Zusammenfassung:
This study evaluates the effectiveness of MiFID II's mandatory elicitation of retail investors' sustainability preferences in aligning investment advice with EU climate goals. Using comprehensive real-world data from 18,250 advisory meetings at a German savings bank, we analyze how clients' expressed ESG preferences influence advisory recommendations and actual investment behavior. Despite regulatory intent, the share of clients stating sustainability preferences declined significantly after mandatory implementation, and expressed preferences rarely translated into changed investment decisions. Our findings reveal a gap between regulatory frameworks and client engagement, highlighting challenges in operationalizing sustainability preferences. We discuss these results alongside ESMA stakeholder feedback and propose practical improvements to enhance alignment and impact.