Neighborly Investing

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Cultures around the world have terms to characterize types of relationships.  My family and I had the privilege of living in Papua New Guinea, an island nation in the South Pacific, for a time and we quickly learned of the Pidgin term wantok, which is literally translated as “one-talk,” suggesting a relationship based on common language.  But the actual meaning is much broader, it includes anybody that you have a strong social bond with (due to lineage, proximity, association, etc.).

In America, we have the term “neighbor” which suggests geographical proximity.  However, just as the term wantok has a broader definition, in the biblical story of the Good Samaritan we learn of a broader definition of the term neighbor: a person who makes caring for others a higher priority than just caring for themselves (Luke 10:37).  Jesus uses the story to emphasize the two greatest commandments: love God and love your neighbor (Luke 10:27). 

Most of us have never thought about how the biblical mandate to love our neighbor may play out in our investments.  We tend to focus on what companies give us the best return, ignoring other aspects of the companies.  However, there is a movement today called triple-bottom-line investing.  It focuses on a company’s profit (revenue > expenses), people (treatment of employees, customers, suppliers, and shareholders), and planet (impact on local and global community and the environment).   Companies that practice the three p’s are being good neighbors in all aspects of their business.

By investing in these companies, we can practice neighborliness in yet another way in our lives.  We can invest in companies that are concerned about more than just the single bottom-line of profit, rather, we can invest in companies that want to also make a broader positive impact on the world.  Let us all strive towards neighborliness, wherever we may live in the world. 

Doug Hanson, MBA

Wealth Advisor