Praxis Takes Faith-Based ETF Investing Beyond U.S. Borders

Bringing Faith-Based Investing Beyond U.S. Borders

Faith-based investing has gained significant traction in recent years, but many investors have found international equity options limited compared with the growing range of U.S.-focused strategies. PRXI aims to address that gap by providing a dedicated international equity allocation built around the same stewardship principles used across Praxis's broader investment lineup.

"Faith-based investors have told us they want their values reflected across their whole portfolio, not only in their U.S. holdings," said Chad Horning, President of Praxis Funds. "With PRXI, advisors and their clients have a practical, values-aligned way to own international equities, and we're glad to help expand faith-based options in the ETF marketplace."

The launch reflects growing demand from investors seeking global diversification without compromising their ethical, social, or faith-based convictions.

How PRXI ETF Works

PRXI utilizes an optimized equity strategy similar to the approach employed by the firm's long-standing Praxis International Index Fund.

However, unlike that strategy, PRXI focuses exclusively on developed markets, excluding emerging-market exposure.

The portfolio construction process is designed to balance values-based investing with practical portfolio implementation.

Rather than attempting to perfectly replicate an index, the fund uses optimization techniques intended to minimize tracking error while maintaining risk and return characteristics similar to its benchmark.

This approach is supported by sub-adviser Vident Asset Management, whose portfolio managers bring extensive experience in optimized indexing and ETF portfolio management.

Stewardship Investing at the Core

A key differentiator for PRXI is the integration of Praxis's ImpactX framework, which extends beyond traditional screening methodologies.

The firm's stewardship investing philosophy seeks to balance financial objectives with broader considerations regarding the impact of investment decisions on individuals, communities, and the environment.

This includes a combination of portfolio screening, company engagement, and other stewardship-focused initiatives that have been central to Praxis's investment process for more than three decades.

According to Benjamin Bailey, Vice President of Investments at Praxis Investment Management, the goal is to deliver a strategy that meets both practical portfolio needs and values-based objectives.

"As with our other funds, we're building on over 30 years of experience in what makes faith-based investments really work for everyday investors," Bailey said. "Our stewardship investing philosophy emphasizes doing the most good we can while meeting investors' practical needs, such as portfolio fit and seeking to approximate the returns of a third-party index."

A Competitive Option in a Growing Category

With an expense ratio of 0.54%, PRXI enters the market as a competitively priced option within the international faith-based ETF segment.

The launch also complements Praxis's existing ETF lineup, giving advisors and investors additional flexibility when constructing diversified portfolios that incorporate both domestic and international equity exposure while maintaining consistency in values-based investment principles.

As demand continues to grow for investment solutions that combine financial objectives with personal convictions, PRXI represents another step in the evolution of faith-based ETF offerings, providing global equity exposure within a disciplined stewardship investing framework.

About Praxis Investment Management

Founded in 1994 and based in Goshen, Indiana, Praxis Investment Management specializes in faith-based investing solutions designed to help investors pursue financial goals while promoting positive social and environmental outcomes. A company of Everence Financial, Praxis offers ETFs, mutual funds, multi-fund portfolio solutions, and cash management products built around its stewardship investing philosophy, which seeks to balance financial responsibility with concern for the broader impact of investment decisions.

Please note this article is for information purposes only and does not in any way constitute investment advice. It is essential that you seek advice from a registered financial professional prior to making any investment decision.