Faith-based investing (also called Christian Investing or Biblical Based Investing) is an approach to investing assets in a way that aligns with the investor’s faith and Bible beliefs. I discovered faith-based investing through Kingdom Advisors, a group of Christian financial professionals who see investing as a vital act of worship in which to please and glorify God. As financial advisors in Woodstock, GA we offer faith-based investing.
Some may wonder, “Does God care where I invest money?” The answer depends on who you believe owns the money. As followers of Jesus, we understand that we don’t truly own the wealth in our possession, but God does. We are merely stewards of all the resources He entrusts to us. Below is my journey in discovering how I could worship the Lord with the money He has given me to invest with the ultimate goal of hearing the Lord say “Well done, good and faithful servant.”
Although I had affiliated with Kingdom Advisors for years, I hadn’t been deeply involved and I let my membership lapse. One morning while praying, the Lord impressed upon my heart to revisit the benefits of joining. I checked their website and noticed a course on faith-based investing. I wondered what it was, but continued on in my day without giving another thought. A couple of weeks later in my quiet time, God again brought to mind Kingdom Advisors. This time I called, reactivated my membership and enrolled in the course.
The first part of the course addressed the question of motivation. 1 Corinthians 10:31 says, “Whatever you do, do it all for the glory of God.” It became clear to me that this was another way in which I could purposefully worship God!
During the course, I learned that many companies profit from or support activities like abortion and pornography, and investing isn’t just about generating profits for ourselves but also directly supports the businesses in which we invest. I thought, “Shouldn’t I instead put money into companies that contribute positively to society?” I turned to God’s Word for guidance and found Deuteronomy 23:18: “You must not bring the earnings of a female or a male prostitute into the house of the Lord your God to pay any vow, because the Lord your God detests both.” This Scripture showed me that God does care about the source of investment income. Then I wondered how I could ensure that my investments aligned with God’s values.
The Kingdom Advisors course introduced me to screened investments. There are tools available to screen stocks in your portfolio to determine whether they align with biblical principles. Additionally, there are funds and money managers, such as the Timothy Plan and Eventide mutual funds that will perform this screening for you.
I also discovered there are many companies providing value to society and treating their customers well while providing a return on investment. Faith-based investing isn’t only about avoiding companies that engage in unethical practices; it’s also about supporting those that are doing good in the world.
The final thing I learned was the value of corporate engagement. Many faith-based investment companies are actively working with the companies they support in order to promote positive changes. See this recent story of how Inspire funds has been requesting that Costco stop the sale of the abortion drug, Mifepristone.
At the time my funds were invested in mutual funds and stocks of respected companies. I purchased a screening tool and ran my funds through it. I was dismayed to find that some of my investments were in companies that supported abortion and profited from pornography. After praying and discussing this with my wife, we decided, in obedience to 1 Corinthians 10:31, to turn to faith-based investing.
While no company or person in this world is without sin, we have peace about our investments that we didn’t have before. Investing, for us, is no longer just about returns, it is another way in which we worship God. In the end, our investments may or may not attain the returns possible with our previous investments, but Scripture teaches that God is more concerned with the intents of our hearts. I believe this type of investing honors Him and I encourage you to prayerfully determine your personal convictions regarding where and how you invest.
For more information:
- Strategic Stewardship’s Approach to Faith Based Investing
- Excerpt from Money, Possessions, and Eternity by Randy Alcorn: Christian Investment Forum
- Book by Loran Graham: Investing with Integrity
The returns on a portfolio consisting primarily of Faith Based investments may be lower or higher than a portfolio that is more diversified or where decisions are based solely on investment considerations. Portfolio criteria exclude some investments, investors may not be able to take advantage of the same opportunities or market trends as investors who may not use such criteria.