Income inequality, often a natural phenomenon in a market economy, has become a divisive term. This is because it is almost impossible to separate the discussion of inequality from the topic of poverty.
Piketty’s book brought the discussion of inequality into more tangible terms. As a result, venues that may never have otherwise considered the effects of economic policy on poverty began publishing pieces about it. Even during my family vacation to the beach the summer after it came out, my in-laws returned from a church they visited with a magazine addressing these issues.
Unfortunately, many of these articles on income inequality, instead of focusing on the gift and potential of wealth, disparage those who have acquired it.
In one piece called “The Rich Get Richer,” the author quips, “To those to whom much has been given…much more will accrue.” This language is sensational, and it’s not unique.
Wealth and Exploitation
Before diving into a biblical and economic examination of wealth, it’s important to point out that some people do gain wealth by exploitative means.
James warns those who gain wealth through exploitation that their wealth cries out against them (James 5:1-6). Instead of laying up treasure in heaven, these greedy individuals lay up treasure in the last days through their destructive actions.
In an unfettered economic system, harmful, exploitative actions cannot be condoned. Profit is designed to reward value creation. If an entrepreneur did not know that by taking on risk he would be rewarded, why would he act on his innovative idea? How could he fund a new project? Ultimately, these projects benefit the community as a whole because the end result is a product that prices reveal to be valuable.
Sadly, not everyone seeks profit in this way. Some do become rich through exploitation. This is not to be confused with the market process. Such exploitation occurs through theft and often political exploitation.
But, this should not be the norm, and we, as Christians called by God to defend the weak and vulnerable, should not protect those who have unjustly gained.
Toward a Biblical View of Wealth Creation
Yet some wealth is gained through honest means. If the Bible condemned all wealth, what would we be doing to those who are rich?
In these discussions about inequality, a theme surfaces repeatedly. Often, a sense of shame is imposed on the rich, simply on account of their wealth. It’s easy to lash out at those in better circumstances when hard times loom, but whether this finger-pointing is due to jealousy or a sense of guilt, it is neither biblical nor economically sound.
As Hugh Whelchel quotes from Ken Eldred in a previous post, wealth is not only mentioned in scripture but thoroughly addressed:
Wealth is to be considered in all areas—physical, mental, material, and spiritual.
Wealth is from God—he is the source of all prosperity and blessing (Matt. 7:11; Deut. 8:8).
Wealth is to be managed—we are the stewards of the material possessions entrusted to us (1 Cor. 10:26; Matt. 25:14-30).
Wealth is to be used for God’s purposes (1 Tim. 6:17-18; 2 Cor. 9:11).
Wealth is to be enjoyed (1 Tim. 6:17).
Wealth is not our source of trust—God is (Luke 12:34).
As this list suggests, the attitude of the heart toward wealth is of greatest importance to God.
His family is made up of those who have submitted wholeheartedly to him. His choosing to bless one child with monetary wealth has no bearing on the merit of one over another. In God’s economy, grace is lavished, not measured, and all of his children will receive the ultimate, forever gift of fellowship with him in heaven.
As the discussion around inequality continues, let us check our own hearts before we critique those who have been blessed in ways different from us. We need to be advocates of wealth that is biblically sanctioned and economically viable. Above all, let us not impose shame on those who create wealth by honest means.
This article was originally published here.
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by Robert Netzly
Biblically responsible investing firm Inspire Investing came in at number 8 fastest growing firm out of the 683 registered investment advisory (RIA) firms listed in Financial Advisor Magazine’s annual report.
Inspire Investing, a global leader in the faith-based, biblically responsible investing (BRI) movement, ranked as the 8th fastest growing firm in Financial Advisor Magazine’s (FA) annual “RIA Ranking” report. This marks the third consecutive year that Inspire has been recognized in the RIA Ranking of fastest growing firms.
FA’s 2019 RIA Survey and Ranking report is an annual survey that ranks firms’ based on percentage growth in assets from the previous calendar year and is the premier industry ranking of independent RIA growth. Financial Advisor Magazine is a major publication targeted to financial professionals that aims to deliver essential market information and strategies to help advisors better serve their clients and grow their firms.
“To be listed three years running as one of the fastest growing firms in the nation is a testament to the momentum of the biblically responsible investing movement that is exploding across the globe. God is doing a mighty work in the financial industry, and it has only just begun,” said Robert Netzly, CEO of Inspire Investing.
Inspire Grows Assets Despite Market Pullback
Inspire Investing grew assets under management (AUM) by an astounding 92.43% in the 2018 calendar year. This dramatic increase is even more admirable given that stock markets around the world ended the year with losses. The US stock market as measured by the S&P 500 lost -4.83%, while global stocks tracked by the MSCI All Country World Index lost even more with a -9.41% decline.
“2018 was a difficult year for many investors, particularly in the sharp selloff of the fourth quarter. But despite poor performance of stocks around the world, we continued to see large inflows into our biblically responsible investing products. This is another proof of the strength of the BRI movement,” commented Netzly.
Inspire has continued to attract inflows in 2019, growing a sensational 113% during the first half of the year, bringing total Inspire AUM to $537M managed in their unique, biblically responsible investing approach to faith-based, environmental, social and governance (ESG) investing as of the end of June.
Inspire’s Data Driven Approach To Biblically Responsible Investing
At the center of Inspire’s approach to biblically responsible investing is their proprietary Inspire Impact Score methodology. Inspire Impact Scores allow investors to easily identify how aligned or how opposed a company (or portfolio of companies, like a mutual fund or ETF) is to biblical values.
Using a wealth of environmental, social and governance (ESG) data from some of the most respected data providers in the world, Inspire analyzes companies from the bottom-up with a rules based, methodology driven process through the lens of a biblical values worldview.
The result of this objective, data-focused process is an Inspire Impact Score that ranges from -100 to +100, with scores closest to +100 representing greater alignment with biblical values. Inspire invests in those companies closest to +100 and never invests in companies with scores lower than zero in any of their strategies.
“We believe that companies more closely aligned with biblical values represent higher quality investment opportunities, and the number of our strategies outperforming their benchmarks seems to be supportive of that thesis,” says Netzly.
Inspire recently released a free online tool at www.inspireinsight.com that allows investors to lookup the Inspire Impact Score of more than 25,000 stocks, mutual funds and ETFs to investigate the good, bad and ugly of what their portfolio is invested in from a values perspective, quickly and easily with a simple ticker symbol search.
Inspiring Transformation Around The World
Not only does Inspire Investing seek to invest in the most inspiring companies in the world, but they also aim to be one of the most inspiring companies in the world. As such, Inspire donates 50% or more of their corporate profits to Christian ministry every year. Most recently Inspire adopted a village in the coffee farming mountains of Guatemala and is working to provide a church building, clean water, improved education, a fully functional medical clinic, and child sponsorship to completely transform the lives of the those living in that impoverished village.
Learn more at inspireinvesting.com/impact
Image by Kai Pilger
With the help of faith friends from our gathering of Faith Driven Investors, we’ve begun drafting a set of Unifying Principles. Our hope is that we can begin to come together under these thoughts and ideas to work toward a more full vision of what it means to let our faith drive our investments.
If you have thoughts, questions, concerns, things you’d change or add, please let us know! We’re relying on you, our community, to make this resource the best it can be.
The simple truth is that where we create abundance, we decrease competition and increase cooperation. When we view resources as abundant as opposed to scarce, we create an environment where we can work together to do the most good.
Believers in Christ were created to work together to follow through on the work God has given them. Faith Driven Investors always looks at others as opportunities to help and serve—they view their lifelong endeavor as a communal one. The Faith Driven Investor knows that God does his work through the entire body of Christ, of which they are only a small part.
For this reason, proprietary work is not a priority. We seek collaboration instead of competition, with an abundance mentality as opposed to one of scarcity. Faith Driven Investors operate with the mindset that other believers can only help, and they attempt to do their work to the best of their ability and in fellowship with one another. But how?
While traditional micro and macroeconomic theory teaches us that we operate in an economy of scarcity based on limited resources, we worship a God that took five loaves and two fish and fed five thousand people. God’s economy is one of abundance. Therefore, one person’s economic gain or financial return doesn’t come at the expense of another.
An abundance mentality allows us to be open handed as we look to share investors and deal flow. Further, while many that subscribe to an economy of scarcity might believe that the addition of a bottom line to financial return will come at the expense of the other, we believe that great financial returns are possible not at the expense of Biblical values, but because of them
Using Scripture as Our Guide
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Psalm 36:8 They feast on the abundance of your house; you give them drink from your river of delights.
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Jeremiah 29:7 Also, seek the peace and prosperity of the city to which I have carried you into exile. Pray to the Lord for it, because if it prospers, you too will prosper.
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Luke 9 16-17 Taking the five loaves and the two fish and looking up to heaven, he gave thanks and broke them. Then he gave them to the disciples to distribute to the people. They all ate and were satisfied, and the disciples picked up twelve basketfuls of broken pieces that were left over.
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Acts 2:44-45 And all who believed were together and had all things in common. And they were selling their possessions and belongings and distributing the proceeds to all, as any had need.
This video was originally published here.
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No matter where we live or what our income is, we’re all familiar with feelings of loneliness. And for all of us, God is inviting us to step out of our isolation into relationships, into His family the Church.
Discover the power of Christ-centered community to fight poverty and call us out of isolation into flourishing.
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We can’t think of a better place to start the Faith Driven Investor Podcast than with the great story of Apartment Life, led by Pete Kelly. Since 2000, Pete and his team have helped apartment owners care for residents by connecting them in relationships, which pays incredible dividends for everyone. Listen in to hear how Apartment Life delivers a great return and an even greater impact. We think the work they are doing has the potential to revolutionize the way businesses interact with real estate across the world, and we think you’ll be glad you heard about it now!
When we first learned about Apartment Life it sounded too good to be true. The work they do in apartment complexes improves their overall financial performance, grows their online reputation, and strengthens their resident retention rates. With benefits like these, it’s no surprise that they’re taking off, now serving over 3 million residents from coast to coast. In this episode, Pete Kelly explains just how they do it.
We believe this podcast is especially valuable to you for two reasons. One, you get to hear about an incredible business venture in Apartment Life. There’s no doubt you’ll be hearing more about them in the future, and we’re glad we get to share about them early on in this podcast. And two, you get to hear the heart behind the business. Pete Kelly is one of those business leaders who puts his heart into what he’s doing, and it shows in this interview.
We’re excited for you to hear about Apartment Life and the potential they have in the real estate market. But even more so, this podcast gives you the opportunity to hear from a business leader about how his values affect his business and how everything he does serves other people. Tune in and enjoy!
Useful Links:
Apartment Life
Best Resources for Real Estate Investors
Interview with Pete Kelly
Neighborliness on Faith Driven Investor
