Values-Based Investing - New Covenant Trust

We can help you make investments you’ll feel good about.

While values-based investing — also called socially responsible investing — has gained mainstream popularity in recent years, it’s been a core part of our investment strategy from the very beginning.

We have considerable experience in this specialized area, having implemented numerous portfolios for clients in the past 20 years that mirror the Presbyterian Church’s Social Witness Policies for Investments. That can’t be said of other firms. Not only that, we have the skills and knowledge to customize a portfolio that also aligns with your values and objectives. There is no additional cost for these services.

Below are a few examples of the many values-based investing strategies we offer.

For more about values-based investing and the Presbyterian Church, read our 2023 Investment Stewardship Impact Report here, or our 2022 Impact Report here.

Diversity, equity & inclusion strategy

A large cap U.S. stock portfolio tracking the Russell 3000 index, targeting investment in companies with a history of strong diversity, equity and inclusion efforts that are faithful to the divestment list of the General Assembly of the Presbyterian Church (U.S.A.)

Diversity, equity & inclusion strategy

Fossil fuel free strategy

NCTC offers a passively managed strategy that closely tracks the S&P 500 index, with MRTI social screens applied to exclude alcohol, tobacco, weapons, for-profit prisons, casinos and human rights violators. For investors concerned about climate impact, we can also add a fossil fuel divestment overlay onto the model.

Fossil fuel free strategy

New Covenant Funds

New Covenant Trust Company provides shareholder and social witness services to New Covenant Funds, a mutual fund family.* New Covenant Funds strives to comply with the social witness principles and supports the mission of the Presbyterian Church (U.S.A.). Click to find out more information on New Covenant Funds.

*New Covenant Funds are sponsored by SEI and advised by SEI Investments Management Corporation (SIMC).

New Covenant Funds

Invest in what matters most to you

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We believe you don’t have to sacrifice profitability to invest in what matters. Our approach is multipronged. Our first step is to identify corporations engaging in product lines or business practices you may want to avoid, such as tobacco, firearms or fossil fuel emissions.

Along with excluding companies you don’t want to invest in, we’ll also identify businesses that have solid environmental, social and governance policies and practices (known as ESG investing). We’ll collaborate with you to implement both positive and negative screens, and ensure we optimize your portfolio to include only the corporations and initiatives you believe in.

Unlike most firms, NCTC takes things a step further by screening for companies that engage in value-positive activities, or those in which an investment could help influence their policies. We go through the meticulous process of voting every proxy in a manner consistent with the church’s values.

NCTC also works closely with the church’s Mission Responsibility Through Investment (MRTI) Committee to file shareholder resolutions and drive corporate engagement efforts that communicate the church’s values and policies. By doing so, we’re able to leverage a call for social responsibility within those companies, which may include:

Board and management diversity
Pay equity
Sustainability
Environmental impact
Governance policies and practices
Social issues

Whether you feel strongly about racial justice, climate change or other social, economic or theological concerns, we can customize a targeted investment strategy for you.

When you’re ready to align your values with your investments, we’re the partner you can rely on.