Want to invest like a Catholic? The Vatican has a new stock index for that.
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Religion
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1 mins
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Business Insider
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William Edwards
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Vatican Bank announced indexes for both the European and US markets that align with Catholic teachings. Holdings include Meta, Nvidia, Amazon, and ASML.
- Vatican Bank has launched US and Eurozone Catholic stock indexes with Morningstar.
- The indexes align with Catholic values, the bank said.
- The US index includes Meta and Amazon, while the European version features ASML and Deutsche Telekom.
Looking for divine intervention to boost your stock portfolio? Two new stock indexes from the Vatican may not promise such miracles — but they will help you invest in accordance with Catholic values, Vatican Bank said on Tuesday.
In partnership with Morningstar Indexes, the bank announced indexes for both the European and US markets: the Morningstar IOR US Catholic Principles index and the Morningstar IOR Eurozone Catholic Principles index.
A statement from the bank said the indexes are "built following market best practices and in accordance with Catholic ethical criteria, and are designed to serve as a reference for Catholic investments worldwide."
The bank did not share its criteria for selecting stocks that align with Catholic Social Teaching, but all of the stocks in the indexes are pulled from the Morningstar US Large-Mid Index and the Morningstar Eurozone Large-Mid Index.
When backtested over the last decade, both portfolios, which contain 50 stocks each, have posted impressive gains. The US index has returned 18% per year on average over the last 10 years, while the European index has returned an average of 10.2%.
The largest 10 holdings for the US index include: Meta (5.31%), Amazon (5.22%), Nvidia (5.09%), Tesla (4.84%), Apple (4.62%), JPMorgan (4.27%), Broadcom (4.09%), Visa (3.35%), Micron (3.01%), and Alphabet (2.86%).
Top holdings for the European index include: ASML (6.16%), Deutsche Telekom (5.07%), SAP (3.96%), Banco Santander (3.88%), Hermes (3.82%), Banco Bilbao Vizcaya Argentaria (3.8%), Prosus (3.76%), Vinci (3.46%), UniCredit (3.45%), and Allianz (3.43%).
The Morningstar IOR US Catholic Principles index joins other faith-based investing strategies launched in recent years, like the Global X S&P 500 Christian Values ETF (CHRI) and the Inspire 100 ETF (BIBL).
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