RELIGIOUS SOCIALLY RESPONSIBLE MUTUAL FUNDS

4 WK Yr to Date 1 Yr 3 Yr 5 Yr
Symbol
Conservative
Christian NOAHX -9.50% -21.90% -47.30% -1.00% N/S
TPLNX -9.00% 8.30% 7.90% 5.00% 9.70%
Mennonite MMPAX -3.60% -7.30% -10.40% N/S N/S
Catholic AQEGX -8.00% -16.90% -20.60% 4.50% 13.40%
Islamic AMAGX -7.80% -17.90% -33.10% 15.00% 15.00%

I HAVE LEARNED THAT INVESTING IN THE STOCK MARKET COULD BE VERY COSTLY IF

YOU MAKE THE WRONG CHOICES. THESE FUNDS, WITH THE EXCEPTION OF TPLNX, HAVE

BEEN LOSING EARNINGS ALONG WITH THE DOW, S&P 500, AND THE NASDAQ. I THINK

THAT IN ORDER TO BE A GOOD STEWART OF YOUR MONEY YOU NEED TO INVEST IN

FUNDS THAT ARE GOING TO EARN YOU A PROFIT. IF YOU ARE CONCERNED ABOUT YOUR

CAUSES, MAKE INVESTMENTS IN COMPANIES THAT ARE AT LEAST 65% FRIENDLY TO

YOUR CAUSES AND VALUES, THEN GIVE TO CHARITIES THAT ARE CLOSE TO 100%

FRIENDLY TO THOSE CAUSES AND VALUES. EVEN IF THE SOCIALLY RESPONSIBLE FUNDS

SHARE YOUR SAME VALUES, THE COMPANIES THEY INVEST IN CAN NOT SHARE ALL

THOSE VALUES TO THE DEGREE YOU DESIRE. THE REASON TO INVEST IS TO HAVE

ENOUGH MONEY TO PROVIDE FOR THE FUTURE WITHOUT HAVING TO PUT A BURDEN ON

OTHER PEOPLE TO SUPPORT YOU, WHICH MAY BE WORSE THAN INVESTING IN

UNFRIENDLY COMPANIES.

I WOULD TAKE A LOOK AT THE PERFORMANCE OF SOCIALLY RESPONSIBLE MUTUAL

FUNDS BUT MY DECISION TO INVEST WOULD FOR THE MOST PART DEPEND ON THE

BOTTOM LINE AS LONG AS THE COMPANY DID NOT PRODUCED A PRODUCT OR SERVICE

THAT WAS AGAINST MY CORE VALUES.

How Do Socially Responsible Funds Stack Up?
by Emily Hall and Jon Hale | Socially responsible investing (SRI) has always had to fight
the perception that it may be better for your soul than for your bottom line. Most investment
professionals will agree in principle that adding social criteria on top of the things that
investors normally consider when selecting stocks--company fundamentals and stock
valuation--restricts one's investable universe in ways that are unlikely to improve returns.

If, for example, you started out with a universe of 100 stocks, and your social screens
disqualified 20 of them, you'd have only 80 choices available to try to outperform the market
and other active investors who have the entire 100 stocks at their disposal. The conventional
wisdom might be different if social criteria effectively screened out the worst-performing
stocks, but a lack of social graces is not necessarily an impediment to a company's stock price.
Academics studying the link between commonly used social criteria and stock performance
haven't found a clear-cut relationship, positive or negative.

Two years ago, when we took a look at the universe of socially conscious mutual funds, not a
single SRI fund merited a 5-star rating.

A lot can change in two years.

Today, 21% of the SRI funds in our database that have the necessary three-year record sport a
5-star rating. That's twice the rate of the overall fund universe. Moreover, only 19% of SRI
funds find themselves in 2-star or 1-star territory, while a third of the overall fund universe
rates that low.

SRI funds stack up even better when they are compared to their specific Morningstar
categories. One quarter of these funds currently sport a top category rating of 5, and half have
category ratings of 4 or 5.

The smaller group of SRI funds that have a five-year record (35 in all) is less impressive,
though still acceptable. A total of 19 have outperformed their category peers over the trailing
five years while 16 underperformed.

That doesn't mean social screens add value, but it's hard to make the case that they subtract it.

What happened? Have SRI funds discovered some magic formula for investing that didn't
exist before? Not really. Few, if any, funds have made notable changes in their screening
practices over the past couple of years.

But screening certainly has something to do with SRI funds' recent performance. Screening
out tobacco companies and nuclear power utilities has kept the funds away from some of the
market's worst performers over the past few years. Avoiding these and other firms with poor
environmental records leaves the typical SRI domestic-equity fund underweighted in value
stocks and overweighted in growth stocks. Indeed, in the SRI arena growth funds outnumber
value funds 14 to 5. Most SRI domestic-equity funds are also large-cap offerings.

That proved to be a potent combination in 1997 and 1998 when large-growth stocks fueled the
stock market's rise. Of the 14 funds that came of age between October 1997 (the date of our
earlier study) and August 1999, eight had significant exposure to large-growth stocks and
seven of those funds garnered 5-star ratings. Two older funds improved to five stars for the
same reason.

That's not the entire explanation, though. The large-growth tilt helps explain SRI funds'
improved star ratings, but not their improved category ratings. Lots of large-blend and large-
growth funds sport 5-star ratings because they are being favorably compared with smaller-cap
offerings, but SRI funds still do well when we compare apples to apples (i.e., compare funds
in the same style-box-based Morningstar category).

Some of this success owes to the impact of two socially screened indexes, which together are
tracked by six of the top-rated funds. The Domini Social index and the Citizens index have
prospered for the same basic reason that the S&P 500 index has over the past couple of years:
The stocks at the top of these capitalization-weighted indexes were those that led the market's
rise.

Domini Social Equity DSEFX and its institutional fund both have category ratings of 5, as do
two other funds based on the Domini Social index--Green Century Equity GCEQX and
Devcap Shared Return DESRX. Both share classes of Citizens Index Fund WAIDX have
recently passed their third anniversaries and now sport top category marks. In all, about half
of SRI funds that have category ratings of 5 are indexed offerings.

Even accounting for the index effect and the large-growth bias, though, SRI funds remain
skewed toward the top of the category ratings. If we throw out the large-growth and large-
blend offerings, half of the remaining SRI funds have category ratings of 4 or 5 (multiple
share classes excluded). SRI offerings boast top category ratings in seven different categories.

With that many top performers in the SRI-fund stable, it's a relatively easy task for social
investors to pick out a good fund or two. But is it possible for social investors to build a well-
diversified portfolio consisting solely of socially screened funds? It's one thing to show
concern about social issues by dropping a few bucks in a single fund, but quite another to put
an entire nest egg into social funds.

How do Socially Responsible Funds Stack Up? | continued

For those committed to the concept, we think a broad portfolio can be built--
but just barely, and only for a certain type of social investor. For one thing, few
socially screened funds have really proven themselves over long time periods.
Of the nine funds with 10-year records, only Dreyfus Third Century DRTHX
(large-growth) and Pax World PAXWX (domestic hybrid) have 4- or 5-star
ratings. For another, there aren't a lot of choices in many investment
categories, particularly fixed-income, international, and value-oriented
domestic equity. Socially screened funds can also be expensive. The typical
SRI fund charges 15% more than its average category peer. Apparently, many
SRI funds' sense of social responsibility doesn't extend to how much they
charge their shareholders.

And last, but certainly not least, SRI funds do not all follow the same social
investment policies. Social funds don't all use exactly the same screens, don't
all engage in the same level of shareholder activism, and don't all aim to have a
high social impact. Moreover, the term "socially responsible" encompasses two
groups of funds: religious and non-religious.

Religious offerings such as Amana Growth AMAGX (an Islamic fund) and
Timothy Plan TIMBX (a conservative Christian fund) screen out stocks that
violate particular religious tenets, and such screens vary considerably from
fund family to fund family. Many nonreligious funds, on the other hand, share
similar screens (although they are not the same by any means). Offerings such
as Domini Social Equity and Calvert Social Investment Fund Balanced CSIFX
search for companies with strong records on environmental, diversity, and
workplace issues. These same funds also tend to exclude alcohol, tobacco, and
weapons makers and many also reject nuclear power companies.

With these caveats in mind, though, it is possible to select a quality portfolio of

nonreligious SRI funds. (The same is not true of the religious funds. While
there are a number of religious funds available--and some have good track
records--there isn't a broad enough array to assemble a diversified portfolio of
funds that adequately accommodates a particular religious persuasion.) We
make one effort below, by highlighting some of the better secular SRI
offerings in each asset class--domestic equity, international equity, and fixed-
income.

Large Cap
Domini Social Equity is a passively managed fund that tracks the Domini
Social index. All stocks in the index have passed a series of positive and
negative screens, and the final result is a list of 400 companies--approximately
250 from the S&P 500 and another 150 large- and mid-cap non-S&P 500
firms. Like many socially responsible funds, Domini Social Equity has a
growth tilt, although the fund still manages to land consistently in the large-
blend column of the style box. That fondness for growth stocks has helped this
fund to a superb record: Its three- and five-year returns best the S&P 500
index. Domini's shareholder activism gives the fund added appeal. A great core
holding.

Alternative: Like Domini, Citizens Index is a large-cap fund, but it contains

even more growth names than its rival. Citizens' record is very good, but its
1.59% expense ratio is frustratingly high for an index fund.

Mid-Cap Value/Blend
Ariel Appreciation CAAPX is a solid fund that provides some much-needed
diversification to a socially conscious portfolio. Manager Erik McKissack
looks for undervalued stocks and finds a lot of his favorites in financials,
services, and industrial cyclicals. He doesn't invest much in technology,
making this offering a nice counterweight to the tech-heavy portfolios of most
other SRI offerings. The fund also holds a healthy dose of small caps.
McKissack runs a concentrated portfolio, though, which can lead to the
occasional rough spot, as this year's lackluster performance demonstrates.
Ariel isn't as aggressive in its social screening as many of its SRI peers.

Alternative: At Neuberger Berman Socially Responsive NBSRX, another

value-oriented fund, manager Janet Prindle does her social screening a little
differently than most. Rather than avoiding entire industries, she looks for the
companies in each sector with the best environmental and workplace records
that also meet her financial criteria. Thus, this fund owns more industrial-
cyclical names than many of its SRI peers. A solid record adds to the appeal.

Mid-Cap Growth
Citizens Emerging Growth WAEGX is an actively managed fund with a lot of
oomph. Manager Richard Little's earnings-momentum approach, along with a
concentrated portfolio and a huge technology stake (currently 40% of assets),
has delivered strong returns. Such aggressive traits will inevitably lead to
volatility, though. Unfortunately, the fund shares a family trait with Citizens
Index: an unpalatably high expense ratio. On the plus side, the fund uses
extensive positive and negative social screens.

Alternative: Calvert Capital Accumulation CCAFX has a less stellar--but

recently improved--record, and it's not as risky as Citizens Emerging Growth.
Calvert's social screens are wide-ranging, but its expenses are also high.

Fixed Income
Calvert Social Investment Bond CSIBX is a straightforward fixed-income
choice. It invests mostly in mortgages and mid- to high-quality corporate
bonds. Just as with its stock funds, Calvert avoids bonds issued by firms that
fail their screens. For example, management eschews companies with poor
environmental and workplace records. Moreover, manager Greg Habeeb
doesn't buy Treasuries because their proceeds could finance government
defense spending. The fund's long-term record is respectable, and it has a
category rating of 4.

International
Here, social investors have to settle for average. Calvert World Values
International Equity CWVGX is one of the few socially screened international
funds available, and the only one with a three-year record. Manager Andrew
Preston looks for cheap stocks within undervalued markets. The fund lands in
the middle third of the foreign-stock group.

Alternative: Citizens Global Equity WAGEX has an outstanding record, but

it's a world-stock fund with a third of assets in the United States, so its doesn't
provide the diversification of an all-foreign fund. Like other Citizens funds it
has a high expense ratio.
Posted 09-17-1999
What's So Great about Socially Responsible
Funds?
by Peter Di Teresa | 06-26-2000 | E-mail Article to a Friend | Ask the Professor a Question

Dear Professor,

I am trying to understand why all the socially responsible funds

always beat the S&P 500. I contacted Domini and Citizens, and I
understand their strategies, but I want the real reason these funds
beat the market.

Filippo B.

Is virtuous investing really profitable?

Not exactly.
What SRI Funds Really Do
Not all funds that do socially conscious or socially responsible
investing (or SRI) embrace the same principles. Some eschew all
companies in the nuclear-power and weapons industries, while
others won't buy liquor, gambling, or tobacco stocks. Other funds
score companies according to their worker relations, community
involvement, or product-safety records.
There is a host of SRI funds. Some base their stock picks on
religious principles, including:
• Islamic principles: Amana Mutual Funds Trust Growth AMAGX.

• Catholic principles: Catholic Values Equity M$-DEG, Aquinas

Equity Growth AQEGX.

• Mennonite principles: MMA Praxis Growth MMPAX.

• conservative Christian principles: Timothy Plan Small-Cap Value

TPLNX, Noah Fund NOAHX.
Other offerings, such as the following, use secular, broadly
progressive principles:
• Domini Social Equity DSEFX.

• Citizens Index WAIDX.

• Calvert Social Investment Equity CSIEX.

• Ariel Fund ARGFX.

Still other SRI funds focus on a specific social concern:
• the environment: New Alternatives NALFX, Green Century Equity
GCEQX.

• labor relations: MFS Union Standard Equity MUEAX.

• gay and lesbian issues: Meyers Pride Value MYPVX.

• women's issues: Women's Equity FEMMX.

Clearly, these funds aren't all going to agree on what they should
buy. Using the Stock Overlap feature in Morningstar.com's
Portfolio Manager, I found that most of them own Microsoft
MSFT, but that's an exception.
How SRI Funds Really Do
With so many funds following such different mandates, it would
be surprising if they performed alike. Indeed, Filippo overstated
the case. At the end of May, 28 of 55 SRI funds had 12-month
returns better than the S&P 500's. Over the past three years, 16 of
48 funds beat the index; over five years, 9 of 38 SRI offerings
triumph over the index.
SRI funds are no different from less virtuous competitors: Their
performances depend on the stocks they own. The two fund
groups that Filippo cites run index funds (Domini Social Equity
and Citizens Index). They both start with the largest U.S.
companies, then exclude tobacco, liquor, and weapons firms and
companies that harm the environment. They prefer companies
with good environmental records, progressive workplace policies,
and involvement in their communities.
Domini Social Equity and Citizens Index have myriad stocks in
common--Cisco Systems CSCO, Intel INCT, Microsoft, and
Lucent Technologies LU, to name a few. Such stocks are
representative of the funds' big technology stakes--at least 43% of
their assets are in tech stocks. That's precisely why those funds
clobbered the S&P 500 in recent years.
What Should You Do with SRI Funds?
If you're just looking for performance, there's no reason to buy a
socially responsible fund. It's no guarantee of high returns.
If you buy an SRI fund, it should be because of your religious or
ethical convictions. In that case, you want the fund to do what
you're expecting it to. Scan the prospectus and annual report to
see if the fund really sticks to its principles. As with any fund, its
performance should make it worth owning.
For a great guide to selecting SRI funds, read "How to Pick a
Socially Responsible Fund" .
Ask a Question, Win a Prize
I want to reward you for all the great questions you've been
asking. I was going to give everyone an A, but I thought I'd offer
something more useful instead. Here's the deal: At the end of
 every month, I'll randomly select five winners from all the
questions I received that month. If you're one of the five, you'll
get three free months of Morningstar.com Premium Service. (If
you already subscribe, we'll extend your subscription.) I'll notify
you via e-mail to award your prize. So keep sending those
questions. After all, when's the last time you got a reward for
quizzing your professors?
Click here for complete contest rules.

Enterprise Capital Mgmt To Advise 11

Open-End Funds
Dow Jones Newswires
WASHINGTON -- Investment advisory firm Enterprise Capital
Management Inc. is planning to advise 11 new funds as part of the
Enterprise Group of Funds Inc. series, according to a filing with the
Securities and Exchange Commission.
The proposed funds are the Mid-Cap Growth Fund, the Deep Value
Fund, the Large-Cap Fund, the Emerging Countries Fund, the
International Core Growth Fund, the Worldwide Growth Fund, the
Global Healthcare Fund, the Global Socially Responsible Fund, the
International Internet Fund, the Mergers and Acquisitions Fund and the
Convertible Securities Fund.
The Enterprise Mid-Cap Growth Fund will seek long-term capital
appreciation by investing in midsize companies that have market
capitalizations corresponding to the middle 90% of the Russell Mid-Cap
Growth Index, the filing said. The fund will invest at least 75% of its
total assets in common stocks of U.S. midsize companies. Portfolio
managers from subadviser Nicholas-Applegate Capital Management
will manage the fund.
The Enterprise Deep Value Fund will aim for total return through
capital appreciation, with income as a secondary objective, by
investing mainly in undervalued - referred to as deep value - large-
capitalization companies.
Wellington Management Co. will be subadviser. John R. Ryan, senior
vice president, will manage the fund.
The Enterprise Large-Cap Fund will seek long-term capital appreciation
by investing in companies whose capitalizations correspond to the
upper 90% of the Russell 1000 Growth Index. At least 65% of the
fund's total assets will be invested in large capitalization equity
securities. Portfolio managers from subadviser Nicholas-Applegate
Capital Management will manage the fund.
The Emerging Countries Fund will aim for long-term capital
appreciation by investing at least 65% of its assets in equity securities
of foreign companies located in at least three countries with emerging
securities markets. The fund will select portfolio securities from 6,000
foreign companies. Portfolio managers from subadviser Nicholas-
Applegate Capital Management will manage the fund.
The Enterprise International Core Growth Fund will seek long-term
capital appreciation by investing in equity securities of companies
located in foreign countries whose market capitalization is in the top
75% of stock market capitalizations for companies in each country.
Portfolio managers from subadviser Nicholas-Applegate Capital
Management will manage the fund.
The Enterprise Worldwide Growth Fund will aim for long-term capital
appreciation by investing at least 65% of its assets in securities of
companies that are located in at least three countries, which may
include countries with emerging securities markets. The fund looks for
companies with above average per-share earnings growth, high return
on invested capital and sound balance sheets, among other criteria.
Portfolio managers from subadviser Nicholas-Applegate Capital
Management will manage the fund.
The Enterprise Global Health Care Fund will seek long-term capital
appreciation by investing at least 75% of its assets in healthcare sector
equity securities. The remaining 25% of the fund's assets will be
invested in equity securities of other companies that will benefit from
developments in the healthcare sector. Portfolio managers from
subadviser Nicholas-Applegate Capital Management will manage the
fund.
The Global Socially Responsible Fund will aim for total return by
investing in equity securities of companies that are socially responsible
and that are located in countries that are included in the MSCI World
Index. The fund looks for companies that demonstrate leadership in
human rights, public health and the environment, among other criteria.
The Global Socially Responsive Fund will be subadvised by
Rockefeller & Co. Inc. Farha-Joyce Haboucha, co-director of
Rockefeller's Socially Responsive Investments, will act as portfolio
manager.
The Enterprise International Internet Fund will seek long-term capital
appreciation by investing at least 65% of its assets in equity securities
of foreign companies that are involved in the research, design,
development and manufacturing of products, processes or services, or
in the business of distributing products or services, on the Internet. The
fund will be subadvised by Fred Alger Management Inc. David Alger
and Dan Chung will subadvise the fund.
The Enterprise Merger and Acquisitions Fund will aim for capital
appreciation by purchasing shares of companies that are likely to be
acquisition targets within 12 months to 18 months. The fund will
engage in risk arbitrage by investing in equity securities of companies
that are involved in publicly announced mergers, takeovers, leveraged
buyouts and other corporate reorganizations, the filing said. The fund
will be subadvised by Gabelli Asset Management Co. Mario J. Gabelli,
the chief investment officer of the subadviser, will manage the fund.
The Enterprise Convertible Securities Fund will seek total return
through capital appreciation and current income by investing in
convertible securities of companies with market capitalizations above
$500 million. At least 65% of the fund's assets will be invested in
income-producing equity securities. Portfolio managers from
subadviser Nicholas-Applegate Capital Management will manage the
fund.
Each fund will offer Class A, Class B, Class C and Class Y shares.
For general accounts, the minimum initial investment for each fund will
be $1,000 and $50 for subsequent investments.
Enterprise Capital Management, Atlanta, was formed in 1986.
-By Marc A. Wojno, Dow Jones Newswires/Federal Filings Business
News; 202-628-9792

SMARTMONEY.COM: Global Good Will

Hunting
By DAWN SMITH
NEW YORK -- As manager of the socially responsible Citizens Global
Equity fund (WAGEX), Sevgi Ipek scours the globe for fast-growing
companies with a conscience.
That mandate led her heavily into technology, and thus into
troublesome times since last March. But it's been a hard habit to break,
as the fund focuses on growth, and many Old Economy sectors,
despite their recent progress, are off-limits because of the fund's social
screens. As a result, the portfolio shed 19% in 2000 and is down 20%
so far this year. Nonetheless, its long-term record is intact: The fund
gained 14.52% annualized over the past five years, slightly better than
the S&P 500 index.
Right now, about 55% of the fund's assets are invested overseas, with
the largest allocations in the U.K. (10%), Japan (7.5%) and Spain
(5.8%). (For investors who want foreign stocks primarily, Ipek also
manages the Citizens International Growth fund (sorry, no snapshot
available), launched in December 2000.) Not surprisingly, Ipek travels
often; she's preparing to visit Japan later this week to size up the
country's recent progress. "It seems [the Japanese] are willing to
handle the bank-loan problems at the moment," she says. "We'll have
to see if they indeed act on it."
These days, Ipek is trying to steer her portfolio away from technology
and telecom; valuations, she says, have become much more
important. As a result, a mix of sectors is represented by the fund's
largest holdings, which include AOL Time Warner (AOL), Toyota Motor
(TM) and Pepsico (PEP).
Ipek may head a socially responsible fund, but investors apparently
needn't worry about her listening to her heart and not her head. A
native of Turkey, Ipek says she has never invested in her homeland,
though she has followed it throughout her career. "Too much volatility,
too much uncertainty," she says. "They've never, ever delivered on the
economic reforms, the political reforms. They've always disappointed."
We spoke with Ipek recently to gain her international insights. You can
chat with her online tonight, March 27, at 8 p.m. ET, when she joins the
ranks of our SmartMoney Stock Pickers.
SmartMoney.com: Your investment strategy involves both a
macroeconomic view and individual company research. Could you
explain how that works for you?
Sevgi Ipek: It's a combination of top-down and bottom-up investing.
The top-down view, the macroeconomic view, is dedicated to assessing
which countries and which sectors of the economy we favor going
forward. That guides us in our decision regarding the country and
sector allocation of the fund. We look at the broad macroeconomic
data: gross domestic product growth, inflation, monetary policy.
[On the company level,] we tend to take a growth approach and try to
identify companies that have demonstrated very strong market share
and earnings in the past on the top-line - on the revenue side - and on
the bottom-line - on the profit side. And we look for companies that not
only have a good earnings track record, but [stability in] those
earnings. We tend to avoid companies that have high volatility in their
earnings trends and focus on stable growers.
SmartMoney.com: Could you give me a recent example of that process
in action?
SI: Spain has a very good track record within the European Union in
terms of economic growth. And in terms of growth, the construction
sector has been in a strong trend. With Spain catching up [to] the
income level of other European countries - in wages and salary in
general - there's also been a change in mentality toward home
ownership. This created a very nice market for construction companies
both on the residential and commercial side. Also, the government,
which is upgrading the country's infrastructure, has been a big
spender. That combination provided a very good outlook for the
companies in this sector. We tried to pick the companies that are in
the best position to take advantage of that growth - the largest market
share, the most competitive situation in the market, strong
management, good corporate governance - and those that have
consistently delivered on market expectations. And valuation, of
course. [We own] Dragados: It is both a homebuilder and in
commercial construction and is also involved in infrastructure, such as
road-building. That's our biggest position in Spain, where we have
about 5% of our assets.
SmartMoney.com: According to the Citizens Global Equity fund's
prospectus, you must have at least 50% of your assets overseas.
SI: That has been a little bit of a problem. We've had lots of problems
with the currencies overseas over the past 12 months. The euro has
been in a very difficult situation since [it was launched], and also, we
had the new Central Bank to govern monetary policy for all the
European Union countries. It seems that the market has been on the
cautious side, trying to see if this institution is going to be able to gain
the necessary credibility and conduct a monetary policy that has no
precedent in Europe. Also, there's the fact that there have been a lot of
capital outflows from Europe into the U.S. That has worked against the
European Union.
SmartMoney.com: But we've witnessed a boost in the emerging
markets this year.
SI: That was a dead-cat bounce, more than anything else.
Fundamentally, there were very few reasons why those markets would
rebound that fast and that much. It was more on a liquidity basis,
because the U.S. was cutting interest rates and injecting liquidity into
the system, and some of that spilled over into emerging markets. [We
have] very little exposure to [emerging markets] - less than 5% of
assets.
SmartMoney.com: You speak several languages, including Turkish.
Does this help when researching foreign companies?
SI: I was born in Turkey, but I was raised and educated in Belgium. [It
has helped me] to fit in culturally - to understand the mentality and
how businesses, especially management, operate and think. A lot of
people, for example, believe that we can have overseas the same kind
of quick restructuring that we see in U.S. corporations. Especially in
Europe, people expect that companies can turn around and restructure
in a matter of a few months. Usually that is very difficult to do because
of all the labor and regulation handicaps that those companies have in
the markets in which they operate. So you have to have a good
understanding of the regulatory framework of the countries. Having
lived there and having gone through those regulatory situations, you
get a better handle on the situation and how things can happen - or
not happen.
SmartMoney.com: How does the socially responsible element of the
fund come into play? Specifically, how do you work with Citizens'
research department?
SI: I focus on investments and try to identify the best companies going
forward. Citizens uses two sets of social screens. One we call an
exclusionary screen, which means that we exclude companies
involving tobacco, gambling, nuclear-power generation, animal testing,
alcohol and so on. Since the exclusionary screens are quite obvious, I
do the initial screens on the companies myself. The second set of
screens is more in-depth - qualitative screens that Citizens handles.
When I identify good companies and good names for investment that
are not involved in tobacco, alcohol, gambling, petroleum industry and
so on, I send those names over to [Citizens] for in-depth screening.
SmartMoney.com: Are there sectors you avoid overall because of the
exclusionary screen?
SI: In general, the tobacco and personal care [sectors] and the
beverage sector, with a few exceptions, like Coca-Cola (KO) and
Pepsico [two of the fund's holdings]. Usually basic materials, like
metals and mining; most of the chemical sectors, and also the paper
and forest-products sector. And in the energy sector, the oil companies
and oil-services companies usually do not pass the screens. The
personal-care companies, most of them still conduct animal testing,
and also the pharmaceutical companies that have skin-care and
personal-products divisions. [However] animal testing for drugs is OK,
because you need to do that.
SmartMoney.com: A lot of socially responsible funds appear to be
heavy in technology because they exclude so many other sectors. Is
that why your fund is heavy in tech?
SI: Those stocks had been very good investments until March of 2000.
They were exceptional performers, and the fundamentals were in
place, until we had a little bit of overexcitement over the sector.
Having said that, the social screens do guide us to be more heavily
weighted in this sector.
SmartMoney.com: Which technology stocks have you sold off
completely in the past few months?
SI: We had very good performers in many of those technology stocks,
and we decided to take our profits and stay on the sidelines on some
names. We sold Network Appliance (NTAP) in the storage-device
sector. We sold Cisco Systems (CSCO), and we reduced some other
holdings. We had a position in Ariba (ARBA), which did very well for us,
but we sold it when the market's fundamentals became a bit more
uncertain.
SmartMoney.com: What sectors and stocks have you been moving into
as a result?
SI: I've been targeting more of the interest-rate-sensitive sectors of the
economy and looking more into the Old Economy. Although everything
is suffering now because of the economic slowdown, I believe
ultimately that because of these interest-rate reductions and increased
liquidity, these Old Economy companies are going to be the main
beneficiary of the current situation world-wide. I've been increasing
some of the names in the retail sector with the addition of the home-
improvement company Lowe's (LOW) and also Staples (SPLS).
SmartMoney.com: Are you investing in any other energy stocks?
SI: In the natural-gas sector I own Enron (ENE) and Dynegy (DYN). They
have been growing very fast in the past and have very good prospects,
because natural gas is going to be one of the best choices in energy
going forward. And I still own my large position in the electric utility
AES (AES). It's very well diversified geographically, and it takes
advantage of growth prospects overseas, especially in emerging
markets, which are in need of a lot of development as far as power is
concerned.
SmartMoney.com: What do you still like in the technology sector?
SI: I still like the storage sector. I'm still holding onto my EMC (EMC)
position, which is the leader in that field, and the stock is quite
attractive after having corrected since the beginning of the year. The
growth prospects are still very strong. And I still like the Internet-
infrastructure sector. I did take profits and sold out of Cisco, but
recently I've been nibbling at their main competitor, Juniper Networks
(JNPR), which is growing faster than Cisco and gaining market share
nonstop. The valuation on the stock, which was much too expensive a
year ago, has now come down to very attractive levels. I'm not very
enthusiastic about the PC sector, so I'm not really investing in any PC
companies or related companies. I'd rather find attractive entry points
in the next-generation-technology companies. I started buying a little
bit of Ciena (CIEN) in the optical-networking [switching] sector.
SmartMoney.com: What's your outlook for the portfolio for the rest of
the year?
SI: Everything is happening much faster than anyone had anticipated.
Europe was holding its own until very recently, and now we are seeing
the spillover effects of the U.S. slowdown. All the economic indicators
over there are suggesting that we are going to see a steep decline.
[But] we are seeing the excess capacity being worked out of the
system. And companies are adjusting much faster to the economic
slowdown than we've seen in the past. That means we should also,
hopefully, have a much faster recovery, probably toward the end of
this year, because you have to take into account that monetary
stimulus and easing take a little while to act. I would think with the
fourth quarter of this year we should already see some improvement in
the economic outlook. Having said that, this is a very big shock in
some countries. Right now I'm a little bit worried about what's going on
in Argentina. If we were to have a big crisis in a major country in Latin
America - if we were to see a devaluation coming out of Argentina -
that would aggravate the situation.
For more information and analysis of companies and mutual funds,
visit SmartMoney.com at http://www.smartmoney.com/
Noah Investment Group, Inc: Noah Fund

Friday, March 30, 2001 Source: Lipper Inc.

NET ASSET VALUE Last: Change: Percent
Change: 52-Week High: 52-Week Low:
14.36 +0.16 +1.13% 27.91 13.94
PERFORMANCE Vs. all Funds in Objective
Fund Return Rank Percentile
4-Week: -9.5% D 33
Year-to-date: -21.9% D 30
1-Year: -47.3% E 15
3-Year (annualized): -1.0% D 20
5-Year (annualized): N/S
10-Year (annualized): N/S
Objective: Large-Cap Growth
How to read these charts

HOLDINGS
Asset Allocation
Stocks 91.2% Convertible 0%
Bond 0% Cash/Equiv. 0%
Other 8.8%
Top Sectors Top Holdings
Total Net Total Net
Assets Assets
Electronic Technology 43.8% CISCO SYSTEMS INC 8.3%
Retail Trade 16.2 WAL-MART STORES INC 6.2
Health Technology 13.6 PFIZER INC. 4.7
Technology Services 8 AMERICA ONLINE INC 4.2
Consumer Services 4.3 HOME DEPOT INC (USA) 4
Communications 4.1 APPLIED MICRO CIRCUITS CORPORA 3.5
Commercial Services 3.1 MERCK & CO (USA) 3.5
Finance 2.5 COMVERSE TECHNOLOGY INC 2.3
Consumer Non-Durables 1.6 QUALCOMM (USA) 2.2
Transportation 0.7 JDS UNIPHASE CORP 2.1

DISTRIBUTION HISTORY (as of 2/28/01)

Income Capital Gains
Year Distribution Distribution
2001 $0 $0
2000 $0 $0
1999 $0 $1.59
1998 $0.44 $0
1997 $0 $0.09
1996 $0.04 $0
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Copyright © 2001 Dow Jones & Company, Inc. All Rights Reserved.

Timothy Plan: Timothy Plan Small Cap Value Fund;

Class A Shares
Friday, March 30, 2001 Source: Lipper Inc.
NET ASSET VALUE Last: Change: Percent
Change: 52-Week High: 52-Week Low:
12.05 +0.20 +1.69% 14.04 11.13
PERFORMANCE Vs. all Funds in Objective
Fund Return Rank Percentile
4-Week: -9.0% E 7
Year-to-date: 8.3% A 98
1-Year: 7.9% A 82
3-Year (annualized): 5.0% B 76
5-Year (annualized): 9.7% C 54
10-Year (annualized): N/S
Objective: Small-Cap Core
How to read these charts

INFORMATION
Investment Small-Cap Core
Objective:
Investment The Fund seeks long-term capital growth and its secondary objective is current
Policy: income. The Fund seeks to achieve its objective while abiding by the ethical
standards established for investments by the Fund. The Fund invests primarily in
small-cap stocks and ADR's.
Other Share Timothy Plan: Timothy Plan Small Cap Value Fund; Class B Shares
Classes:
Fund Manager (Tenure): Awad & Associates Minimum Initial Investment: $1000
(since 1997) Maximum Sales Charge: 5.5%
Total Net Assets: $16.5 Million Maximum Redemption Charge: 0%
Phone: 800-662-0201 Total Expense Ratio: 1.6%
Distribution Channel: Dealer

HOLDINGS
Asset Allocation
Stocks 79.2% Convertible 0%
Bond 0% Cash/Equiv. 0%
Other 20.9%
Top Sectors Top Holdings
Total Net Total Net
Assets Assets
Finance 30.5% DORAL FINANCIAL CORP 8.6%
Electronic Technology 21.5 INVESTMENT TECHNOLOGY GROUP 6.9
Consumer Services 12.9 AVID TECHNOLOGY INC 5.3
Commercial Services 11.6 JOHN WILEY & SONS INC 'A' 5.2
Health Services 4.7 NORTH FORK BANCORP INC 5
Producer Manufacturing 4.6 RESEARCH IN MOTION LTD 5
Non-Energy Minerals 4 VENTIV HEALTH INC 4.1
Industrial Services 3.1 ANNUITY AND LIFE RE (HOLDINGS) 4.1
Process Industries 2.7 MARTIN MARIETTA MATERIALS INC 4
Technology Services 2.6 PENTON MEDIA INC 3.9

DISTRIBUTION HISTORY (as of 2/28/01)

Year Income Capital Gains
Distribution Distribution
2001 $0 $0
2000 $0 $2.51
1999 $0 $0
1998 $0 $0
1997 $0 $1.38
1996 $0.10 $0
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Copyright © 2001 Dow Jones & Company, Inc. All Rights Reserved.

MMA Praxis Mutual Funds: MMA Praxis Growth Fund;

Class A Shares
Friday, March 30, 2001 Source: Lipper Inc.
NET ASSET VALUE Last: Change: Percent
Change: 52-Week High: 52-Week Low:
13.52 +0.16 +1.20% 16.04 13.06
PERFORMANCE Vs. all Funds in Objective
Fund Return Rank Percentile
4-Week: -3.6% B 66
Year-to-date: -7.3% D 23
1-Year: -10.4% E 12
3-Year (annualized): N/S
5-Year (annualized): N/S
10-Year (annualized): N/S
Objective: Multi-Cap Value
How to read these charts

INFORMATION
Investment Objective: Multi-Cap Value
Investment Policy: The Fund seeks capital appreciation. To a lesser extent, it seeks current
income.
Other Share Classes: MMA Praxis Mutual Funds: MMA Praxis Growth Fund; Class B Shares
Fund Manager Horning (since 2000) Minimum Initial Investment: $500
(Tenure): Nussbaum (since Maximum Sales Charge: 5.25%
2000)
Maximum Redemption Charge: 0%
Total Net Assets: $17.7 Million
Total Expense Ratio: 1.203%
Phone: 800-977-2947
Distribution Channel: NA

HOLDINGS
Asset Allocation
Stocks 1.8% Convertible 93.1%
Bond 0% Cash/Equiv. 5.1%
Other 0%
Top Sectors Top Holdings
Total Net Total Net
Assets Assets
Finance 17.1% FEDERAL NAT'L MRTGE ASSN. 3.7%
Electronic Technology 16.9 PEPSICO INCORPORATED 3.6
Producer Manufacturing 11.6 PFIZER INCORPORATED 3.3
Consumer Non-Durables 11.2 WELLS FARGO COMPANY 3.2
Health Technology 11.1 TELLABS 2.9
Industrial Services 7.1 WILLIAMS CO. INC. 2.9
Retail Trade 6.5 ST. JUDE MEDICAL, INC. 2.7
Communications 6.4 WILLAMETTE INDUSTRIES INC 2.7
Process Industries 5.2 PROCTER & GAMBLE CO. 2.6
Technology Services 4.1 BROADWING INC. 2.6

DISTRIBUTION HISTORY (as of 2/28/01)

Year Income Capital Gains
Distribution Distribution
2001 $0 $0
2000 $0 $0.38
1999 $0 $2.14
1998 $0 $0
1997 $0 $0
1996 $0 $0

The Aquinas Funds, Inc.: Aquinas Growth Fund

Friday, March 30, 2001 Source: Lipper Inc.
NET ASSET VALUE Last: Change: Percent
Change: 52-Week High: 52-Week Low:
14.47 +0.16 +1.12% 22.51 13.94
PERFORMANCE Vs. all Funds in Objective
Fund Return Rank Percentile
4-Week: -8.0% B 75
Year-to-date: -16.9% B 76
1-Year: -20.6% A 89
3-Year (annualized): 4.5% C 43
5-Year (annualized): 13.4% B 69
10-Year (annualized): N/S
Objective: Multi-Cap Growth
How to read these charts
INFORMATION
Investment Multi-Cap Growth
Objective:
Investment The Fund seeks long-term capital appreciation by investing a diversified portfolio
Policy: of equity securities that are believed to offer above average potential for growth in
revenues, profits, or cash flow.
Fund Manager Minimum Initial Investment: $500
(Tenure): Team Managed Maximum Sales Charge: 0%
Total Net Assets: $64. Million Maximum Redemption Charge: 0%
Phone: 800-423-6369 Total Expense Ratio: 1.41%
Distribution Affinity with an
Channel: organization

HOLDINGS
Asset Allocation
Stocks 93.2% Convertible 1.5%
Bond 0% Cash/Equiv. 5.3%
Other 0%
Top Sectors Top Holdings
Total Net Total Net
Assets Assets
Consumer Services 36.1% RADIO ONE, INC. CVT 6.5%, 7/15 32.9%
Electronic Technology 12.1 TENET HEALTHCARE CORP. 3.5
Finance 10.1 GENERAL ELECTRIC CO. 2.3
Technology Services 7.4 KINDER MORGAN, INC. 1.9
Health Technology 7 PFIZER, INC. 1.8
Health Services 5.3 CONCORD EFS, INC. 1.8
Producer Manufacturing 4.9 PAYCHEX, INC. 1.7
Commercial Services 4.5 HEALTH MGMT ASSOC. INC. 1.5
Retail Trade 3.9 CISCO SYSTEMS, INC. 1.4
Industrial Services 3.1 WATERS, CORP. 1.3

DISTRIBUTION HISTORY (as of 2/28/01)

Income Capital Gains
Year Distribution Distribution
2001 $0 $0
2000 $0 $2.57
1999 $0 $2.15
1998 $0 $0.85
1997 $0 $2.21
1996 $0 $1.46

http://www.homepage.villanova.edu/john.mcfadden

Amana Mutual Funds Trust: Growth Fund

Friday, March 30, 2001 Source: Lipper Inc.
NET ASSET VALUE Last: Change: Percent
Change: 52-Week High: 52-Week Low:
11.64 +0.20 +1.75% 18.69 11.44
PERFORMANCE Vs. all Funds in Objective
Fund Return Rank Percentile
4-Week: -7.8% B 77
Year-to-date: -17.9% B 75
1-Year: -33.1% B 70
3-Year (annualized): 15.0% A 92
5-Year (annualized): 15.0% B 79
10-Year (annualized): N/S
Objective: Multi-Cap Growth
How to read these charts
HOLDINGS
Asset Allocation
Stocks 90.8% Convertible 0%
Bond 0% Cash/Equiv. 0%
Other 9.2%
Top Sectors Top Holdings
Total Net Total Net
Assets Assets
Electronic Technology 33.2% QUALCOMM (USA) 16.4%
Health Technology 12.1 BUSINESS OBJECTS SA ADR 6.1
Technology Services 11.5 CISCO SYSTEMS INC 4.7
Transportation 6.9 INTUIT INC 4.1
Industrial Services 5.2 ADVANCED DIGITAL INFORMATION C 3.9
Commercial Services 5.1 SOUTHWEST AIRLINES INC 3.7
Communications 4.8 SBC COMMUNICATIONS INC (USA) 3.4
Consumer Services 4.8 SYMBOL TECHNOLOGIES INC 3.3
Producer Manufacturing 3.5 CONVERGYS CORP 3.3
Consumer Durables 3.4 WILLIAMS COS 3.3

DISTRIBUTION HISTORY (as of 2/28/01)

Income Capital Gains
Year Distribution Distribution
2001 $0 $0
2000 $0.46 $0
1999 $0 $0.22
1998 $0 $0
1997 $0 $0.16
1996 $0 $0.23
 Saturday, March 31, 2001

Markets Data Bank at 12:57 p.m.

Closing Stock Data Bank is available using the link at left.
Source: Reuters
Dow Jones Averages Last Change % Change
30 Industrials 9878.78 79.72 0.81 %
20 Transportation 2771.36 17.93 0.65
15 Utilities 381.42 8.25 2.21
65 Composite 3059.97 33.28 1.10
DJ U.S. Total Market 267.02 2.98 1.13
DJ U.S. Small-Cap 270.09 4.45 1.68
DJ U.S. Mid-Cap 266.68 2.28 0.86
DJ U.S. Large-Cap 265.31 2.99 1.14
New York Stock Exchange Last Change % Change
Compositea 595.66 6.98 1.19 %
Industrialsa 729.20 6.76 0.94
Utilitiesa 394.69 5.62 1.44
Transportationa 454.83 5.57 1.24
Financea 585.48 10.57 1.84
Standard & Poor's Indexes Last Change % Change
500 Index 1160.33 12.38 1.08 %
Industrials 1330.63 9.98 0.76
Utilities 323.57 6.97 2.20
400 MidCap 459.92 3.61 0.79
600 SmallCap 204.78 4.22 2.10
Nasdaq Stock Market Last Change % Change
Composite 1840.26 19.69 1.08 %
Nasdaq 100 1573.25 10.11 0.65
Industrials 1230.11 11.20 0.92
Insurance 2066.26 55.49 2.76
Banks 1883.23 39.95 2.17
Computer 888.01 7.36 0.84
Telecommunications 328.08 3.73 1.15
Other U.S. Indexes Last Change % Change
Amex Compositea 877.04 15.59 1.81 %
Russell 1000 610.36 6.63 1.10
Russell 2000 450.53 9.00 2.04
Russell 3000 635.67 7.32 1.16
Value-Line (geom.) 369.25 5.66 1.56
U.S. Stock
Market Diary NYSE AMEX Nasdaq
New 52 Week Highs 94 23 122
New 52 Week Lows 67 35 279
Advancing Issues 2100 444 2363
Declining Issues 965 244 1416
Unchanged Issues 206 98 571
Total Issues Traded 3271 786 4350
Advancing Volume 836,132,260 65,773,595 1,207,391,940
Declining Volume 433,557,220 8,443,275 873,178,460
Unchanged Volume 11,202,380 1,458,700 65,735,897
Total Volume 1,280,891,860 75,675,570 2,146,306,297
Internet Indexes Last Change % Change
DJ Composite Internet 69.70 4.32 6.61 %
DJ Internet Commerce 43.57 2.84 6.97
DJ Internet Services 86.26 5.11 6.30
TheStreet.com Internet 224.20 11.10 5.21
AMEX Interneta 167.47 5.09 3.13
CBOE Internet 155.90 6.90 4.63
Non-U.S. Stock Indexes Last Change % Change
Toronto, 300 Index 7608.00 163.22 2.19 %
Tokyo, Nikkei 225 12999.70 -72.66 -0.56
Hong Kong, Hang Seng 12760.64 82.75 0.65
London, FTSE 100a 5633.70 45.30 0.81
Frankfurt, Xetra Dax 5829.95 -49.35 -0.84
Paris, CAC 40 5180.45 22.53 0.44
Brussels, Bel-20 2838.41 76.03 2.75
Milan, MIBtel 25937.00 658.00 2.60
Zurich, Swiss Market 7167.80 122.90 1.74
Amsterdam, AEX 558.36 5.59 1.01
Johannesburg, All Share 8053.20 -263.00 -3.16
Madrid, IBEX 35 9308.30 85.50 0.93
Stockholm, General 3867.96 -51.10 -1.30
DJ Stoxx 50 4004.89 24.77 0.62
DJ Stoxx 600 321.70 1.58 0.49
DJ Europe/Africa 155.00 -0.53 -0.34
DJ World Stock Index 182.46 0.61 0.34
Treasury Securities Change Yield %
Two-Year Notec 6/32 4.209 %
Five-Year Notec 14/32 4.551
Ten-Year Notec 21/32 4.915
30-Year Bondc 25/32 5.445
Currency Markets Last Prior Day*
Japanese Yen (per dollar) 126.25 126.21
Euro (in dollars) 0.8700 0.8780
British Pound (in dollars) 1.4163 1.4159
Euro/Sterling 0.6140 0.6197
Swiss Franc (per dollar) 1.7433 1.7413
Commodities Change Last Settle**
Dow Jones-AIG Commodity Index -1.258 105.399
Goldman Sachs Commodity Index -2.48 212.74
Gold, April ($ per ounce)d -0.90 257.90 258.80
Gold, June ($ per ounce)d -1.20 259.20 260.40
Oil, May W. Tex, int. ($/bbl.)b 0.22 26.70 26.48
Oil, June W. Tex, int. ($/bbl.)b 0.27 26.75 26.48
S&P 500 Index, Juneb 7.50 1180.50 1180.00
S&P 500 Index, Sepb 7.50 1184.70 1189.70
DJ Industrial Average, Juneb 95.00 10045.00 10043.00
DJ Industrial Average, Sepb 95.00 9780.00 10124.00

Footnotes:
* Late Friday in New York.
a Delayed 20 minutes.
b Nymex, CBOT, CME and after-hours electronic trading.
c As of 5:30 p.m. EST
d At close of day session on Friday.
** Settle prices for commodity futures reflect the most recent close of trading as follows:
Gold (Comex) - 2:30 p.m. EST, M-F
Oil (Nymex) - 3:10 p.m. EST, M-F

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