Jérémy Lauret, COO Swissquote Bank Europe
The latest edition of Swissquote Bank Europe’s annual Investment Survey, conducted in partnership with ILRES, reveals a sharp rise in the use of artificial intelligence among Luxembourg investors. The proportion of retail investors using AI tools to inform their financial strategies has nearly doubled, climbing from 31% in 2025 to 58% in 2026. Rather than relying on technology for superficial tasks, local investors are adopting it for deep-dive quantitative analysis.
Top AI Applications Among Luxembourg Investors:
- Research & Sentiment Analysis: 23%
- Analysis of Stock Fundamentals: 19%
- Portfolio Analysis & Risk Assessment: 18%
“The near-doubling of AI adoption among Luxembourg investors in just one year is striking, and reflects a broader shift in how people are engaging with their wealth, » said Jeremy Lauret, Chief Commercial Officer at Swissquote Bank Europe. « What is particularly notable is that investors are not just using AI for surface-level research. Nearly one in five are now turning to it to analyse portfolio risk, suggesting that AI tools are increasingly being used for more advanced investmentrelated tasks.”
On AI’s long-term economic benefits, respondents expressed cautious optimism about its growth potential. 23% believe AI will drive a significant economic boom over the next five to ten years, while 43% expect more moderate, sector-specific growth. Conversely, a meaningful minority (14%) remain wary of the disruption it could bring, noting that AI could contribute to an economic slowdown or recession due to job displacement and structural corporate shocks.
Investor confidence rebounds, with US markets back in favour
Luxembourg investors are displaying significantly steadier hands this year. Overall confidence in the market outlook rose 6 percentage points to 32%, while those expressing little or no confidence fell to 25% (down 8 points). Despite this improved mood, 56% of respondents do not intend to alter their current investment plans, choosing long-term consistency over rapid portfolio repositioning.
Equities have firmly regained favour, with 54% expecting stocks to be the best-performing asset class (up from 47% last year), while defensive interest in precious metals slipped 10 points to 31%.
The survey also caught a dramatic geographic reversal in investor sentiment regarding where that outperformance will occur:
Region 2025 Outlook 2026 Outlook
(Expected to Outperform) (Expected to Outperform)
United States 18% 31%
Asia 28% 33%
Europe 28% 11%
“The complete inversion of sentiment between US and European markets reflects a pragmatic, macro-driven assessment by local investors,” added Jeremy Lauret. “The US continues to benefit from structural insulation—most notably domestic energy independence and an unyielding lead in the global AI infrastructure race—which naturally fuels higher growth expectations. Europe, by contrast, faces tougher headwinds from persistent energy cost volatility and a widening technological gap. That said, this divergence has driven relative valuations further apart. While predicting the timing of a rotation from Growth to Value is notoriously difficult, this historic valuation gap means Europe shouldn’t be entirely counted out of a disciplined, well-diversified longterm asset allocation.”
Defence and energy join AI as top themes, while interest in cryptos cool
AI and automation remain the absolute top theme investors want exposure to in 2026, cited by 42% (up from 39%). Energy and natural resources follow closely at 38%. Significantly, defence and aerospace emerged as a major new entrant at 33%, reflecting a pragmatic shift toward sectors seen as strategically critical amid ongoing global geopolitical fragmentation.
Concurrently, enthusiasm for digital assets is cooling. The share of investors who say they would never invest in cryptocurrencies rose to 43% (up 2 points), while the segment of historical crypto investors who have completely exited the asset class nearly doubled, jumping from 7% last year to 11% in 2026.
Caution grows over Luxembourg’s property market
While confidence in liquid financial markets has rebounded, sentiment toward Luxembourg’s domestic property market has softened to historical lows.
- Only 18% of respondents believe now is the right time to invest in local real estate, down from 24% in 2025.
- 21% suggest waiting until at least 2027 to reassess macro conditions.
- 41% now view the local market as fundamentally overvalued, advising investment only if significant price corrections occur.
The findings suggest that despite stabilising interest rates, deep-seated concerns over local affordability and stretched valuations continue to weigh heavily on investor sentiment
Methodology
These findings are drawn from the 2026 Investment Survey conducted by Swissquote Bank Europe in partnership with Luxembourg-based market research firm ILRES. The survey reflects the responses of 1,256 Luxembourg residents interviewed between 25 May and 8 June 2026, including ILRES panels and Swissquote Bank Europe clients.
