As economies reach a certain level of development, a multitude of societal issues demand attention. One of the most significant challenges on a global scale is the transition into an aging society. In addition, recent years have seen a preoccupation with hot-button issues such as geopolitical tensions, the COVID-19 pandemic, inflation, and artificial intelligence. Amidst these concerns, there is one global issue that should not be overlooked - an issue of global obesity. This article aims to shed light on the escalating global obesity crisis and the societal problems it triggers, while also exploring strategies to address it and potential investment opportunities.

• Obesity is no longer just an individual concern; it has evolved into a global societal issue. Currently, over 2.6 billion people worldwide are classified as overweight or obese, and this trend is rapidly escalating, particularly among children and adolescents. This is a global concern that demands attention
• Obesity is a chronic disease with a multitude of causes, both at the individual and societal levels. Unhealthy diets, changes in the social environment, and numerous other factors contribute to the rising prevalence of obesity. Furthermore, obesity leads to a wide range of diseases, adding pressure to healthcare systems and societal costs for countries
• Resolving the issues of overweight and obesity requires not only individual efforts but also comprehensive solutions from governments and various sectors of society. This is a long-term process, and investors can explore potential opportunities in different industries

Obesity Definition and Global Obesity Prevalence Trends‍

Every country is impacted by the issue of overweight, with some low-income nations experiencing the highest growth rates in the past decade. Not a single country can claim a decrease in its overall overweight rate, and none meet the World Health Organization's (WHO) target of "no increase in obesity levels compared to 2010 by 2025." But how do we define overweight and obesity? According to WHO calculations, a person's Body Mass Index (BMI) can be easily determined using their height and weight, and various categories are established based on BMI ranges. (WHO standards are provided as a reference; data may deviate for individuals of different ages and body types.)

The most recent WHO report for this year reveals that by 2035, the global population classified as overweight and obese (BMI ≥25KG/M²) is expected to exceed 4 billion, a nearly 54% increase from the 2.6 billion recorded in 2020. In other words, the proportion of overweight and obese individuals is projected to rise from 38% of the global population in 2020 to over 50% by 2035 (excluding children under 5 years old). Within this group, the prevalence of obesity (BMI ≥30KG/M²) is expected to increase from 14% to 24% during the same period, affecting nearly 2 billion adults, children, and adolescents. This represents a deeply concerning trend of obesity.

Simultaneously, WHO also notes that the rise in overweight prevalence is expected to be most pronounced among children and adolescents. From 2020 to 2035, the global prevalence of overweight in boys is projected to increase from 10% to 20%, while in girls, it's expected to rise from 8% to 18%.

Common perception often associates higher overweight rates with developed economies. However, in recent years, there has been a significant increase in the number of overweight individuals in low-income and developing economies. According to World Bank statistics, the change in the proportion of overweight and obese populations is notably evident when comparing the 1990s to the 2010s in low-income countries/regions (as shown in the chart below).

Obesity is not merely a personal health issue; it can have varying degrees of impact on the normal functioning of societies, the economies of nations, and government finances. Beyond increasing mortality rates among the overweight population, it leads to reduced productivity, increased disability rates, rising healthcare expenditures, early retirement, and more. These factors affect the human capital of countries and must be considered. For instance, the United States estimates that obesity will lead to fiscal costs ranging from $89 billion to $212 billion, while China estimates that it will account for 3.58% and 8.73% of Gross National Product (GNP) in 2020 and 2025, respectively. Brazil anticipates that healthcare expenditures related to obesity will increase from $5.8 billion in 2010 to $10.1 billion in 2050. Based on current trends, by 2035, overweight and obesity could lead to global economic losses exceeding $4 trillion, nearly 3% of the current global Gross Domestic Product (GDP). (Data sources: World Bank, WHO)

Factors Contributing to Obesity and Their Risks

After assessing the economic implications, let's delve into the reasons behind the rapid increase in obesity and the potential consequences for individuals. As global obesity becomes increasingly prevalent, understanding its impacts and addressing its root causes is crucial for promoting a healthier society.

First and foremost, it's essential to recognize that obesity is a chronic disease, and it should be treated as such.

Obesity is influenced by numerous factors, both internal and external to the body. Broadly, these factors can be categorized into direct individual causes and indirect societal causes. Direct causes include dietary patterns, physical activity levels, and genetics, among others. Early malnutrition and reduced longitudinal growth, decreased energy expenditure due to technological advancements and lifestyle changes, as well as shifts in food consumption and eating behaviors driven by changes in the food system, all play a role. Some individuals may have an inherent predisposition to weight gain, similar to how some people are born with specific eye colors. Additionally, hormonal signals from the stomach and intestines can be converted into feelings of reduced hunger and increased satiety when a person eats, controlling their eating habits. Many aspects of an individual's health, environment, and lifestyle can also lead to weight gain. Where an individual lives and the culture surrounding them can also influence the risk of obesity. Abundant research and reviews consistently find links between overweight and obesity and factors such as urbanization, the globalization of goods and services, and the widespread adoption of modern technology, among others.

Overweight and obesity are significant risk factors for non-communicable diseases (NCDs), including:

• Cardiovascular diseases (primarily heart disease and stroke), with heart disease being the leading global cause of death from 2000 to 2019.
• Diabetes
• Musculoskeletal diseases, particularly osteoarthritis, a highly disabling degenerative joint disease.
• Certain cancers, including endometrial, breast, ovarian, prostate, liver, gallbladder, kidney, and colon cancers.

Furthermore, obesity often coexists with mental health issues such as depression and anxiety. Stigmatization and discrimination against individuals with obesity can exacerbate these problems, leading to a vicious cycle of both physical and psychological health issues.

Solution Approaches and Potential Investment Directions

Besides individual efforts to raise health awareness, various sectors can play key roles in helping prevent the rising rates of overweight and obesity in future generations.

• Public Awareness and Education: Governments and schools should conduct campaigns to educate the public about the risks of obesity and promote healthy lifestyles. Providing nutrition and physical education, especially for children, is essential.
• Food Industry Regulation and Promotion of Healthy Eating: Implementing policies and regulations that encourage the food industry to produce healthier options and reduce the supply of highly processed foods is crucial. Promoting food labeling systems can help consumers identify nutritional content.
• Promotion of Physical Activity and Urban Planning: Creating safe sports facilities and encouraging sports and walking are vital. Incorporating public sports facilities and pedestrian-friendly policies into urban planning is essential.
• Integration and Training within Healthcare Systems: Training healthcare professionals to effectively prevent, manage, and treat obesity is necessary. Including obesity care in universal health coverage ensures equal access to obesity-related medical services.
• Government Policies and Multisectoral Collaboration: Developing policies that support healthy living, such as sugar taxes and subsidies for healthy foods, is important. Promoting collaboration among different sectors and stakeholders in designing and implementing comprehensive obesity prevention and management strategies is key.

Two examples can be considered here. One is the Nutri-Grade introduced by the Singaporean government: a mandatory front-of-pack nutrition label that assigns a four-tier rating to beverages based on their sugar and saturated fat levels. Ratings are color-coded, with A being green and D being red. High-sugar beverages are required to display their rating. These regulations aim to combat diabetes and the rising obesity rate.

Another example is Novo Nordisk, a pharmaceutical company in Denmark, producing GLP-1 agonist-based weight-loss drugs such as semaglutide, which, when combined with exercise, can help overweight or obese individuals achieve an average of 15% reduction in weight.

Regarding investment opportunities in this field, it's advisable to consider companies related to sports and fitness, green and healthy food products, pharmaceutical firms, and nutritional supplements. However, it's important to note that this is not a short-term profit-driven recommendation but a long-term investment opportunity driven by the growing social issue of obesity.

Insights and Observations

The issue of overweight and obesity has become one of the serious public health challenges globally today. This problem not only impacts individuals' health and quality of life but also has profound implications for entire societies and economic systems. For individuals, overweight and obesity can lead to diseases such as heart disease, diabetes, hypertension, arthritis, and more. For society, the economic costs associated with obesity are enormous, including healthcare expenses and a reduction in workforce productivity, constituting a significant economic burden.

Addressing the obesity crisis requires a comprehensive approach, including public health measures, policy interventions, education, and industry responsibility. Governments, healthcare systems, and communities must work together to tackle the root causes of obesity and create a healthier and more equitable future. In this process, investors can explore potential investment opportunities across various industries and sectors.