Faith Based Investing

Oh Kermit, the Wise One!

Kermit the Frog once said “It’s not easy being green!” Today he would say “it’s not easy being green unless it’s economically convenient.” Many are passionate about the environment when there is something to gain: savings, feeling better, better gas mileage, etc. Yet when push comes to shove their passion really isn’t the environment, it’s another type of green – money!

Now don’t hear me wrong. Yes, there are those who really are passionate about the environment – the tree huggers! I’m not talking about this crowd. I’m talking about those who claim to be passionate about something, yet only take action when it’s convenient or there is something to gain.

From Waiting List to Overstocked

Now that gas prices have come down, hybrids are a tough sell these days. The LA Times reports, “Last month, only 15,144 hybrids sold nationwide, down almost two-thirds from April, when the segment’s sales peaked and gas averaged $3.57 a gallon. That’s far larger than the drop in industry sales for the period and scarcely a better showing than January, when hybrid sales were at their lowest since early 2005.”

Should this be the case? Where’s the passion? Was it really just about the money? Just a year ago, buying a hybrid car was just about the coolest thing a hippie out in California could do. Isn’t it funny how economics change people’s commitment to their most heart-felt causes? With gasoline prices down, unemployment high, hybrid cars are going out of style faster than the moonwalk dance. Here’s the funny part: manufacturers are still cranking out new hybrid models. No wonder, the big three are on the verge of bankruptcy! Here’s the supply curve, here’s the demand curve. Any questions?

How Serious Are you About Your Cause?
Is your faith strong or weak? What moral and social issues are important to you? Do you let money get in the way of doing what you’re passionate about? If you truly stand for what you believe, you are willing to fight, no matter what the cost. We can learn quite a bit from William Wilberforce (1759-1833). Have you seen the movie Amazing Grace?

William was a British politician, a philanthropist, and a leader of the movement to abolish the slave trade. In 1785 he underwent a conversion experience and became an evangelical Christian, which resulted in major changes to his lifestyle and a lifelong concern for reform. He persevered for his cause until the very day he died. He never gave up. He fought on. Failure after failure, he pressed on. He knew deep within his heart, that the cause was bigger than he.

Just as Wilberforce had clear convictions of his values, are you willing to stand for what you believe in? It is easy to blend in with the crowd and let life pass you by. It is easy to say nothing and do nothing. It takes courage, strength, and perseverance to stand for what is right, especially when the world stands against you. Many Americans know what they value yet do nothing about it. Many allow cultural influences to shape life decisions rather than turning to God’s Word. If we all stand for what we believe in, we can make a difference. One by one, we can change the world.

Everyone’s Favorite Radio Station: WII-FM: What’s in it for me?

I say change the channel!
Too often, those around us make decisions based on their own selfish motivations. Why do you think the world is in such a financial mess? Greed, deceit, and selfishness are at the center of this economic collapse. The mantra becomes, “if I don’t see a personal benefit, why do it?” Those who live only to please themselves perish and die alone!

Want Happiness? Seek to Help Others
The easiest, surest path to long lasting happiness is found in actively caring about and doing something for those around you: for your family, your church, your community, and the world. With so many challenges facing society, there is no shortage of needs. The old saying that “if you’re not a part of the solution, then you’re part of the problem” has some truth to it. God has designed you with special and unique qualities that can be used to make this world a better place–one day at a time.

I believe Albert Einstein said it best: “The world is not dangerous because of those who do harm but because of those who look at it without doing anything.”

With that in mind:

1. How can you better help others around you? What’s holding you back? What would need to happen for you to take action?

2. What is one thing I could do today to make someone else’s burden lighter, or bring a genuine smile to someone’s face? Can I commit to doing this today?

What is most important to you?

What are the things you value most in life? What motivates you? What principles are a part of your decisions? What are you trying to accomplish in life? These are just a few of the questions you will discover in the Proud to Own Process.

It is very easy to get caught up in the grind of everyday life. We do not stop to smell the roses. We are so busy yet we often miss some of the most important things in life. It is those who take the time, realize what’s important, and create a plan to make it happen, that will with reap the greatest rewards.

Unless you discover what’s really important in life, than it is very difficult to make progress toward living your ideal life. Without knowing what is truly important to you, goals have little meaning. When there is no meaning, you have very little motivation to accomplish your goals.

What’s Your Vision?

In order to create the vision, you will need to uncover exactly what excites you. The Proud to Own Process involves a self accessment in critical areas of your life. By examing yourself and what makes you tick, you can then look around you at all of the opportunities that are right in front of your face. If you find companies you are familiar with and have first hand knowledge about, it becomes more personal and exciting to track progress. How do you find these types of companies? You can find potential companies using the 4 P’s.

The 4 P’s:

What do I love to do? – Passion

What am I good at? – Purpose

Where do I spend my money? – Purchases

Where do I earn my money? – Profession

4 P’s = Proud to Own

When we look at buying companies, they should be companies that we are proud to own. In order to do this, we must make it personal. To be personal, we must understand exactly what the company does, what types of products or services it produces, what type of management team they have, and what the company’s mission and value statements are just to name a few.

When you look at buying a company, don’t you want it to be something that you are proud to own. This is a starting point when looking at where to put your money. What we invest in is our way of voting our values. Just like our purchasing decisions, we validate or avoid companies that align or violate our moral compass. By buying or investing in companies, we endorse that company. If we do not do our homework, we may be inadvertently supporting companies that blatantly violate our value system.

The key is to become aware. What are you moral hot buttons (abortion, pornography, embryonic stem cell research, homosexuality)?  What about social hot buttons (tobacco, alcohol, gambling, the environment, etc)? There may be one or more of those hot buttons that are extremely important to you. Now, if that is the case, the companies you own should not violate those hot buttons.  Instead, they should line up with your faith, morals, and belief system.

This does not mean that by lining your faith with your investments that those investments will not fail financially. Instead you should look for companies that are both morally and financially sound.  This involves:

1) Avoiding negative companies: ones who violate your hot button(s)

2)  Supporting positive companies: investing in companies that you are proud to own

3) Companies with strong financials and strong profit potential

Principles are extremely important, but don’t forget about evaluating a company from a financial standpoint to get a better handle on its investment potential. This is such a critical point many people miss.  Principles should always come first, but don’t skip the rest of the homework;)

If you don’t stand for the principles of the company you are buying, is any profit worth the price? Instead find companies that are  profitable and stay true to your faith!  There is a great responsibility that comes with investing. Investing is one of the most morally charged things that we can do as individuals. If we are privileged enough to be able to invest, shouldn’t we make sure that we are doing the best that we can to maximize the money that God has blessed us with? At the same time, shouldn’t we make sure that we are not profiting at the expense of others misfortunes?

This Week on The Jay Peroni Show:

“How to Find Investments You are Proud to Own” – Interview with Finny Kuruvilla, Portfolio Manager of the Eventide Gilead Mutual Fund

Here is the Morningstar Report on the fund

Here is a link to the Eventide Funds

To hear the interview CLICK HERE

How to Find Investments You are Proud to Own

Interview with Finny Kuruvilla, Portfolio Manager of the Eventide Gilead Mutual Fund

Here is the Morningstar Report on the fund

Here is a link to the Eventide Funds

To hear the interview CLICK HERE

But Why Daddy?

I met a guy the other day and he longed so much for financial freedom. It sounded like a noble goal: to have his finances in order so he would be free to go and do whatever he wanted whenever he wanted. Yet, when I asked him to expand, that was when the trouble began… He found that when he has free time now, he wasn’t very productive with that time. More free time would only allow him more time to be unproductive. Without having a concrete vision and plan of what his dreams and goals are, freedom became a pipe dream – empty and shallow with no true purpose behind it.

Who do you think is more likely to succed financially:the man who wants freedom so he has more time

or the man who wants freedom so he can:

* go on mission trips
* help out the local soup kitchen
* teach courses at the local church
* Start his dream business

You see so many of us have dreams and goals but do not go deep enough. Why do you want financial freedom? Why is that important? What would that truly allow for you?

Here is an exercise that works well for many to drill down and get to the core of who you are. Keep asking yourself “why”? Like the little child who keeps saying, “but why Daddy?”, this exercise can help you get to the root of your true motivations or set you on a journey to find more meaning. Why do you want to achieve this, why would that be important, keep asking why, why, why….until you get to the true and motivating factor – the core of your passion!

Henry Ford made so much sense when he said, “If money is your hope for independence, you will never have it. The only real security that a man can have in this world is a reserve of knowledge, experience and ability.” Money represents security for a lot of people. The logic is if we have enough money, then we will be secure. However, the truth is money isn’t the source of security.

Security comes in your relationship with Christ, in your abilities, and your God-given talents! Whenever we gain a sense of security outside of God, it becomes a recipe for failure. You can never become bullet proof!
When you believe that an abritary amount of money your bank account shields you from trouble, you are only deceived. No one knows what the future brings. Today is temporary. Your health, the economy, the stock market, interest rates, natural disasters and accidents can change in a moment’s notice. Yet, God is a rock – never changing!

Confidence in the wrong places
So many people place confidence in the bank, in other people, or in the government thinking they can provide them with real security! Those same people are also usually the first ones to blame others:

“But…I didn’t know the market was going to turn like that”
“But…I thought my insurance covered things like this,”
“But…I didn’t know that social security wasn’t going to be enough to cover my bills.”
“But…I thought my company would take care of me…”

People say things like this to imply their mess isn’t their fault, they’re not where they want to be, and someone else should take the blame of their problems. No one is responsible to take care of you but YOU. That can be a frightening thought for some, but it is the truth.

Understanding this truth is the first step on the road to true financial freedom. You are the only one with the responsibility and the power to change anything in your life. How bad do you want to change? Are you willing to do what it takes? Are you willing to take personal responsibility?

Ask yourself :
* Do I sometimes put responsibility on others to take care of my problems? In what ways?

* Do I ever ignore my problems, hoping that they’ll somehow go away on their own?

* What’s the worst thing that could happen if I am responsible for my own life?

* What the best thing that could happen if I am responsible for my own life?

Three Plans for Your Financial Future

Here is a link to the article  CLICK HERE

or the direct link is: http://www.christianpf.com/how-to-plan-for-your-financial-future/