November 29, 2006
DOMINI EUROPEAN SOCIAL EQUITY FUND OUTPERFORMS IN FIRST
YEAR
Socially Responsible Fund Returns
32.5%, Beats Benchmark by 8.7%
New York, NY – The Domini
European Social Equity Fund (NASDQ: DEUFX) completed its first year of operations on October 3, 2006,
with a total return of 32.54%. The MSCI Europe Index returned 23.75% for the
same period. The Fund returned 42.64% for the year ended October 31, versus
32.30% for the index.
View
performance information current to most recent month-end.
“In developing the Domini European Social Equity Fund, our
goal was to give social investors a way to invest actively in Europe’s dynamic
markets, where companies are leading the world in building sustainable
businesses,” said Amy Domini, Founder and CEO of Domini Social Investments.
“We were confident that our strategy would produce strong
investment performance, and that confidence has been borne out by the Fund’s
significant outperformance in its first year. European markets have performed
well, and we’ve identified companies that are making a real contribution to
building a more sustainable future through cleaner technologies, energy
efficiency, and a commitment to their employees and communities.”
The Fund’s performance is the result of a disciplined active
strategy created by Domini Social Investments and Wellington Management
Company, LLP, the Fund’s submanager. The Domini European Social Equity Fund,
the only socially responsible mutual fund for U.S. investors focused
exclusively on the dynamic European region, has grown to $65.9 million in
assets during its first year.
“The Domini European Social Equity Fund is managed through a
two-part process,” said Steven Lydenberg, Domini’s Chief Investment Officer.
“Our in-house team of social researchers identifies European companies that
meet our social and environmental standards. Wellington Management then selects
stocks through an active, quantitative model based on value and momentum, which
considers factors such as earnings quality and capital efficiency.” Domini also
uses its leverage as a shareholder to encourage stronger corporate governance,
social and environmental practices through its proxy votes, and direct dialogue
with portfolio companies.
Domini and Wellington intend to use this strategy in other
geographically focused funds, the Domini PacAsia Social Equity Fund
and the Domini EuroPacific Social Equity
Fund, set to launch on December 27, 2006, as well as for the Domini Social Equity Fund
(NASDQ: DSEFX), which was launched in 1991. The Domini Social Equity Fund’s new
active strategy will commence on December 1.
As of September 30, 2006, notable companies in the portfolio
of the Domini European Social Equity Fund included the Norwegian
telecommunications company Telenor,
which sponsors a microenterprise program in Bangladesh called Village Phone,
and the British retailer Marks &
Spencer, which helps the homeless and other disadvantaged people to join
the workforce.
Call Domini at 1-800-762-6814 for a copy of our Global Investment Standards booklet.
About
Domini Social Investments
Domini Social Investments manages $1.8 billion in assets for
individual and institutional mutual fund investors seeking to create positive
change in society by integrating social and environmental standards into their
investment decisions. Two fundamental principles underlie the global investment
standards that Domini applies to each of its investment products: the promotion
of a society that values human dignity and the enrichment of our natural
environment. Domini views these twin goals as crucial to a healthier,
wealthier, and more sustainable world.
Each investor should consider
the Domini Funds’ investment objectives, risks, charges, and expenses carefully
before investing. Obtain a copy of each Fund’s current prospectus for more
complete information on these and other topics by calling 1-800-762-6814 or at www.domini.com. Please read the
prospectus carefully before investing or sending money.
Past performance is
no guarantee of future results. The returns quoted above represent past performance after all
expenses. Economic and market conditions change, and both will cause investment
return, principal value, and yield to fluctuate so that an investor’s shares,
when redeemed, may be worth more or less than their original cost. Current
performance may be lower or higher than the performance data quoted. For
performance information current to the most recent month-end, call
1-800-762-6814 or visit www.domini.com. A 2.00% redemption fee is charged on sales or exchanges of shares
made less than 60 days after the settlement of purchase or acquisition through
exchange, with certain exceptions. Performance data quoted above does not
reflect the deduction of this fee which would reduce the performance
quoted. See the Fund’s prospectus for further information. The
Domini Funds are subject to market risks and are not insured. As of September
30, 2006, Telenor and Marks & Spencer represented 0.45% and 0.99%,
respectively, of the portfolio of the Domini European Social Equity Fund.
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. DSIL Investment Services LLC (DSILD), Distributor.
11/06
