New York, NY – Domini Social Investments, a leading manager of mutual funds for socially re sponsible investors, has launched the Domini European Social Equity Fund , a new mutual fund for U.S. social investors devoted entirely to the stocks of European companies.
The Domini European Social Equity Fund will commence operations on October 3, 2005. Investors may participate in a subscription period that began on September 1. Investor class shares and A shares are available.
“We believe that there are attractive investment opportunities in Europe — for mutual fund investors generally, and social investors in particular,” said Amy Domini, Domini’s founder and CEO.
“European companies are driving the economic integration of the region. Europe has a trade surplus and relatively high rates of household income and savings. In addition, European stocks are relatively low-priced.”
“Investing in Europe gives social investors the opportunity to invest in public transportation, which is an important part of the region’s economy,” according to Steven D. Lydenberg, Domini’s Chief Investment Officer. “Europe is committe d to the Kyoto Protocol on global warming, so we’re seeing significant growth in alternative energy. Almost three-quarters of new windpower capacity installed in the world last year was in Europe. Three-quarters of the world’s vaccines also come from European companies.”
The Domini European Social Equity Fund will be managed by a team that combines the strengths of Domini Social Investments and Wellington Management Company, LLP. Domini is responsible for the application of social and environmental standards to the Fund’s portfolio, while Wellington Management is responsible for the application of financial criteria.
The goal of the Fund is to invest in stocks of European companies that meet a comprehensive set of social, environmental, and financial standards. The Fund focuses on the concept of long-term societal wealth creation as a primary theme driving its assessment of corporations. The Fund will use a quantitative model based on value and momentum, which considers factors such as earnings quality and capital efficiency. The Fund seeks to control tracking error against the European stock market by considering portfolio characteristics such as sector representation, country, and market capitalization.
About Domini Social Investments
Domini Social Investments manages more than $1.8 billion in assets for individual and institutional mutual fund investors seeking to create positive change in society by integrating social and environmental criteria into their investment decisions. Its flagship fund, the Domini Social Equity Fund (NASDQ: DSEFX), is the first and largest index fund to use social, environmental, and corporate governance standards. The Fund seeks to include companies with positive records in community involvement, the environment, diversity, and employee relations, and excludes companies deriving significant revenues from alcohol, tobacco, gambling, nuclear power, and weapons contracting.
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.