Church doubles down on ethical investment advice 

Religious charitable development fund Uniting Financial Services (UFS) has chosen not-for-profit specialists JANA as investment consultants.

The firm will provide UFS with services including strategic advice, manager research, portfolio construction and environmental, social and governance (ESG) advice.

Established in 1987, JANA has more than $1.3 trillion in funds under advice and works with 35 not-for-profits ranging from foundations and endowments to government clients.

The firm has been rapidly growing its NFP footprint, adding four sector organisations to its roster of clients in the past 12 months.

Currently managing more than $1.7 billion in funds, UFS was established more than 90 years ago to provide lending and investment services to the Uniting Church in NSW and ACT.

Along with helping Uniting Church organisations to manage and grow their finances, as a not-for-profit, UFS also funnels proceeds from the $1.7 billion in funds under management back to the Church rather than as dividends to shareholders.

The UFS website states the organisation is guided by “beliefs driven investing” that is aligned with the Uniting Church’s mission and helping communities in need, as well as supporting church life and congregations.

“We believe responsible investing has a huge ripple effect across our communities and ecosystems and on the pace of government and corporate action.

“Our mission is to deliver financial leadership through disciplined ethical investment with a heart for the Church’s mission.

“Our activities are governed by ethical investment principles and the United Nation’s Sustainable Development Goals.”

JANA senior consultant and head of not-for-profits Michael Maher, said there was an opportunity to support more for-purpose organisations, foundations and universities, who could benefit from access to an independent, institutional investment consultant.

“We understand the diversity of the NFP sector and the unique requirements when it comes to investing, especially in the religious and charitable sector, whom often have unique ESG commitments,” said Mr Maher.

“This rings true for most NFP organisations whose investment strategies need to be deeply aligned to their mission and generate revenue streams that support them in their long-term success.”

UFS chief investment officer Edwin Lo, agreed.

“We believe the appointment of an asset consultant will help to deliver sustainable portfolio outcomes for clients over the long term, incorporating our fundamental investment and ethical beliefs.”

Mr Lo said the partnership would also help UFS to enhance its client engagement and product development programs.

“We are excited to work and collaborate with JANA, one of the leaders in this space in Australia and New Zealand,” he said.