12.09.2025
The rapid increase in price has caused many people to give up on several regular investment and saving methods, such as creating and contributing on a monthly basis to a Peace of Mind Fund, according to a survey commissioned by LHV.
The survey conducted by Norstat revealed that the rapid increase in price in recent years and the difficult economic situation have led 47% of Estonians to give up their previous regular investing and saving habits. In addition, 22% of respondents said they have somewhat scaled back their investment and saving habits, and only 14% of Estonian residents have not changed anything.
According to Nelli Janson, the Head of Investor Community at LHV, many households are in a situation caused by the rapid increase in price where living from paycheck to paycheck is a monthly reality. Therefore, saving and investing are also under pressure. ‘Yet, statistics from the Bank of Estonia (Eesti Pank) show a steady growth in household deposits, meaning that the overall saving capacity has been preserved. However, people’s possibilities vary and understandably, in the current situation, not everyone can continue saving and investing as before,’ Janson said.
Most frequently (i.e. 23%), Estonians have given up contributing on a monthly basis to their Peace of Mind Fund, followed by stopping regular investments in stocks (i.e. 13%). Additionally, the survey found that every fifth (17%) participant has had to stop investing and use the buffer they had previously set aside.
‘It is still worth growing a Peace of Mind Fund even in more difficult times because it helps to cope with unexpected events in life. For example, job loss or an unexpectedly large car repair bill,’ Janson said. She added that stock investing does not need to be completely stopped, but can be done, for example, through micro-investing, where the amount of each card payment is rounded up to the next whole number of cents and the difference goes to the Growth Account. It is also smart to use automated solutions that facilitate saving. ‘This way, even small amounts can grow into a significant financial reserve over the years, allowing one to face the future more confidently,’ Janson noted.
Vahur Vallistu, the Chairman of the Management Board at LHV Varahaldus, noted that the second pension pillar is the largest financial asset for many Estonians and, therefore, it is worth continuing to accumulate funds there even in difficult times. ‘In fact, if possible, it is smart to consider increasing contributions to the second pillar as it offers an investment opportunity with a tax benefit,’ Vallistu said. He added that generally it is wise to start growing money with options involving a tax benefit – for example, the state refunds income tax to investors on contributions to the third pillar. ‘Financial peace of mind cannot be built overnight; it is a long process that requires determination. Even if it is more difficult now, it may still be possible to continue with smaller steps. The main thing is to keep the momentum going,’ Vallistu encouraged.
The survey was conducted by the research company Norstat in mid-August, interviewing 1,000 Estonians aged 18–74.
All news