RT Journal Article
SR Electronic
T1 The Impact of Faith-Based Screens on Investment Performance
JF The Journal of Investing
FD Institutional Investor Journals
SP 136
OP 143
DO 10.3905/joi.2010.19.3.136
VO 19
IS 3
A1 Lyn, Esmeralda O.
A1 Zychowicz, Edward J.
YR 2010
UL http://joi.pm-research.com/content/19/3/136.abstract
AB There has been a phenomenal rise in faith-based investing in recent years. A very important question arises: do investors sacrifice satisfactory economic returns by making ethically and socially responsible investing decisions based on their faith? Using data on 36 faith-based mutual funds, this article reviews and extends previous research on the performance of faith-based investing. It examines the performance of these faith-based funds over three different five-year periods from May 2001 to February 2008. By applying a comprehensive set of tests, the authors find evidence that faith-based funds mostly outperform the market. The results also suggest that faith-based funds do better than socially responsible investing funds in general.TOPICS: Security analysis and valuation, performance measurement, risk management