A Novel Approach to Materiality Thresholds for Faith-Based Institutions

Press
Written By Betsey DiSanza

Faith-based eleemosynary and educational institutions today wish to reflect their institutional values in their portfolios.

We examine a global equity opportunity set (GEOS) to determine the effectiveness of standard negative screening techniques in excluding prohibited products and services. We conclude the standard approach to materiality thresholds may permit the inclusion of significant numbers of companies with hundreds of billions of dollars in revenues derived from products and services which some institutions may wish to avoid.

Article published in the The Journal of Impact and ESG Investing, Fall 2020

Credit: Dennis Hammond, Head of Responsible Investment, Veriti Management LLC

Betsey DiSanza
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