The study looked at how financial activities affect companies' investments in Europe. They used data from 1995 to 2015 from non-financial companies. The results showed that financial payments and incomes have a negative impact on companies' investments in fixed assets. This effect is stronger for larger companies and is worsened by higher financial development. This challenges the idea that finance always leads to growth and suggests that focusing on financial activities may actually reduce physical investments and slow down economic growth.