PT  - JOURNAL ARTICLE
AU  - Richard Scott Stultz
TI  - An Examination of the Efficacy of Christian-Based Socially Responsible Mutual Funds
AID  - 10.3905/jesg.2020.1.002
DP  - 2020 Nov 30
TA  - The Journal of Impact and ESG Investing
PG  - 105--119
VI  - 1
IP  - 2
4099  - https://pm-research.com/content/1/2/105.short
4100  - https://pm-research.com/content/1/2/105.full
AB  - This study examines the efficacy of Christian-based socially responsible mutual funds by comparing their returns with those of the S&P 500 Index as well as other types of socially responsible mutual funds. Christian-based funds have been recommended for achieving the dual purpose of investing in a manner that honors one’s faith while also being a good financial steward. However, the efficacy of these investment options is not clear. This study was developed to add to the emerging field of research regarding Christian-based socially responsible mutual funds.TOPICS: ESG investing, equity portfolio management, mutual fund performanceKey Findings• Christian-based socially responsible mutual funds have been suggested as a way to honor one’s beliefs through equity investments in companies that are consistent with the Christian worldview.• While a number of funds have been developed and marketed to Christians, a limited amount of research has been conducted to closely examine the comparative efficacy of those funds.• This study provides an analysis of the current body of Christian-based equity-only socially responsible mutual funds and found that, as a group, the funds underperformed the S&P 500 Index as well as other types of socially responsible mutual funds.• Post hoc analysis of the data points to variability within the universe of Christian-based socially responsible mutual funds that require additional attention and study.