FaithShares Advisors, LLC of Oklahoma City rolled out five Christian ETFs over the past week. The first three were launched on December 9, 2009 and two more on December 15. We first brought these new ETFs to your attention back in April, and yesterday’s press release (pdf) provides additional background information.
FaithShares worked with the FTSE Group and KLD Research & Analytics, a leading provider of environmental, social and governance (ESG) research and indexes, to create a series of custom indexes on which the funds are based.
“We created these funds to meet the needs of investors who want to participate in the potential of the stock market, yet be good stewards of their money,” said Thompson S. Phillips Jr., President of FaithShares. “As an ETF, each of our funds will include 100 stocks of large, well-known companies but specifically exclude those considered to be ’objectionable industries’ by a specific denomination. Our funds are the first Christian ETFs in the market.”
Each fund has a 0.87% expense ratio, and FaithShares Advisors will give a minimum of ten percent of its net income to a ministry associated with the respective denominations.
- FaithShares Baptist Values Fund (FZB) (fund summary) was launched 12/15/2009.
- FaithShares Catholic Values Fund (FCV) (fund summary) was launched 12/09/2009.
- FaithShares Christian Values Fund (FOC) (fund summary) was launched 12/09/2009.
- FaithShares Lutheran Values Fund (FKL) (fund summary) was launched 12/15/2009.
- FaithShares Methodist Values Fund (FMV) (fund summary) was launched 12/09/2009.
I don’t envision these ETFs ever becoming trading vehicles. Additionally, socially responsible, and other similarly themed, ETFs have been below average in attracting assets. Given these hurdles, these ETFs may require more than faith to be economically viable.
Disclosure covering writer, editor, publisher, and affiliates: No positions in any of the securities mentioned. No positions in any of the companies or ETF sponsors mentioned. No income, revenue, or other compensation (either directly or indirectly) received from, or on behalf of, any of the companies or ETF sponsors mentioned.