*Chart of funds at article end.
Recent data from independent financial data reporting service
Wiesenberger for the
Mennonite Mutual Aid (MMA) Praxis Mutual Funds shows that the number of religious funds is up five-fold in the six-year period from 1993-1998, increasing in number from 6 to 34. This level of growth is more than double the increase in all mutual funds, which grew from 4,011 to 10,617 in the same period.
"The new data underscores the fact that more and more Americans want their money to be invested and saved in accordance with their beliefs -- social, environmental, and religious," said MMA Praxis Mutual Funds president
John Liechty. "Religious
mutual funds are an increasingly important alternative as the ranks of American investors continue to grow and become more and more a well-rounded picture of the U.S. adult population. The reality here is very simple; religious faith is a guiding influence in the lives of millions of Americans, most of whom do not check their most deeply held beliefs at the door when it comes to money."
A religious mutual fund is loosely defined as one that makes investment decisions based on the precepts of a particular faith. Most welcome investments from all walks of life but a few, like the Lutheran Brotherhood funds, are only offered to investors of the faith. MMA Praxis believes that its funds are attractive to secular investors because of the "holistic, faith-based values to which the fund subscribes."
In the past ten years, assets in religious mutual funds have grown 191 percent from $1.5 billion in 1989 to $4.5 billion today. According to Wiesenberger, the five and ten-year returns on these funds are competitive with the overall fund universe as well.
Type of Fund
| 5-Year
| 10-Year
|
Religious Mutual Funds
| 13.57
| 12.87
|
All
Socially Responsible Mutual Funds
| 15.05
| 13.16
|
All
Equity Mutual Funds
| 14.78
| 14.45
|
"Religious mutual funds still account for only a small fraction of all mutual funds and related assets, but it is clear that this subcategory of socially and environmentally responsible investing is growing fast," added
Stephanie Kendall, a Wiesenberger analyst.
Largest/Most Well Known Religious
Funds
|
Fund
| Fund Family
| Focus
|
MMA Praxis Growth Fund
| MMA Praxis
| Mennonite & others
|
MMA Praxis International Fund
| MMA Praxis
| Mennonite & others
|
MMA Praxis Income Fund
| MMA Praxis
| Mennonite & others
|
AAL Capital Growth
| Ald Association for Lutherans
| Lutheran
|
AAL International
| Ald Association for Lutherans
| Lutheran
|
Lutheran Brotherhood, A
| Lutheran Brotherhood
| Lutherans only
|
Lutheran Brotherhood, Income
| Lutheran Brotherhood
| Lutherans only
|
Aquinas Equity Growth
| Aquinas Funds
| Roman Catholic
|
Aquinas Equity Income
| Aquinas Funds
| Roman Catholic
|
Aquinas Fixed Income
| Aquinas Funds
| Roman Catholic
|
Aquinas Balanced Fund
| Aquinas Funds
| Roman Catholic
|
Catholic Values Inv. Trust Eq.
| Catholic Values Inv. Trust
| Roman Catholic
|
Amana Growth
| Amana Mutual Funds Trust
| Islamic
|
Amana Income
| Amana Mutual Funds Trust
| Islamic
|
Noah
| Noah Fund
| Conservative Christian
|
Timothy Plan
| Timothy Plan
| Conservative Christian
|
American Trust Allegiance
| American Trust Allegiance
| Christian
Scientist |
 
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