What is Biblically Responsible Investing?

One characteristic that sets The Signatry apart from many other foundations is our commitment to biblically responsible investing (BRI). You have most likely heard of biblically responsible investing, but what exactly is it? And how does it work?

What is BRI?: Aligning finances and values

Biblically responsible investing is a proactive approach that aligns investments with biblical values and principles. This alignment of faith and growth yields a present and an eternal return by investing in companies that are making a positive impact in the world. The goal is to invest in businesses that create value rather than extract value.

How It Works: Investing to create value

Value creation is at the heart of BRI. Biblically responsible investing is more than just avoiding “sin stocks.” It is about investing in companies who create genuine value, innovation, and set up future generations for success. Our investment pools utilize securities of companies that prioritize the well-being of its stakeholders, customers, employees, supply chain partners, surrounding communities, and society. We believe value creation is a better indicator of an organization’s longevity, competitive advantage, sustainability, and growth, and that companies that are creating value are better long-term investments.¹

Why BRI?: Investing is ownership

Investing is the act of ownership. When you invest in a company, you become a minority owner of that company. Even if it is only a fraction of a percent of ownership, ownership should invite us to consider what we own. Do the companies in your portfolio agree or disagree with the values that you hold? When looking only at numbers with an investment manager, many people end up investing with companies that support values which may not align with the investor’s faith. This means while many give to causes they are passionate about, their money is invested in companies which counteract the very causes they are supporting.

Funds invested in BRI pools not only have competitive returns compared to non-BRI pools, but they also promote good in the world.²

An investment portfolio should be more than a monetary return. We use BRI because we believe our investments should be a tool to create a positive impact and support businesses making a difference in the world today and for generations to come. BRI allows you to be a wise steward of your finances, the causes you support, and your testimony.

Learn more.

 

1. Invest to Create Value. (2019). Retrieved 9 October 2019, from https://www.eventidefunds.com/
2. Eccles, Robert G. and Ioannou, Ioannis and Serafeim, George, The Impact of Corporate Sustainability on Organizational Processes and Performance (December 23, 2014). Management Science, Volume 60, Issue 11, pp. 2835-2857, February 2014. Available at SSRN: https://ssrn.com/abstract=1964011