Having Faith in a Biblically Responsible ETF Strategy

Christian financial advisors and investors looking to diversify an investment portfolio can consider a biblically responsible ETF investment strategy that seeks out the most attractive stocks meeting Christian principles and criteria.

On the recent webcast (will be available on demand for CE Credit), Gotta Have Faith: A Biblically Responsible Investment Strategy, Matthew Watson, Portfolio Manager for James Investment Research, pointed out that there is increasing demand among investors choosing to align their investment strategies with their core values.

For instance, socially responsible investment assets in the U.S. have expanded from under $1 trillion back in 1995 to over $8 trillion in 2016.

Mike McGraw, Director of Marketing for James Investment Research, argued that the increased awareness of socially responsible investment opportunities may also raise demand for the subset of biblically responsible investing. According to the Christian Investment Forum, 78% of the U.S. population identifies as Christian. Early adopters of biblically responsible investing have already funneled $1.5 trillion into this investment them, and it is projected that the market could grow to $8.4 trillion.

McGraw also looked to a recent Charles Schwab 2017 ETF investor study as an indicator of rising demand for socially responsible investments and related biblically responsible investment strategies. According to the recent Charles Schwab survey, 42% of clients revealed they would prefer a SRI strategy that is tailored to their values. Around 48% of respondents showed it is important to invest in socially responsible funds because the strategies are aligned with their beliefs.

A Way to Access a Biblically Responsible Investment Strategy

“You and your clients live by biblical principles. In the past, it has been difficult to apply those principles to your investing philosophy. That’s about to change,” Watson said.