All industries exist to create value for stakeholders and society. While the investment industry has traditionally been judged by financial outcomes, there is growing recognition that its ultimate purpose is broader: contributing to societal wealth and wellbeing (CFA Institute, 2017).
We were intrigued that there had been very few attempts to assess how effectively the industry is delivering on that purpose.
In work from 2015, Thinking Ahead attempted to frame the purpose(s) of the investment industry which we captured in the chart opposite. Subsequently, three waves of the State of the Industry survey, in 2015, 2018 and 2023, have asked the people who run investment organisations – asset owners, asset managers and the service providers – to rate the industry on a balanced scorecard. For 2026, we are evolving the survey around a single guiding measure:
Society Alpha, the product of three interconnected forms of value creation or ‘alpha’, explained below.
SOCIETY ALPHA
The sustainable value the investment industry creates for end savers and society
Org Alpha
The capabilities of investment organisations – people, processes and technologies – that support the accomplishment of their mission.
Portfolio Alpha
The effectiveness with which those capabilities are converted into portfolios and investment outcomes.
System Alpha
The quality and health of the investment ecosystem in enabling sustainable value creation.
Interactive Explorer
State of the Industry Survey results: 2015-23
The survey framework has evolved since its inception in 2015. However, the underlying measures have been held largely stable. Click on each of the pillars to explore how the industry has moved against its fundamental purpose.
Each of the four categories below opens to show the factors within it. Choosing an order opens every category and ranks the factors inside each one.
01Capabilities3 factors2015 4.92026 5.75.7▲ +0.8
02Costs2 factors2015 2.92026 4.54.5▲ +1.6
03Effectiveness3 factors2015 3.92026 5.05.0▲ +1.1
04Alignment6 factors2015 4.22026 4.94.9▲ +0.7
Respondents rate each factor on a five-point scale, from very poor to very good, reported as an index: very poor < 2, poor 2-4, moderate 4-6, good 6-8, very good > 8. Technology, data and intelligence infrastructure is new in 2026; society was first scored in 2018.
Related pages
Connecting the dots: understanding purpose in the investment industry
Mission critical: understanding value creation in the investment industry
