The Socially Targeted Investment Portfolio invests entirely in the Parnassus Core Equity Fund. In general, Parnassus Investments will choose to invest in companies that it believes will generate attractive risk– adjusted returns over the long term while taking ESG factors into account. The key criteria the investment team looks for in its company–specific investment process are: future relevancy of a company’s products or services, sustainable competitive advantages, quality management and attractive valuation. The Fund invests principally in undervalued Equity Securities of large– cap companies. At least 75% of the Parnassus Core Equity Fun’s total assets will be invested in Equity Securities that pay dividends. The remaining 25% of the Fund’s total assets may be invested in non–dividend paying Equity Securities. Up to 20% of the Parnassus Core Equity Fund’s total assets can be invested in foreign Securities (typically through American Depository receipts).
|Market values as of 11/13/2019||Total Returns as of 10/31/2019|
|Investment Portfolio||Unit Value||Daily Change||YTD Return as of 11/13/2019||1 Month||3 Month||1 Year||3 Year||5 Year||10 Year||Since Inception||Inception Date||Expense Ratio|
|Socially Targeted||Market values as of 11/13/2019||$33.71||0.56%||25.71%||Total Returns as of 10/31/2019||0.31%||0.78%||17.98%||14.90%||10.23%||13.06%||13.06%||General Information||Nov 2009||0.63%|
|Socially Targeted Investment Portfolio Benchmark||2.16%||2.41%||14.23%||14.81%||10.66%||13.54%||13.54%|
Average Annual Returns
Updated Monthly as of 10/31/2019
|1 Year||3 Year||5 Year||Since Inception Nov 2009|
|Socially Targeted Investment Portfolio||17.98%||14.90%||10.23%||13.06%|
|Socially Targeted Investment Portfolio Benchmark||14.23%||14.81%||10.66%||13.54%|
Returns are net of fees.
The Socially Targeted Investment Portfolio’s Benchmark is a blended composite benchmark reflecting the asset strategic benchmark index components for each underlying investment manager, and an adjustment reflecting the administrative fee for the Portfolio:
- S&P 500
Portfolio Fees as of 10/31/2019
|Asset Management Fees*||0.53%|
|Expense Ratio (Asset Management + Administrative Fee)||0.63%|
* Net of 0.10% fee rebate
|As of 11/13/2019||$33.71|
The investment objective of the Socially Targeted Investment Portfolio is to achieve both capital appreciation and current income by investing primarily in a diversified portfolio of large-cap equity securities using financial, environmental, social, and governance (ESG) criteria.
The Socially Targeted Investment Portfolio invests entirely in the Parnassus Core Equity Fund. Because it invests entirely in an actively managed Fund it is subject to manager risk. The Portfolio is also subject to investment style risk. The Fund’s share price may change daily based on the value of its security holdings. Stock markets can be volatile, and stock values fluctuate in response to the asset levels of individual companies and in response to general domestic and international market and economic conditions. In addition to large–cap companies, the Fund strategy may invest in small– and/ or mid–cap companies, which can be more volatile than large–cap firms. Security holdings in the Fund can vary significantly from broad market indexes.
Responsible Investment Policy
Parnassus Investments conducts fundamental research to determine a company’s financial health and its business prospects, and also takes ESG factors into account in making investment decisions. By incorporating ESG factors into its fundamental investment process, Parnassus Investments often identifies risks and opportunities that the market may have ignored. Parnassus Investments looks for companies that respect the environment, treat their employees well, and have effective equal– employment–opportunity policies and good community relations. Companies also must have strong corporate governance policies and ethical business dealings. Parnassus Investments will not invest in companies that derive significant revenues from the manufacture of alcohol, tobacco, or weapons, companies that have direct gambling operations, and companies that generate electricity from nuclear power facilities. The spirit of these exclusionary screens is to avoid investment in companies with negative impacts that outweigh any potential benefits from their business activities.
- All investment return information is calculated by BNY Mellon Asset Servicing. Returns are presented net of management fees and Invest529 administrative fees. Returns for periods greater than one year are annualized.
- The Invest529 Socially Targeted Portfolio uses the Parnassus Core Equity Fund (Institutional Shares) as the underlying investment vehicle. This means that the Socially Targeted Portfolio invests in and owns shares of the underlying Parnassus Fund. Invest529 Program investors own shares of the Socially Targeted Portfolio; they do not directly own shares of the underlying Parnassus Fund.
- Past performance is no guarantee of future results. Please refer to the Invest529 Program Description and the underlying Parnassus Core Equity Fund prospectus before making any investment decision.