CATHOLIC-BASED VALUE INVESTING
Aligning Catholic Values with Investments: A Growing Priority for Catholic Investors
Dana Investment Advisors has managed a Catholic values portfolio since 2000. We currently provide equity, fixed income, and balanced strategies for many Catholic-based entities. These have allowed Catholic investors to adhere to the pillars of the church while meeting their responsibility as stewards. Despite a recent increase in the adoption of faith-based investment guidelines, many Catholic investors remain on the sidelines, often confused by industry terms and the impact on performance. We believe the time has come to address these concerns and align mission with money.
Consider the following:
- “You don’t have to be a Christian to want to invest your money in companies that make the world a better—not worse—place. But Christians… have additional insight through the Scriptures that all our money—and our time—belongs to God, not just the money we tithe, or the time we spend in worship.”
"Investing and Faith: The Impact of Faith-Based Investing" Steve French, May 2019
- “When the Vatican assembles investors, entrepreneurs and academics for its second Impact Investing Conference later this month, it will do so as the mainstream wealth management industry has started to catch on to the term."
"Blessed Returns" Financial Times on the second Vatican Impact Investing Conference, June 2016
- “Sustainable issues represent one of the most important cost and revenue drivers in the modern corporate world. By selecting stocks that comply with the USCCB (The United States Conference of Catholic Bishops), the S&P 500 Catholic Values Index aims to include companies with resilient business profiles by addressing the ethical challenges that can make a stronger investment case."
PRNewswire on the launch of the S&P 500 Catholic Values Index, August 2015
- “A sense of solidarity with the poor and the marginalized has led you to reflect on impact investing as one emerging form of responsible investment... aimed at assessing innovative forms of investment which can benefit local communities and the environment, as well as providing reasonable return."
Pope Francis' at the first Vatican Impact Investing Conference, June 2014
The United States Conference of Catholic Bishops (USCCB) issued policy guidelines for Catholic investors in 2003. The six primary USCCB pillars include environmental, social and governance (“ESG”) concerns and specific human life and dignity guidelines.
|USCCB Pillar||Example of Portfolio Impact|
|Protecting Human Life||Excludes companies with ties to abortion, contraceptives or fetal stem cells|
|Reducing Arms Production||Excludes weapons manufacturers & defense contractors|
|Pursuing Economic Justice||Seeks companies with positive wage & labor practices|
|Protecting the Environment||Seeks companies with positive carbon & energy conservation metrics|
|Encouraging Corporate Responsibility||Seeks companies with positive corporate governance & stakeholder policies|
Catholic-Based Value Investing
Sustainability, SRI, impact, faith-based and mission investing all fall under the ESG (environmental, social and governance) umbrella, and the types of investors pursuing these strategies are just as numerous. Dana offers a Catholic ESG Strategy that adheres to the six primary USCCB Pillars and their guidelines.
Dana's Invitation to Catholic Investors
We invite Catholic investors to contact us with any questions, concerns, information requests or other issues related to Catholic values investing. We also encourage you to get to know more about us. Below is a Q&A with Dana's Catholic ESG Strategy Portfolio Manager, Duane Roberts, CFA, who recently answered seven questions around the firm’s faith-based investment process, policy statements and portfolio customization. In addition, if you want to dive deeper into understanding Catholic-based value investing under the ESG umbrella, we also have created a guidebook, Everything You Want to Know About ESG Investing, available below for download.
We hope you find this information resourceful.