New Covenant Balanced Growth Fund (NCBGX)

Overview

The fund serves as a composite investment vehicle, primarily allocating its resources across two distinct sub-funds, the New Covenant Growth Fund ("growth fund") and the New Covenant Income Fund ("income fund"). It employs a strategy that emphasizes flexibility in asset allocation, maintaining a majority investment in the growth fund, complemented by a significant though variable exposure to the income fund and, to a lesser extent, cash or cash equivalents. This approach allows the fund to adjust its position in response to market conditions and investment opportunities, with a spectrum of allocation between 45% to 75% of its net assets in the growth fund. The balance is thus allocated to the income fund or kept in cash or equivalents, positioning the fund to capitalize on both growth and income generation opportunities within the market.

Products and Services

The fund offers investment opportunities through two key products:

• New Covenant Growth Fund: This component of the fund's portfolio targets capital appreciation through investments in equities with high growth potential. Allocation towards the growth fund ranges between 45% to 75% of the fund's total net assets, with a neutral target allocation at around 60%. This fund is suited for investors seeking higher returns and who are willing to accept the associated higher level of risk.
• New Covenant Income Fund: Focused on generating income, this part of the fund's allocation invests in income-producing securities. The residual net assets of the fund, not allocated to the growth fund or maintained in cash or equivalents, are directed here. This fund aims to provide investors with a steady income stream, making it an attractive option for those prioritizing income or seeking a more conservative investment approach.