As Mennonites we want our financial investments to follow our beliefs.  We’ve done socially responsible investment through Everence and its Praxis Mutual Fund. Everence’s stated commitment to investing for environmental stewardship is important to us as we understand that the future of our planet is at stake.

We write as long-time supporters of Everence and as congregational representatives. We were very disappointed to learn last year that one of the trustees of the Praxis Fund is an officer in the Koch brothers company. The Koch companies have an appalling environmental record. Worse, the Koch brothers are among the primary funders of climate change denial and opposition to effective climate change policy. This is the moral equivalent of helping to sink a ship, and then as the passengers escape, shooting holes in the lifeboat. How can Praxis  invest responsibly to address climate change with a Koch company officer on its board?

In the Spirit of Matthew 18, we have raised this concern both with the individual involved and with Praxis; both failed to take meaningful action. On April 28, 2016, Praxis will ask its shareholders to reelect its Board. Since Everence and the Mennonite Foundation are Praxis’ largest shareholders, we urge all readers with connections with these institutions to ask them to vote their shares to remove from the Praxis board this Koch company officer. Any who have already sent in their proxy letter can contact Everence to revoke that request and direct them instead to vote their shares to remove the Koch company officer from the Praxis board.

It is essential that Everence and Praxis be able to pursue responsible environmental investment without any suggestion of a conflict of interest.

Ruth and Timothy Stoltzfus Jost

Response from Everence

At Everence, we share the passion and concern that the Josts and many of our shareholders have for creation care. Praxis Mutual Funds is actively engaged with important environmental challenges, and specifically, climate change.

When joining the Praxis Mutual Funds board, trustees must support its stewardship mission. However, the Everence board and staff oversee the stewardship investing direction for all investments.

The Praxis board has a critical but narrower fiduciary and oversight role. The trustees represent shareholders, ensure the fund complies with regulations and laws and give advisory input into its strategic direction. Praxis and its trustees are ultimately responsible to shareholders, who we encourage to vote in the upcoming trustee election.

We have been in conversation with Josts since last year about their concerns. While individual trustees do not have a material impact on our environmental policies, we took steps to address their interests and this situation, respecting all parties involved. Unfortunately, no common understanding was reached.

Our program is widely considered to be at the forefront of faith-based investor efforts to actively address both the risks and opportunities of our changing climate. In these endeavors, we seek to do all we can to represent passionate Praxis shareholders and other Everence investors.

Our stewardship investing work includes company screening, shareholder advocacy and positive investments. Learn more about our environmental activities at everence.com/praxis-inspiring-stories.

Chad M. Horning, CFA^®
Everence Chief Investment Officer

Praxis Mutual Funds are advised by Everence Capital Management and distributed through FINRA/SIPC member BHIL Distributors Inc. For a prospectus and information about the funds, visit everence.com/disclosure.

The views expressed do not necessarily represent the official positions of Mennonite Church USA, The Mennonite or the board for The Mennonite, Inc.