 individual investors were surveyed across North America, Europe and Asia Pacific. For the first time, the survey also went to 500 respondents in MENA, but for comparability this group is not included in the global total. For all geographies, respondents were required to be self-identified ‘active’ or ‘somewhat active’ investors between 18–80 years old with over $100,000 in investable assets, excluding personal retirement accounts, employer-sponsored retirement accounts, cryptocurrencies and personal real estate. There were exceptions for those between 18–28 years old (Gen Z), where there was not a $100,000 minimum requirement for investable assets, however all other qualifiers did apply. METHODOLOGY In line with prior year methodology, Morgan Stanley set quotas for respondent numbers by generation and gender in order to generate a large enough sample size to understand views of younger respondents. This may mean that the demographics in our sample vary from the make up of investors with over $100,000 in non-retirement investment accounts. TERMINOLOGY The following definition was provided to respondents: “Sustainable investing” is the practice of making investments in companies or funds that aim to achieve market-rate financial returns while considering positive social and/or environmental outcomes. MORGAN STANLEY INSTITUTE FOR SUSTAINABLE INVESTING  |  2026  |  SUSTAINABLE SIGNALS: INDIVIDUAL INVESTORS 2026 3 SENTIMENT & ALLOCATIONS RETURN EXPECTATIONS & ALLOCATION DECISIONS THEMES & PRIORITIES PRIVATE MARKETS MENA SAMPLE DESIGN

Sentiment & Allocations 5 Return Expectations & Allocation Decisions 8 Themes & Priorities 11 Private Markets 14 MENA 17 Sample Design 19 TABLE OF CONTENTS MORGAN STANLEY INSTITUTE FOR SUSTAINABLE INVESTING  |  2026  |  SUSTAINABLE SIGNALS: INDIVIDUAL INVESTORS 2026 4 SENTIMENT & ALLOCATIONS RETURN EXPECTATIONS & ALLOCATION DECISIONS THEMES & PRIORITIES PRIVATE MARKETS MENA SAMPLE DESIGN

Sentiment & Allocations MORGAN STANLEY INSTITUTE FOR SUSTAINABLE INVESTING  |  2026  |  SUSTAINABLE SIGNALS: INDIVIDUAL INVESTORS 2026 5 SENTIMENT & ALLOCATIONS RETURN EXPECTATIONS & ALLOCATION DECISIONS THEMES & PRIORITIES PRIVATE MARKETS MENA SAMPLE DESIGN

Sentiment on sustainable investing remains at high levels Headline numbers around interest in sustainable investing remain at very high levels. Globally, 92% of respondents say they are very or somewhat interested, up four points from 2025. European investors report the greatest increase, particularly in the very interested group which is up 11 points year-over-year. By generation, both Gen Z and Millennials report slightly lower levels of interest (down 2-3 points from 2025, from very high levels). However, this year’s sample contained more Gen Z respondents* who still have higher interest levels compared to older generations, offsetting this decline in the overall numbers. How interested are you in sustainable investing? Source: Morgan Stanley Institute for Sustainable Investing, April 2026. Data as of March 16, 2026. *The 2026 sample had 20% Gen Z respondents compared to 15% in 2025. This partly reflects more of Gen Z being captured by the 18-80 age range, and is partly natural fallout, as quotas are set with a +5%/-5% range. Very interested Somewhat interested Not too interested Not at all interested Don’t know 20% 40% 60% 80% 100% 0% 2026 Global Total (n=2,250) 2025 Global Total (n=1,765) 2026 North America (n=750) 2026 Europe (n=750) 2026 APAC (n=750) 55% 51% 54% 59% 51% 1% 1% 1% 1% 1% 37% 5% 3% 37% 8% 4% 34% 7% 4% 35% 4% 1% 42% 5% 2% MORGAN STANLEY INSTITUTE FOR SUSTAINABLE INVESTING  |  2026  |  SUSTAINABLE SIGNALS: INDIVIDUAL INVESTORS 2026 6 SENTIMENT & ALLOCATIONS RETURN EXPECTATIONS & ALLOCATION DECISIONS THEMES & PRIORITIES PRIVATE MARKETS MENA SAMPLE DESIGN

Average allocations to sustainable investments are slightly down Three-quarters report some exposure to sustainable investments, with the average portfolio allocation at 31%. This is slightly down on the 2025 average of 33%. Last year’s edition of Sustainable Signals noted some tension between sentiment and firm plans around allocations, and this year’s results again demonstrate that there can be a disconnect between expressed views and behavior. What percentage of your portfolio is currently in sustainable investments? Source: Morgan Stanley Institute for Sustainable Investing, April 2026. Data as of March 16, 2026. *For 2025, n=1,765 for the global total, with North America at n=757, Europe at n=500 and APAC at n=508. Average percentage of portfolio in sustainable investments Including zero, excluding don’t know 25% 50% 75% 100% 0% Global Total (n=2,250) 13% North America (n=750) Europe (n=750) APAC (n=750) 12% 12% 15%

50% 21%-50% 1%-20% 0% Don’t know 2026 Mean 2025 Mean* 31% 31% 31% 32% 33% 31% 34% 35% Global Total (n=2,250) North America (n=750) Europe (n=750) APAC (n=750) 36% 26% 5% 19% 34% 25% 6% 22% 40% 27% 4% 17% 35% 28% 5% 17% MORGAN STANLEY INSTITUTE FOR SUSTAINABLE INVESTING  |  2026  |  SUSTAINABLE SIGNALS: INDIVIDUAL INVESTORS 2026 7 SENTIMENT & ALLOCATIONS RETURN EXPECTATIONS & ALLOCATION DECISIONS THEMES & PRIORITIES PRIVATE MARKETS MENA SAMPLE DESIGN

Return Expectations & Allocation Decisions MORGAN STANLEY INSTITUTE FOR SUSTAINABLE INVESTING  |  2026  |  SUSTAINABLE SIGNALS: INDIVIDUAL INVESTORS 2026 8 SENTIMENT & ALLOCATIONS RETURN EXPECTATIONS & ALLOCATION DECISIONS THEMES & PRIORITIES PRIVATE MARKETS MENA SAMPLE DESIGN

Financial returns are central to interest in sustainable investing Financial returns are central to interest in sustainable investing: Across regions, levels of portfolio allocation and generations, over 80% say their top reason for interest is either supporting real-world outcomes alongside a market-rate return (45%), or the expectation that sustainable investments may offer stronger returns (40%). Many investors now have a significant track record of performance in their own portfolios. Of the three-quarters of global investors who report having some sustainable investments in their portfolios, half first included sustainable options more than five years ago while less than 10% began in the past two years. Top reason for interest in sustainable investing Source: Morgan Stanley Institute for Sustainable Investing, April 2026. Data as of March 16, 2026. In which year did you first include sustainable investments in your portfolio? Those who selected very or somewhat interested Those who know the % of their portfolio in sustainable investments I want to support positive real-world outcomes alongside a market-rate financial return 45% I believe that sustainable investments could offer stronger financial returns than traditional investments I want to align my investments with my personal values 13% I want to reduce exposure to environmental, social and/or governance risks 2% Global total (n=2,056) North America (n=661) Europe (n=703) APAC (n=692) Global total (n=1,713) North America (n=536) Europe (n=592) APAC (n=585) 5% 10% 15% 20% 25% 30% 0 2010– 2014 2015– 2018 2019 2020 2021 2022 2023 2024 2025 1% 14% 11% 24% 12% 17% 10% 5% 3% 40% MORGAN STANLEY INSTITUTE FOR SUSTAINABLE INVESTING  |  2026  |  SUSTAINABLE SIGNALS: INDIVIDUAL INVESTORS 2026 9 SENTIMENT & ALLOCATIONS RETURN EXPECTATIONS & ALLOCATION DECISIONS THEMES & PRIORITIES PRIVATE MARKETS MENA SAMPLE DESIGN

Expectations about returns continue to shape allocation intentions Source: Morgan Stanley Institute for Sustainable Investing, April 2026. Data as of March 16, 2026. The 2025 figures are n=1,048 for those planning to increase, n=539 for those planning to maintain, and n=55 for those planning to decrease. Globally, 64% say they plan to increase their allocation to sustainable investments over the next year, with 28% planning to maintain current levels and 5% expecting to decrease allocation. The reasons behind these plans center on expectations about f