Whether therefore you eat, or drink, or whatsoever you do, do all to the
glory of God.
- I Corinthians 10:31

Frequently Asked Questions

3. Will values investing cut return?

We know future return cannot be predicted accurately. We also know that God’s ways are best. Therefore, we expect better long-term performance from stocks in companies that operate based on biblical principles, such as by demonstrating integrity and reflecting respect for people and the environment. In Profit At Any Cost – Why Business Ethics Make Sense, Dr. Jerry Fleming provides extensive information about the correlation between values-based operations and good performance.

Within this biblical values universe of good companies, the investment manager needs to make wise investment decisions. Performance records of values-driven managers are brief, but encouraging. For example, the over five year records of Stewardship Partners and Ave Maria are very good. Timothy Large – Mid Cap Value (under a new manager), American Values and Foundation Financial have good, but shorter records. All these managers use screens that are generally consistent with BRI.

Socially Responsible Investing (SRI) has a considerably longer track record – several decades. Studies show that the performance of SRI mutual funds and SRI separately managed accounts are roughly in line with or a little better than the benchmarks. This implies that good performance can be achieved by well-selected managers. However, it is also relevant to mention that the SRI values screens differ from BRI in important areas, such as abortion and non-traditional marriage lifestyles.

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