7 Key Principles for Christian Investing

Download or read book 7 Key Principles for Christian Investing written by Austin Pryor and published by . This book was released on 2019-02-07 with total page 31 pages. Available in PDF, EPUB and Kindle. Book excerpt: H ow does "Christian investing" differ from investing generally? Is it a matter of avoiding all risk? Of refusing to invest in certain companies? Of seeking out only "Christian" investments?Actually, a Christian approach to investing begins with an attitude -- an attitude of seeking God's glory. Indeed, our premise at Sound Mind Investing is that the number one priority for a Christian investor is to glorify God.In this SMI Special Report, I will discuss seven core principles of "investing for the glory of God." And I'll explain how these seven concepts also yield great benefits to you, the Christian investor. Because not only does investing for God's glory honor the Lord, it also provides significant safety for investors.I have become convinced that it is ultimately impossible to self-destruct financially if your decision-making is pointed in the direction of God's glory.I also have learned that to find peace of mind in investment decisions, it's important to become an initiator rather than a responder. Initiators have a concrete game plan in mind. They have made the effort to develop a strategy consistent with their long-term financial goals and personal investment temperament.An investor who is an initiator is like a grocery shopper buying ingredients for a specific recipe. When confronted with "great deals" that aren't on your shopping list, you can simply pass them by and stay focused on your plan!Another thing to keep in mind is the difference between investing and speculating. Speculating involves taking a level of risk so great that it's theoretically possible to lose most (or all!) of the money you have invested.Investing, on the other hand, involves putting your money to work, subject to modest levels of risk, in a commercial undertaking where you expect a reasonable return over a long period of time.What's reasonable? I would suggest 3%-5% above the rate of inflation.Think of it this way. Investing isn't about getting rich quick. It is about growing wealth over a long period of time, so that you can (1) provide for future needs (such as college and retirement), and (2) have more resources to give to support the Lord's work.With that bit of background, let's focus now on seven "core principles" that I hope will guide your thinking and your actions as a Christian investor.