Religions to challenge the definition of “good”
investments
25 November 2002:
NEW YORK. An initiative by some of the world’s
major religions could help alter the standard
definition of a “good” investment.
At a unique meeting held in New York this week,
representatives of 22 major international
religious funds agreed to move towards creating an
organisation to mobilise a proportion of the
enormous financial resources of some of the major
faiths, in a way that is consistent with their
core values.
The meeting was organised by the Alliance of
Religions and Conservation (ARC) and co-sponsored
by Citigroup Private Bank, the Worldwide Fund for
Nature, the Pilkington Foundation in the UK and
the Mott Foundation in the US. It was advised by
groups such as State of the World Forum and Medley
Global.
In a presentation prepared for the meeting by
Citigroup it was estimated that just five of the
faith groups, together with their congregations,
had movable assets of at least $1.25 trillion.
While religious fund managers tend to avoid areas
that are in conflict with their members’ beliefs
(such as armaments, gambling and tobacco
companies) many have not experimented widely with
how they can use their financial capability to
affect other areas – possibly including housing,
renewable power, micro-lending and
water-management – through pro-active investment.
The realisation by the faiths that they constitute
a major section of the world economy underpins the
agreement to work towards creating a formal
structure that will enable them to alter and shape
the world economic market in a fundamental way and
in line with their ethical models.
It was not envisaged that all faiths or groups
within faiths would work together on every issue,
but that some faiths would join together to create
powerful investment coalitions in those particular
areas that were central to their value systems.
The faiths agreed a timetable of at least 18
months for assessing and implementing the
development of what is provisionally being called
the
International Interfaith Investment Group –
3iG.
“It has traditionally been difficult for religions
to talk openly about their financial dealings
because of the risk of people saying: do you serve
God or Mammon?” said secretary general of ARC,
Martin Palmer. “The aim of 3IG would be for the
religions to invest their funds and meet their
financial obligations in ways that not only bring
in good percentage returns but that are also
completely in line with their beliefs,” Mr Palmer
said.
ARC was formed in 1995, and now works with eleven
major faiths – Baha’is, Buddhists, Christians,
Daoists, Hindus, Jains, Jews, Muslims, Shintos,
Sikhs and Zoroastrians– on projects to protect the
environment and assist appropriate development.
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