Pax World Funds: Investing in Social Activism and Sustainability

Pax World Funds is a pioneer in socially responsible investing, founded in 1971 as Pax Portfolios.

The funds focus on creating positive change through investments that promote environmental sustainability and social justice.

Pax World Funds has a long history of advocating for social and environmental causes, with a strong commitment to shareholder activism.

Their investment approach is guided by a set of core values that prioritize long-term sustainability and social responsibility.

The funds have a proven track record of outperforming their peers in terms of financial returns.

For more insights, see: Calvert Social Index

Pax World Funds was founded in 1971 by anti-Vietnam War United Methodist ministers.

The firm has undergone several name and ownership changes, and is currently managed by Impax Asset Management Group.

Pax World Funds is a socially and environmentally left-of-center investment group that focuses on investing in companies that match its values.

Pax World Funds offers a range of investment options that align with its socially and environmentally responsible values.

The group has 11 funds advised by Impax Asset Management LLC and distributed by ALPS Distributors, Inc.

These funds are designed to track various indices and focus on green economy and social governance issues.

The Pax World Funds range includes the Pax Ellevate Global Women's Leadership Fund, which attempts to track the Impax Global Women's Leadership Index.

This index is the first broad-market index of companies promoting or working to advance women's leadership.

The Pax Sustainable Allocation Fund, previously known as the Pax World Balanced Fund, invests 50% to 70% of its assets in equities and 30% to 50% in debt.

The fund's main goal is to seek income and conserve principal, with a secondary goal of long-term growth of wealth.

The Pax Ellevate Global Women's Index Fund tracks the returns of the Global Women’s Leadership Index and the risk profile of the Women’s Index.

It invests at least 80% of its assets in the securities of the Women’s Index and in American, Global, and Euro Depositary Receipts.

Pax World Funds has undergone several name and ownership changes since its founding in 1971 by anti-Vietnam War United Methodist ministers.

In 2008, the firm paid a $500,000 penalty to the Securities and Exchange Commission for investing in companies that transgressed its stated social responsibility guidelines.

The funds are managed with an eye toward the risks and rewards brought by a move to a green economy and concern for modern social and governance issues.

Related reading: MSCI KLD 400 Social Index

The Pax U.S. Sustainable Economy Fund uses a "smart beta" investment plan that considers both ESG and financial factors, giving more weight to large-cap firms with high quality and high ESG scores.

This fund looks for long-term wealth growth by focusing on firms with a high level of quality, high ESG scores, and low risk. It gives more weight to firms with high profits and low risk.

The fund invests in firms with a high level of quality, high ESG scores, and low risk, which can help reduce the risk of losses and increase the potential for long-term growth.

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Pax World Funds offers a range of investment strategies that align with your values and goals. They have a commitment to sustainability and social responsibility, which is reflected in their investment approach.

With a focus on long-term growth, Pax World Funds invests in a diversified portfolio of stocks, bonds, and other securities. This approach helps to minimize risk and maximize returns over time.

Their investment strategies also incorporate environmental, social, and governance (ESG) factors to ensure that your investments are making a positive impact. This includes considering factors such as carbon emissions, labor practices, and corporate governance.

On a similar theme: Fund Governance

Pax World Funds is a great example of investments in social activism, with a total of $1.825 billion in assets as of September 30, 2019.

Its funds are geographically, internationally, and industry-diverse, with seven different fund types, including two that focus on social activism categories: gender and environment.

The Women's Equality Fund invests in companies that support left-of-center positions on gender equity, launched in 2007 and receiving awards from like-minded organizations.

A different take: Social Investing

Pax has engaged in non-investment activism to promote its view of gender equity, including public policy activism and advocacy on corporate policies.

It regularly issues reports and white papers on its areas of activism, such as gender pay equity and female representation in corporate leadership.

Pax has pressured companies like Oracle into examining their internal pay structures and opposes all-male boards, requiring at least two women on boards of companies.

Its top investments in the Gender Equity fund are in Microsoft, Texas Instruments, and Best Buy, and in the Global Environmental fund, it's invested in Linde PLC, a multi-billion dollar gas and engineering company.

Pax's non-investment activism includes partnerships with like-minded organizations and its non-profit arm, Pax World Management Charitable Fund, which donates to apolitical and advocacy-related organizations and causes.

The Pax U.S. Sustainable Economy Fund uses a "smart beta" investment plan that gives weight to large-cap firms with high ESG scores and profits, coupled with low risk.

Additional reading: Top 10 Fund Administration Companies in the World

Sustainable Allocation is all about balancing your investments to achieve both financial and social goals. The Pax Sustainable Allocation Fund, for example, aims to seek income and conserve principal while also focusing on long-term growth of wealth.

This fund keeps 50% to 70% of its assets in equities and 30% to 50% in debt, providing a stable foundation for investors.

By considering both financial and social standards, sustainable allocation can help investors align their values with their investments.

Intriguing read: Asset Allocation Fund

Large Cap investment strategies focus on established companies with a proven track record. These companies are typically leaders in their industries and have a strong market presence.

Pax World Mutual Funds, such as the Pax Large Cap Fund, invest at least 80% of their net assets in large-cap firms. This means they focus on companies with a high market capitalization.

Large-cap funds don't stick to one type of asset, so their holdings may include growth stocks, value stocks, or both. This approach allows them to adapt to changing market conditions.

Intriguing read: Asset Management Firm Definition

Pax World Funds avoid investing in firms with unsustainable business practices. This approach ensures that your investments align with your values and contribute to a more sustainable economy.

By investing in large-cap firms, you can benefit from their established market presence and strong financials. This can lead to long-term growth and stability in your investments.

Intriguing read: Sri Sustainable Responsible Investing

Investing in global sustainable infrastructure can be a smart move for those looking to grow their wealth while making a positive impact on the environment.

The Pax Global Sustainable Infrastructure Fund aims to achieve income and wealth growth, with a focus on large-cap domestic firms that have high ESG scores and pay dividends.

This fund invests at least 80% of its net assets in dividend-paying equities, with a focus on firms that will profit from the transition to a green economy.

The fund manager believes that these firms will benefit from the shift to a greener global economy, making them a good investment opportunity.

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By investing in the Pax Global Sustainable Infrastructure Fund, you'll be supporting companies that are working to reduce their environmental impact and capitalize on the growing demand for sustainable products and services.

The Pax Global Environmental Markets Fund takes a similar approach, investing 80% of its net assets in firms focused on improving the environment through alternative energy, energy efficiency, pollution control, and waste management.

This fund invests in both domestic and emerging markets, providing a diverse range of investment opportunities.

By tracking the MSCI EAFE Index, the Pax International Sustainable Economy Fund provides a low-cost and diversified investment option for those looking to invest in global sustainable infrastructure.

Recommended read: Sustainable Finance

Pax World Funds have a strong track record of performance, with some years exceeding expectations. Their Total Return Ranking for 2024 placed them 88.38% in their category, a respectable showing.

Their 2024 return of 7.5% was significantly better than the category low of -0.9%. This indicates that Pax World Funds are able to navigate market fluctuations effectively.

One notable year was 2022, when their return of -16.5% was actually the second-best in their category, ahead of the high of -29.0%. This shows that even in tough market conditions, Pax World Funds can perform relatively well.

Here's a breakdown of Pax World Funds' performance metrics over the past few years:

Their 2023 return of 13.2% was a significant improvement over the category low of -12.2%, and their rank of 55.47% was a respectable showing.

The Pax World Funds have a range of fees associated with their operations.

The total expense ratio for Pax World Funds is 0.92%, which ranks in the 56.18% percentile of its category.

The management fee for Pax World Funds is 0.05%, which is relatively low at 21.88% of the category average.

Here's a breakdown of the operational fees for Pax World Funds:

Distributions are made semi-annually, with the most recent capital gain distribution being $0.044 on December 27, 2024.

Operational fees can be a significant drag on your investment returns. A 0.92% expense ratio is a common fee structure for many investment products.

Let's break down the different components of this fee. The management fee comes in at 0.05%, which is relatively low compared to the category average of 1.83%.

The 12b-1 fee, on the other hand, is a bit higher, at 0.25%. This fee is used to cover marketing and distribution expenses.

Here's a summary of the operational fees:

These fees can add up quickly, so it's essential to understand what you're paying for and why.

Distributions are a crucial aspect of investing, and it's essential to understand how they work. You can receive distributions in the form of capital gains, dividends, or a combination of both.

The frequency of distributions varies, with some funds distributing semi-annually, while others distribute annually. In the case of this investment, you can expect semi-annual capital gain distributions.

The amount of distributions can also vary, with some years seeing higher payouts than others. For example, in 2024, the total distribution was $0.544, consisting of a short-term capital gain of $0.044, a long-term capital gain of $0.410, and an ordinary dividend of $0.09.

Here's a breakdown of the distribution types and their corresponding amounts over the past few years:

The distribution types and amounts can also be influenced by the fund's performance and the tax laws in place. It's essential to stay informed and adjust your investment strategy accordingly.

Pax World Funds offer a range of investment options to suit different needs and goals.

The Pax Global Environmental Markets Fund invests 80% of its net assets in firms focused on improving the environment through alternative energy, energy efficiency, pollution control, and waste management.

You can start investing with as little as $1,000, and the funds are generally no-load, meaning you won't have to pay any fees to invest.

All of the Pax World Funds have environmental, social, and governance (ESG) factors along with financial factors in their approach, aiming to lower the risks of ESG investing and make the most of the rewards.

Small Cap investments aim to provide long-term growth by focusing on companies that are relatively unknown and untested.

The Pax Small Cap Fund, for instance, invests in firms that fall within the range of the Russell 2000 Index.

This fund places at least 80% of its net assets into common stocks, preferred stocks, and assets that convert into these types of stocks, including growth and value stocks.

These investments often come with higher risks, but also potentially higher rewards.

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The Impax Large Cap Fund, Class Institutional, holds a significant 41.09% of the portfolio. This is a substantial allocation, indicating the fund's focus on large-cap stocks.

The Impax Core Bond Fund, Class Institutional, accounts for 33.32% of the portfolio, making it the second-largest holding. This suggests a strong emphasis on fixed income investments.

Here are the top 10 holdings in the portfolio, ranked by percentage:

High-yield bonds, also known as junk bonds, are a type of investment that can provide higher current income.

At least 80% of the assets in a high-yield bond fund are typically invested in these types of bonds, which are rated below BBB- by Standard & Poor’s Ratings Group or below Baa3 by Moody’s.

These bonds are considered riskier than investment-grade bonds, but they can also offer higher returns.

High-yield bond funds often have environmental and social screens, such as excluding companies that profit from fossil fuels.

The Pax High-Yield Bond Fund, for example, is expected to keep no holdings of companies that engage in fossil fuel-related activities.

Investing in high-yield bonds involves risk, including the possible loss of principal, and past performance is not indicative of future results.

For your interest: Bond Fund

The Pax Ellevate Global Women's Index Fund is a great option for those who want to invest in companies that support gender equality. It's set up to track the returns of the Global Women's Leadership Index.

This fund uses an approach that weighs gender and leadership values, which is a key aspect of Pax's mission. It invests at least 80% of all assets in the securities of the Women's Index and in American, Global, and Euro Depositary Receipts that comprise the stocks and bonds of the index.

Pax's non-profit arm, Pax World Management Charitable Fund, also supports organizations that promote gender equality, demonstrating the company's commitment to this cause.

There are a variety of mutual funds to choose from, each with its own unique traits.

Pax World Funds, for instance, offers 11 different funds that cater to a diverse group of investors.

The NAICS code for investments can be a bit tricky to figure out, but it's essential for categorizing and tracking investments.

Pax World Investments has a NAICS code of 5259, which is a specific classification for investment companies.

Other companies may have different NAICS codes, but for Pax World Investments, it's 5259, 52, 525, and 523.

The SIC code is a crucial piece of information for investors. The SIC code for Pax World Investments is 67 and 672.

For those new to investing, understanding SIC codes can seem daunting. But in reality, they're a straightforward way to categorize businesses and investments.

The SIC code for Pax World Investments is a prime example of this. It helps investors quickly identify the type of business or investment they're dealing with.

If you're looking to invest in a company with a specific SIC code, make sure to research the code thoroughly. This will give you a better understanding of the company's operations and goals.

Pax World Investments' SIC codes of 67 and 672 can be a good starting point for your research.

Pax World Funds are a great option for investors who want to align their investments with their values. They offer a range of mutual funds that focus on socially responsible investing.

The Pax World Funds' investment philosophy prioritizes long-term returns while considering environmental, social, and governance (ESG) factors. This approach aims to minimize negative impacts and maximize positive outcomes.

Pax World Funds have a long history of innovation, launching their first socially responsible mutual fund in 1971. This pioneering spirit has led to the creation of a wide range of ESG-focused funds that cater to different investor needs.

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Pax's leadership is comprised of individuals with a strong background in socially conscious investing. The company's founders, Elliott Corbett and Dr. Luther Tyson, were both United Methodist ministers who founded the company in 1971.

Joseph Keefe, Pax's longtime CEO, has received accolades for his work promoting left-leaning priorities, particularly in women's pay and female corporate leadership. He's a former New Hampshire Democratic Party chairman and a longtime activist.

Alicia DuBois, Pax's Chief Financial Officer, joined the company in 2006 after a career in financial investing. Her experience brings a unique perspective to the company's financial decisions.

Steve Falci, Pax's Chief Investment Officer, has a background in socially activist investing, which he developed at Calvert Investment Group and Pax.

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Mutual funds are a type of investment vehicle that pools money from many investors to invest in a variety of assets.

They are advised by experienced firms, such as Impax Asset Management LLC, which has a focus on sustainable investment.

Pax World Funds, for example, is a group of 11 funds managed with an eye toward the risks and rewards of a green economy.

The Pax Ellevate Global Women's Leadership Fund is a mutual fund that tracks the Impax Global Women's Leadership Index, which is the first broad-market index of its kind.

This fund attempts to invest in companies that promote or advance women's leadership.

Mutual funds work by considering both financial and environmental, social, and governance (ESG) factors in their investment approach.

The Pax World Mutual Funds group, for example, has been investing with sustainability issues in mind since 1971, when they launched the first public fund in the U.S. to do so.

They aim to lower the risks of ESG investing and make the most of the rewards to get the best medium- to long-term returns.

Pax World Funds offer investor and institutional share classes, with some funds offering Class-A shares.

The funds are generally no-load, meaning you won't have to pay a fee to invest, and you can begin investing with as little as $1,000.

Their approach to building portfolios and managing funds is focused on creating risk-adjusted returns that benefit both people and the environment.

Pax World Funds has a long history of socially responsible investing, with a focus on environmental and social issues. Founded in 1971, the company was one of the first to offer a socially responsible mutual fund.

Pax World Funds has a strong commitment to sustainability, with a goal of achieving net-zero carbon emissions by 2050. The company has made significant progress in reducing its carbon footprint, with a 25% reduction in emissions since 2015.

The funds' investment strategies are guided by a set of core values, including a focus on long-term growth and a commitment to environmental and social responsibility. This approach has helped the funds to achieve strong returns, with some funds outperforming their benchmarks.

In a Concentration Analysis, we're looking at how a fund's assets are concentrated in its top holdings. This is important because it can affect the overall performance of the fund.

The fund in question has a significant concentration of assets in its top 10 holdings, with 99.92% of its net assets invested there. This is a high degree of concentration, indicating that the fund's performance is heavily reliant on these top holdings.

For more insights, see: Fidelity Contrafund Top 10 Holdings

A comparison to the fund's category average shows that its concentration is actually quite low, with only 10.8% of its net assets invested in its top 10 holdings. This suggests that the fund is more diversified than its peers.

Here's a breakdown of the fund's concentration in its top 10 holdings:

This concentration analysis highlights the importance of understanding a fund's investment strategy and how it affects its overall performance.

Dividend Yield Analysis is a crucial aspect of evaluating a stock's potential. The PAXWX has a dividend yield of 1.72%.

This dividend yield is relatively low compared to other stocks in its category. Category Low is 0.00% and Category High is 17.90%.

The PAXWX ranks 23.49% in terms of dividend yield compared to other stocks in its category. This indicates that the PAXWX has a below-average dividend yield.

Here's a comparison of the PAXWX's dividend yield to its category:

This comparison shows that the PAXWX has a significantly lower dividend yield than the Category High, but still higher than the Category Low.

Pax World Funds have a history of delivering strong returns, with their flagship fund, Pax World Balanced Fund, returning 7.5% over the past five years.

One of the key benefits of Pax World Funds is their commitment to ESG investing, which has helped them identify and mitigate potential risks in their portfolios.

Their ESG approach has led to outperformance in certain sectors, such as clean energy, where they've invested in companies like Vestas Wind Systems, which has seen significant growth.

Pax World Funds also have a low expense ratio, with an average expense ratio of 0.74%, which can help investors save money over time.

Their focus on long-term sustainability has allowed them to avoid some of the pitfalls of short-term market fluctuations, resulting in more stable returns for investors.

Their ESG criteria have also helped them avoid companies with poor environmental and social records, such as those involved in deforestation and human rights abuses.