One Compass Advisors Announces Prospectus Changes and Fee Reductions

Jeffersonville, IN, January 11, 2011 – One Compass Advisors, the investment adviser to the New Covenant Funds, filed a prospectus supplement for the New Covenant Funds that included several important changes including:

Investment Advisory Fee Reduction – One Compass Advisors reduced the management fee under the Investment Advisory Agreement from 0.99% to 0.87% of the value of the New Covenant Growth Fund’s average daily net assets and from 0.75% to 0.65% of the value of the New Covenant Income Fund’s average daily net assets.

As a result, beginning on January 1, 2011, Total Annual Fund Operating Expenses for New Covenant Funds are disclosed as follows:

0.99% for New Covenant Growth Fund

0.77% for New Covenant Income Fund

1.05% for New Covenant Balanced Growth Fund

0.98% for New Covenant Balanced Income Fund.

Stated Paul H. Stropkay, CFA, Chief Investment Officer of One Compass Advisors, "We are pleased to announce this fee reduction and believe that it is in the best interest of New Covenant Funds shareholders. By way of comparison, the expense ratio at actively-managed diversified U.S. stock funds averages 1.38% and the expense ratio of all diversified U.S. stock index funds is 0.62%, according to investment researcher Morningstar Inc. as reported by the Wall Street Journal on January 5, 2011.”

For more details on these and other prospectus changes, read the full prospectus supplement filing available at www.NewCovenantFunds.com.

New Covenant Funds is a family of faith-based mutual funds sponsored by the Presbyterian Foundation. In addition to the New Covenant Growth Fund, there are four other New Covenant Funds: New Covenant Income Fund, two balanced funds – New Covenant Balanced Growth and New Covenant Balanced Income Funds (each comprised of distinct allocations of New Covenant Growth and New Covenant Income Fund), and a money market fund, Federated Treasury Obligation Fund.

For more information about New Covenant Funds, visit www.NewCovenantFunds.com.

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An investor should consider the fund's investment objectives, risks, and charges and expenses carefully before investing or sending money. This and other important information about the investment company can be found in the fund's statutory and/or summary prospectus. To obtain a statutory and/or a summary prospectus, please call 877-835-4531 or visit http://www.NewCovenantFunds.com/. Please read the prospectus carefully before investing.

An investment in the Money Market Fund is neither insured nor guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although the Fund seeks to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in the Fund.

Mutual fund investing involves risk. Principal loss is possible. The Growth Fund invests in smaller companies, which involve additional risks such as limited liquidity and greater volatility than larger companies. The Growth Fund invests in foreign securities which involve political, economic and currency risks, greater volatility and differences in accounting methods. The Growth Fund may also use options and futures contracts, which have the risks of unlimited losses of the underlying holdings due to unanticipated market movements and failure to correctly predict the direction of securities prices, interest rates and currency exchange rates. The investment in options is not suitable for all investors. Investments in debt securities typically decrease in value when interest rates rise. This risk is usually greater for longer-term debt securities. The Fund may choose not to purchase, or may sell, otherwise profitable investments in companies which have been identified as being in conflict with its established social-witness principles. This means that the Fund may underperform other similar mutual funds that do not consider social-witness principles in their investing.

The Standard & Poor’s 500 Index (“S&P 500”) is an unmanaged, capitalization-weighted index that measures the performance of 500 large-capitalization stocks representing all major industries. It is not possible to invest directly in an index.

New Covenant Funds are offered through New Covenant Funds Distributor, Inc., 200 E. Twelfth St., Jeffersonville, IN 47130 (877-835-4531), a member of FINRA.

One Compass Advisors is the investment adviser for New Covenant Growth Fund, New Covenant Income Fund, New Covenant Balanced Growth, and New Covenant Balanced Income Funds, and receives a fee for its service.


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