Faith Based Investing – First Steps On Your Journey: Introductory Readings and Podcasts.
Perhaps you are looking to start a stewardship ministry in your church. Or maybe you are a financial advisor who wants to focus your practice on faith based investing. Or perhaps you are an investor interested in learning more about faith based investing and not sure where to begin? Well I think “Faith Based Investing – First Steps On Your Journey” will be a great start! I’ll share with you a few of my thoughts as well as some resources that I found useful in my own journey into faith based investing. I hope you find it a blessing, and will be challenged and inspired to start your own journey into faith based investing.
Essential Background – The Separation Thesis
Before diving into deep into the later readings on faith based investing, I recommend getting acquainted with the concept of Separation Thesis. In these short discussions Ben Nicka and Dr. William Cavanaugh introduce us to Separation Thesis and show us why we cannot ignore the impact caused by our investing decisions.
Ben Nicka – Eventide Center for Faith and Investing
Read: Investing and the Separation Thesis: Part 1
Read: Investing and the Separation Thesis: Part 2
Dr. William Cavanaugh – Eventide Center for Faith and Investing
Read: Demystifying Investing with Dr. William Cavanaugh
Faith Based Investing – Essential Key Readings
After spending sometime reflecting on Separation Thesis, I recommend continuing with the following books and readings. I feel like these readings are critical as they will not only help build a solid foundation in your understanding of Stewardship, but they will also directly challenge your long-held beliefs on money. They will introduce key scriptural concepts regarding Stewardship and will be essential on your journey into faith based investing.
- “Managing God’s Money” by Randy Alcorn
- “Kingdom Economics” by Brett Johnson
- “The Steward Investor” by Donald Simmons
- “Biblical Stewardship Educational Ministry Study Course” by Timothy Partners
Faith Based Investing – Deeper Dive
Hopefully these key readings have opened your eyes to the biblical view of stewardship. Now it is time to take a deeper dive into the faith based investing journey. We’ll start with a quick overview of different faith based investing approaches and then look at some books that will help you become acquainted with faith based investing.
Different Approaches to Faith Based Investing
The term “Faith Based Investing” is actually considered a generic term. There are a variety of different terms that you may run across, either because they are specific to a particular practitioner or because they describe an approach by a different faith tradition. Here a few of the terms that you might come across.
Faith Consistent Investing: Another generic term used for Faith Based Investing.
Biblically Responsible Investing: Biblically Responsible Investing, or BRI for short, seeks to invest in a manner that is consistent with Biblical values such as the sanctity of life and family. Popular with Evangelical Christian investors, prominent practitioners include Timothy Plan and Inspire Investing.
Related… BRI – Screening On Your Values
Morally Responsible Investing: Morally Responsible Investing (MRI) focuses on making investment decisions protecting the sanctity of human life, best outlined by George Schwartz of the Ave Maria Funds.
Catholic Values Investing: Catholic Values Investing describes an investment approach consistent with the teachings of the Roman Catholic Church. Although it can vary worldwide, in the United States this approach is guided by the USCCB’s (United States Conference of Catholic Bishops) Investment Guidelines. A written document first introduced in 1986 and updated several times since, the USCCB guidelines encourage the:
- Protection of Human Life
- Promotion of Human Dignity
- Reduction in Arms Production
- Pursuit of Economic Justice
- Protection of the Environment
- Encouragement of Corporate Responsibility
A more recent influence on Catholic Values Investing is Mensuram Bonam (“Good Measure”), which was released in 2022 and incorporates positive screening approaches covering a wider range of environmental and social issues.
Listen…Faith Driven Investor Episode 170 – A Catholic Perspective on Faith Driven Investing with Tony Minopoli and Andrew AbelaFavorite Faith Based Investing Readings
Now that we’ve learned about various faith based investing approaches, it’s time to hear from some of the top practitioners and thought leaders in faith based investing. We will go in depth in the history of the movement, find out what inspired the authors to change their investing perspective, and pickup a few practical tips on the way. Here are a few of my favorite books that I read on my journey to faith based investing…
- “Investing & Faith”, edited by Steve French.
- This book is a good starting point, as it is a compilation of articles edited by Steve French from various contributors (including some of the authors below).
- “Investing With Integrity” by Loran Graham.
- Explores Biblically Responsible Investing from a foundational perspective.
- “Kingdom Gains” by Dwight Short.
- A financial consultant who spent many years at Merrill Lynch, Dwight wrote this great early book on Biblically Responsible Investing.
- “Good Returns” by George Schwartz.
- From the founder of Ave Maria Mutual Funds, hear about the history of Ave Maria and Morally Responsible Investing.
- “Invested With Purpose” by Art Ally.
- Hear from the Founder of Timothy Plan and the “father of BRI” Art Ally as he discusses the history of Timothy Plan and the struggles of trailblazing an industry.
- “I Found Jesus in the Stock Market” by Cassandra Laymon.
- From the President of Beacon Wealth Consultants, explores Cassandra’s journey into faith based investing.
- “Biblically Responsible Investing” by Robert Netzly.
- From the CEO and Founder of the Inspire Investing family of companies, goes through Robert’s journey of leaving a secular firm to start Inspire.
- “Faith Driven Investing”, from Henry Kaestner, et. al.
- Compilation of perspectives from various authors about the Faith Driven Investor movement.
Faith Based Investing – Hear More
Well I think with these readings, you will be prepared to take the next steps on your journey to faith based investing. But before you go here’s your chance to hear directly from the authors in this post. Hope you find this inspiring and interesting! Welcome to the Kingdom Frontier!
From Essential Key Readings
Randy Alcorn on the FaithFi.com Faith & Finance Show
Donald Simmons on the Faith Driven Investor Podcast
From Favorite Faith Based Investing Readings
Loran Graham on the Investing With Integrity Podcast With Jeff Talarico
George Schwartz on EWTN’s The World Over
Art Ally on the Investing With Integrity Podcast With Jeff Talarico
Cassandra Laymon on the FaithFi.com Faith and Finance Show
Robert Netzly on the Kingdom Investor Podcast
Henry Kaestner on the Investing With Integrity Podcast With Jeff Talarico
Disclaimers
Investing involves risk and past investment performance does not necessarily predict future results. Techniques such as asset allocation, passive investment management, portfolio construction and portfolio diversification do not ensure protection against loss, market out-performance, or out performance of a non-diversified portfolio.
The strategies and/or investments discussed in this article may not be appropriate for all investors, and the appropriateness of a particular investment or strategy will depend on an individual’s circumstances and objectives. Alternative investments are often speculative and include a high degree of risk, including loss of all or a substantial amount of investment. Alternative investments may be highly illiquid, involve complex tax structures, and incur higher fees and expenses than traditional investments.
Investing and changes to investments can result in significant tax and legal consequences, depending on your situation. Hildebrand Development LLC is not a legal, tax, or registered investment advisor, and any information found on the Kingdom Frontier are opinions for informational purposes only and not intended as investment advice. Consult with a qualified legal, tax, and investment professional before making any investment decision. Thoroughly research all investment opportunities before making any investment decisions.
