Introduction to Values-Based Investing

What is values-based investing?

Everyone has values

What do you value?

We align our values with almost every area of our lives—how we raise our children, how we vote, the charitable causes we support. What if we could do the same with our investments?

Family Health & Wellbeing

Personal Faith Community Sustainability Loving Your Neighbor

Environmental Stewardship

Our values should drive our investing

What do values have to do with investing?

When most people think about investing, they think about the returns, their financial goals, and the risks involved. In reality, investing is company ownership, which magnifies our need to apply our values.

Investing is ownership An investor supplies capital to a company and, in exchange, receives ownership in that company along with rights to any profits and growth. Ownership gives the investor both ethical responsibility for the activities of the company and a positive opportunity to shape the world.

Supply Capital Investment capital can help a company grow Positive Opportunity To shape the world through products and practices

Rights to Profits and Growth Dividends, Stock appreciation Ethical Responsibility For the activities of the business

Our values make a difference when we invest

How do values apply to my investments?

Values-based investors may begin by asking “What kind of companies do I want to own?”—which can lead them to consider three aspects of company ownership:

Avoid

Choose not to own companies that do not align with your values.

Products or practices that exploit my neighbor (e.g., alcohol, tobacco, pornography, corporate discrimination) Products or practices that do not value the life of my neighbor (e.g., abortion, weaponry, poor environmental stewardship)

Embrace

Seek to own companies that align with your values.

Products or practices that serve my neighbor (e.g., fair employment practices, home ownership & housing, cybersecurity) Products or practices that value the life of my neighbor (e.g., life saving medical research, clean energy, clean water technology)

Engage

Engage with companies to advocate for positive change.

History has shown that when networks of investors band together, they can encourage companies toward positive behaviors and sustainability.

Asset managers engage with companies on behalf of investors.

For further information: EVENTIDEINVESTMENTS.COM

This communication is provided for informational purposes only and expresses views of Eventide Asset Management, LLC (“Eventide”), an investment adviser. There is no guarantee that any investment strategy will achieve its objectives, generate profits, or avoid losses.

Eventide’s values-based approach to investing may not produce desired results and could result in underperformance compared with other investments. Any reference to Eventide’s Business 360® approach is provided for illustrative purposes only and indicates a general framework of guiding principles that inform Eventide’s overall research process. Investing involves risk including the possible loss of principal. Past performance does not guarantee future results.