We believe strongly that investing for churches & ministry organizations is more than the numbers. We believe that these organizations, supplied by the generosity of God’s people, must not only get a reasonable rate of return, but avoid unnecessary risk and, most of all, invest with a strong belief that our dependence is ultimately upon God, not in temporary financial investments. This means that we should clearly identify the reasons a ministry invests — either A) Emergency Cash, Ministry Reserve (limited in scope), B) defined project (such as a building fund), or C) ministry endowment (where the earnings support a clearly defined objective such as missions or scholarships).
The investment options are described below and a new account application can be downloaded here.
The monthly update for funds and rates can be downloaded here.
Church and Institutional Investment
Investing for a church is a particular challenge, maintaining a balance between prudent planning versus an unspiritual independence from God’s provision. BFI provides individual consultation with finance and stewardship committees from IBSA churches, helping them with wise church investing choices and providing counsel about communicating this to the larger congregation. A church’s decisions about saving and investing should encourage the stewardship of its member, not discourage or diminish the generosity of others. To learn more about this program, download this document.
The Bank of Springfield gives us access to high yield cash management (currently 3/4% ) with full liquidity and 24 hour account access. BFI can also establish an ACH (Automated Clearing House) arrangement with your local bank for even faster access to your funds. A fee of .15% (15 basis points) is charged for this type of account. Perfect for Emergency Cash (Ministry Reserve).
BFI offers defined maturity bonds to support Illinois Baptist church capital projects. Their returns are:
BFI bonds are secured by a first position mortgage and a loan is never made for greater than 50% of the property value. Further, the loan payments may not receive 25% of a church’s unrestricted income. BFI bonds are sold in $1,000 increments, has been default free since its inception. Perfect for defined projects, or, at the longer end, Ministry Endowment.
Church Building Loans Investment Pool
Through BFI’s partnership with the Baptist Foundation of Oklahoma has maintained a church loan program lending to Baptist Churches and organizations throughout the West and Midwestern US. Their program has been default free since its inception more than 60 years ago and is considered extraordinarily stable. Perfect for Emergency Cash (Ministry Resource) when laddered or Defined Maturity Projects.
Longer Term Fixed Income Portfolio
An investment characterized by low risk fixed income assets (primarily high grade municipals, corporate or government bonds, and a limited amount of preferred stock), need a reliable income stream (or have the ability to reinvest), and do not anticipate needing a return of principal for an extended period of time, the Bank of Springfield (LPL investments) provides a portfolio for BFI investors that has a current yield of 5-6%. Fees are .35% (35 basis points) for participation in this fund. Perfect for Ministry Endowment.