Change of mood in Germany: How top managers see the economy!

Change of mood in Germany: How top managers see the economy!

Laimgrubengasse 10, 1060 Wien, Österreich - A new index illuminates the mood among Germany's top managers and reveals that at the beginning of 2025 there is “cautious pessimism”. The Safe Index for the manager mood developed by the Leibniz Institute for Financial Market Research Safe analyzes the statements of managers of listed companies in their annual and quarter reports as well as during analyst conferences. According to the results of the index, these managers show a slightly negative attitude, whereby the negative formulations currently outweigh the positive. Alexander Hillert, Professor of Finance and Data Science at Safe, explains that the index represents a valuable addition to previous survey-based indices and provides a detailed image of the economic situation, since it takes into account direct statements from the executive floor, such as ots.at reported.

methodology and meaning of the index

The safe index uses a scientific methodology to analyze the texts by counting positive and negative words in a quantitative analysis. This is done by assigning terms such as "growth" or "profitable" positive and "dismantling" or "serious" negative statements. This analysis makes it possible to record and evaluate the current "net optimism" of the managers. This can provide important conclusions about the willingness to invest and the economic challenges of the companies, since previous research results show that optimistic statements correlate at short notice with higher investments, but in the long term with lower equity returns and profits, so Safe-frankfurt.de .