SPOTLIGHT
Penn State Aftermath: Time to Review Fiduciary Responsibility
By David S. Bell
The recent events involving the abrupt dismissal of two Penn State leaders – Joe Paterno, the iconic head football coach, and Graham Spanier, the seasoned university president – should cause most non-profit leaders to review their own practices. Even as I write, I am certain that more news will be forthcoming from State College, Pennsylvania. I am not focusing on the particulars of the allegations that led to the sequence of successive events. However, I do note the uncanny connection between a few PowerPoint slides that I routinely discuss in a pastoral leadership seminar and the apparent unraveling of Penn State’s leaders. read more
Fund management, investments, and stewardship services to help individuals, churches, and other United Methodist ministries.
Socially Responsible Investments
The United Methodist Foundation of Michigan is committed to demonstrating the values of The United Methodist Church in our investments. The funds we offer seek to limit investment in companies that produce products or engage in activities inconsistent with the principles of The United Methodist Church. We seek to exclude investments in the following:
Alcohol exclusion: Companies that generate revenue from alcoholic beverage-related business activities equal to or greater than 10% of recent year revenues (generally three years).
Tobacco exclusion: Companies that manufacture tobacco products.
Firearms exclusion: Companies that manufacture firearms or related ammunition products for non-military markets.
Gambling exclusion: Companies that generate revenue from gaming-related business activities (including casinos, racetrack owners or operators and gaming equipment suppliers) equal to or greater than 10% of recent year revenues (generally three years).
Pornography Exclusion: Investments shall not knowingly be made in any company receiving revenues from the production, sale, or distribution of products or services that are considered pornographic or meet the legal definition of "obscene" or "harmful" to minors.
Major military contractors exclusion:
- Department of Defense Contracting - Top 25 publicly traded companies ranked by the amount of revenue generated as a prime contractor on contracts of any type with the United States Department of Defense.
- Weapons-Related Department of Defense Contracting - Companies that generate revenue from contracts with the United States Department of Defense for conventional or nuclear weapons (including armaments and delivery platforms but not support systems) equal to or greater than 20% of recent year revenues (generally three years).
Environmental exclusion: Top 25 companies in the S&P 1500 Composite Index ranked by their environmental impact taking into consideration the following equally-weighted categories - superfund sites, toxic emissions, oil and chemical spills, and fines.
The Foundation and the Investment Advisor, with respect to the portfolios we each manage, consider these restrictions at the time an investment is made and periodically thereafter. Accordingly, at any given time, the Funds may be invested in one or more securities that do not meet the above criteria. Upon a determination that an investment no longer meets these United Methodist principles, the security will be sold, unless the Foundation determines that continuing to hold the security would be in the best interests of the participants in the applicable Fund.
©2006-2012 The United Methodist Foundation of Michigan. All Rights Reserved This website does not attempt to make specific legal or tax advice. For advice on how to handle your individual situation, the services of a competent legal, tax, or financial planning professional should be obtained.