Praxis invests in IFC Green Bond Program

Impact bonds |

Bond purchase supports climate-related investments in emerging markets

The Praxis Intermediate Income Fund purchased $1 million in the International Finance Corporation’s newest $500 million, three-year green bond, continuing the Praxis Mutual Funds’ commitment to making investments that have a positive, high impact on climate and community.

Issued on Nov. 18, 2015, the new IFC green bond offering supports investments in energy efficiency, renewable energy, and greenhouse gas emission-reduction projects in developing countries. IFC (a member of the World Bank Group) is one of the world’s largest financiers of climate-friendly projects in emerging markets, with investments totaling approximately $13 billion over the last decade.

“We deeply value the diligence that IFC has used to construct their Green Bond Program,” said Benjamin Bailey, CFA, Co-Manager of the Praxis Intermediate Income Fund. “Our goal is to purchase investments that benefit the climate and the community. This bond purchase accomplishes both.”

Praxis Mutual Funds, advised by Everence Capital Management, is a leader in green bond investments. The Praxis Intermediate Income Fund, in particular, has a history of purchasing bonds that make a social and environmental impact. In 2009, the Praxis Intermediate Income Fund became one of the first socially responsible investors to purchase a U.S. dollar-denominated World Bank green bond.

“At Praxis, we want to be part of forward-looking investments that strengthen our local and global communities,” said Chad Horning, CFA, President of Praxis Mutual Funds. “That’s why we are committed to seeking out opportunities to promote a sustainable future and actively integrate environmental, social and governance data in our management process.”

Positive impact investments now make up more than 22 percent of the Praxis Intermediate Income Fund. Examples of other market rate investments include bonds in education; youth and employment bonds; auto industry green asset-backed securities; real estate investment trust green bonds; solar and wind installations; poverty reduction; affordable housing; vaccines; medical research; and community infrastructure. The Fund’s high social impact investments also include community development investments that benefit underprivileged communities nationally and abroad. Learn more about how the Praxis Intermediate Income Fund is investing to impact climate and community.

About Praxis Mutual Funds and Everence

Praxis Mutual Funds, advised by Everence Capital Management, is a leading faith-based, socially responsible family of mutual funds designed to help people and groups integrate their finances with faith values. To learn more, visit praxismutualfunds.com.

Everence helps individuals, organizations and congregations integrate finances with faith through a national team of advisors and representatives. Everence offers banking, insurance and financials services with community benefits and stewardship education. To learn more, visit everence.com or call (800) 348-7468.

Disclosure

Bond funds will tend to experience smaller fluctuations in value than stock funds. However, investors in any bond fund should anticipate fluctuations in price, especially for longer-term issues and in environments of rising interest rates.

The Fund’s stewardship investing strategy could cause the Fund to sell or avoid securities that may subsequently perform well, and the application of social screens may cause the Fund to lag the performance of its index.

The Praxis Intermediate Income Fund has invested 1.44 percent of its assets in the IFC Green Bond Program, with a purchase settle date of Nov. 27, 2015. Fund holdings are subject to change. To obtain holdings as of the most previous quarter, visit praxismutualfunds.com.