Praxis Investment Management™ has released its annual Real Impact Report 2025, detailing how stewardship investing creates tangible social and environmental outcomes. The sixth edition of the report highlights seven distinct impact strategies that form the Praxis ImpactX framework, providing specific metrics and examples of how these approaches generate real-world change. More than ever, we think it's important to leverage as many impact strategies as possible, writes Praxis President Chad Horning, CFA® in the report's introduction. The company's work spans from global advocacy and corporate engagement to community-level investments, demonstrating a comprehensive approach to values-based investing.
The report includes an excerpt from the firm's research on faith-based investing published earlier last year, adding academic rigor to their practical applications. The seven impact strategies detailed in the report include values and risk screening, which excludes 3.8-23.4% of companies in stock indices based on ethical criteria. Proxy voting represents another significant component, with Praxis voting on nearly 18,000 proposals on behalf of shareholders in 2025. Sustainability integration goes beyond exclusionary screening by actively investing in or increasing weight to companies that better represent core values.
Positive impact bonds constitute 35% of holdings in the diversified Praxis Impact Bond Fund as of December 31, 2025, targeting specific social and environmental objectives. Company engagement involved direct discussions with over 20 companies on issues ranging from human rights and child labor to environmental stewardship. Advocacy and education efforts included participation in Freedom to Investment, which outlines why investors should consider environmental and human rights impacts in investment decisions.
Community development investing represents a significant commitment, with Praxis investing more than $25.8 million in partnership with organizations like Calvert Impact and Capital Impact Partners as of December 2025. 2025 was a big year for Praxis—we launched our first two ETFs and published research that proved what we know to be true: that investors want to align their faith with their values, said Mark Regier, Vice President of Stewardship Investing. The report is available for download at https://www.praxisinvests.com/insights/RIR2025.
The document provides investors with transparent metrics about how their investments generate impact while acknowledging that investing involves risk and principal loss is possible. The application of ESG and faith-based screens may cause funds to lag behind their indices, though this represents a conscious trade-off for values-aligned investors seeking both financial returns and positive impact. This transparency matters because it moves faith-based investing beyond abstract principles to measurable outcomes, providing a framework for investors who want their portfolios to reflect their values while understanding the potential financial implications of their choices.
