In recent years, plan sponsors and other institutional clients have begun asking consultants to help them align their investments with their mission and values.  Consultants have also seen increasing demand for socially responsible funds that respond to the environmental and social concerns of retirement plan participants and foundation fund donors.

 

This increased interest stems in large part from the following:

 

·         A 1998 letter issued by the Department of Labor stating that socially responsible funds meet the fiduciary standards of the Employee Retirement Income Security Act (ERISA)

·         Moves by the state of California, a longtime institutional investment trendsetter, toward implementing social screens in its defined-benefit portfolios

·         Inclusion of socially responsible options in a number of the country's largest and most influential defined contribution plans

 

Among the array of socially responsible investment options available today, Domini Social Investments stands out as a pioneer and a leader in the field.

 

The founders and principals of Domini Social Investments have played a leading role in the development and growth of socially responsible investing. Domini Social Investments has been extensively involved in shareholder activism and the promotion of community development investing.

 

At Domini Social Investments, socially responsible investing includes the following:

·         Socially and environmentally screened portfolios

·         An effective shareholder activism program

·         Targeted community development investments

 

Our lineup of socially responsible investment options provides plan sponsors with several ways to integrate their investments with their institutional values and the concerns of plan participants and donors, while still maintaining a strict fiduciary focus on investment performance, portfolio diversification, and risk management.

 

 

The Domini Social Equity Fund provides core stock market exposure through a portfolio of primarily large-cap domestic stocks that have met a set of social and environmental standards. The Fund further promotes corporate social responsibility through its shareholder activism program, which includes the sponsorship of shareholder resolutions and direct dialogue with corporations in the portfolio.

 

The Domini Institutional Social Equity Fund is a lower-cost version of the Domini Social Equity Fund offered to qualified endowments, foundations, religious organizations, nonprofit entities, individuals and certain corporate or similar institutions that meet the Fund’s minimum investment requirements.

 

The Domini European Social Equity Fund is a mutual fund for U.S. social investors that is devoted entirely to the stocks of European companies. The Fund offers social investors an opportunity to invest in an economic region where corporations are embracing the challenge of sustainable growth.

 

The Domini PacAsia Social Equity Fund allows social investors to take part in a historic economic expansion while helping to influence Asia-Pacific companies to consider society and the environment as they move into the future. The Fund invests primarily in stocks of Asia-Pacific companies selected based on a comprehensive set of social and environmental standards.

 

The Domini European PacAsia Social Equity Fund helps social investors achieve broad international diversification and access a world of investment opportunity, while using their investment dollars to encourage corporate responsibility.

 

The Domini Social Bond Fund is a unique fixed-income offering that combines a socially and environmentally screened investment-grade bond portfolio with an innovative community investment component. With a primarily investment-grade intermediate-term portfolio of bonds and other fixed-income securities, the Fund can serve as a core fixed-income holding for many investors, or can serve as a diversification vehicle for those primarily invested in the stock market. The Fund seeks to invest up to 10% of its assets in investments that directly support and promote community development.

 

The Domini Money Market Account is an FDIC-insured account (up to $200,000 per depositor) that can serve an investor's cash and liquidity needs, as well as help provide lending capital to underserved communities. Assets are placed at ShoreBankto be used in the bank's community development lending program that helps rebuild struggling communities across the country. (Not available for corporate accounts.)

 

The Domini Funds are available through most major retirement platforms, including AmericanExpress, Datalynx/Fiserv, Fidelity Investments, John Hancock, Pershing, Prudential Securities, Putnam, Schwab, Scudder Kemper, Sungard, TD Waterhouse, T. Rowe Price, and Vanguard. For more information, please contact Domini Institutional Services.

 

 

 

The Domini Funds are not insured and are subject to market risks. Investment return, principal value, and yield will fluctuate so that an investor’s shares when redeemed may be worth more or less than their original cost. You may lose money.

 

The Domini Social Bond Fund is not insured and is subject to market risks, including interest rate and credit risks. During periods of rising interest rates, bond funds can lose value. The Domini Social Bond Fund currently holds a large percentage of its portfolio in mortgage-backed securities. During periods of falling interest rates, mortgage-backed securities may prepay the principal due, which may lower the Fund’s return by causing it to reinvest at lower interest rates. Some of the Domini Social Bond Fund's community development investments may be unrated and carry greater credit risks than its other investments.

 

Investing internationally involves special risks, such as currency fluctuations, social and economic instability, differing securities regulations and accounting standards, limited public information, possible changes in taxation, and periods of illiquidity.

 

A 2.00% redemption fee is charged on sales or exchanges of shares made less than 30 days after settlement of purchase or acquisition through exchange, with certain exceptions. See the prospectus for further information.

 

Unlike a mutual fund, the rate of return for the Domini Money Market Account is determined by ShoreBank and will vary from time to time. The Domini Funds are not affiliated with any bank and are not insured by the FDIC. This material must be preceded or accompanied by the Funds’ current prospectus. Please read it carefully before investing or sending money. DSIL Investment Services LLC, Distributor. 12/06

 

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