Guided by belief but not yet by practice: Study exposes gaps in FCI

Faith-based organisations show strong commitment to faith-consistent investing (FCI) but most have not yet fully integrated their values into their investment policies, says Catherine Devitt, who wrote the report with FaithInvest Executive Chair Dave Zellner

Faith-based organisations manage significant capital with the potential to shape markets and drive positive outcome – but much of this potential remains unrealised.

That is the central finding of FaithInvest’s new research publication, Good Intentions 2026, a landmark global study examining how faith-based organisations translate their beliefs into investment practice, and where significant gaps remain.

The findings reveal an evolving sector. While commitment to faith-consistent investing is growing, most organisations have yet to fully integrate their values into how capital is allocated, managed, and monitored.

A first-of-its-kind global benchmark

The report analyses 275 publicly available investment policies and guidelines – providing the most comprehensive, evidence-based assessment to date of how faith values are embedded in investment decision-making.

Report author Catherine Devitt

At the heart of the report is FaithInvest’s Faith-Consistent Investing (FCI) Framework, which evaluates how organisations articulate faith alignment across 10 core areas of investment policy – from foundational beliefs and screening approaches, through to governance, portfolio construction, and ongoing review.

Each organisation is scored out of 50, creating a consistent and comparable benchmark across traditions, geographies, and institutional types. By focusing on what is formally set out in investment policies and guidelines, the report provides a clear view of how faith commitments are translated into investment practice – and where they are not.

Progress – but a long way to go

The report highlights several important patterns shaping the current state of faith-based investing:

• Most organisations remain at an early stage: Nearly 90% of organisations scored below 30 out of 50, with none reaching the highest category, indicating that full alignment between faith and finance remains rare.

• Avoiding harm is more developed than creating good: Negative screening (excluding harmful sectors) is common, but far fewer organisations are actively directing capital toward positive social and environmental outcomes.

• Governance is relatively strong – but often disconnected from faith: Many institutions have robust oversight structures, yet these are not always explicitly linked to their faith commitments.

• A ‘missing middle’: The sector is characterised by a large group at early stages and a smaller group of more advanced practitioners, with relatively few organisations in a strong middle tier.

• Enabling architecture is needed: Organisations that perform more strongly benefit from established networks and support structures, while many others lack the infrastructure needed to operationalise faith-consistent investing – highlighting the need to strengthen the wider ecosystem of products, advice, and collaboration.

A call to move from intention to implementation

Dave Zellner

Commenting on the findings, FaithInvest Executive Chair Dave Zellner said: "Faith-consistent investing is often still understood in terms of what organisations avoid.

"The data shows that while exclusion policies are relatively well developed, there is much less clarity on what organisations are actively seeking to support, and how faith commitments are embedded in governance and decision-making.

"There is enormous untapped potential in faith-based investing. Realising it depends not only on organisational commitment, but on access to the right structures, expertise, and support – and too many still lack the architecture needed to translate intent into practice.

"Closing the gap between faith commitments and investment practice will require action from across the system – from trustees and investment committees to asset managers and advisors. This is not something any one actor can solve alone."

Guiding the next phase of FCI

Good Intentions 2026 is designed not only as an assessment, but as a practical tool for change. It enables faith-based organisations to:

• Understand where they currently stand

• Identify clear, practical areas for improvement

• Strengthen alignment between faith values and investment practice

It also provides important insights for the wider investment ecosystem – including asset managers, advisers, and service providers – highlighting where better products, advice, and support are needed to help faith investors achieve deeper alignment. You can download the full 104-page report here.

Online global launch: Wednesday May 6

The report was launched at the Faith in the Common Good international faith-consistent investment Forum in Paris, which convened faith leaders and investment decision-makers from around the world to explore how capital can be mobilised in service of people, planet, and the common good.

We are holding a global online launch on Wednesday May 6. See below for details and scroll down to register.

REGISTER

A collective effort to strengthen the field

The report was made possible through the support of leading organisations across the investment sector, including Lead Sponsor Federated Hermes Limited and supporting sponsors; CCLA; Concord Advisory Group, Oikocredit and Tribe Impact Capital.

FaithInvest extends its sincere thanks to all sponsors for their partnership in advancing understanding and practice in this rapidly evolving field.

Concord Advisory Group said:

"Concord Advisory Group has long supported the growth in faith-consistent investing and over the past 30 years we have partnered with our clients in building mission-oriented portfolios. As more institutions seek to align capital with their values, there is a growing need to implement sound investment practices and governance alongside those efforts. This report provides a framework for the constructive conversations required to achieve these faith-based objectives."

Oikocredit said:

"At a time when faith-based investors seek to align their capital more closely with their values, the Good Intentions report offers a timely and practical guide that helps move the conversation from aspiration to implementation. Oikocredit is rooted in Christian values and was founded to provide churches with a channel to create positive impact through their investments. We consider faith‑consistent investing as a vital bridge between belief, responsibility, and real‑world outcomes. By supporting this publication, Oikocredit reaffirms its commitment to strengthening investment approaches that place human dignity, solidarity, and the common good at the centre.

Tribe Impact Capital said:

"At a time when nearly nine in ten faith-based asset owners are still early in their journey toward fully faith-aligned investment frameworks, this report provides both timely guidance and a credible pathway forward. It brings real value to faith-based investors and the wider market by demonstrating how invested capital can be values-aligned – delivering financial returns while advancing meaningful social and environmental outcomes. Our support reflects a shared commitment to mobilising capital for impact and highlights the need for continued collaboration to strengthen and scale faith-consistent investing."