Pax World Expands Product Lineup With Three New Mutual Funds

Sustainable Investing Innovator Adds Smart Beta Dividend, Large Cap Equity and Investment-Grade Bond Strategies

PORTSMOUTH, N.H. January 4, 2017 - Pax World Management LLC, investment adviser to Pax World Funds and a pioneer in the field of sustainable investing, has expanded its investment offerings with the launch of three new mutual funds in two core asset classes: domestic large cap equity and investment-grade fixed income. With these new additions, Pax World now offers a more comprehensive fund lineup spanning multiple asset classes and investment strategies. 

“With over $4 billion in assets under management and more than four decades of experience, the launch of these new funds marks a point of arrival for Pax,” said Pax World CEO Joe Keefe. “Investor interest in sustainable investing strategies is growing rapidly and we’ve expanded our lineup with a total of five new funds in the last year to meet this increased demand. Now investors who seek a fair return, as well as positive social and environmental impact, can achieve relatively comprehensive asset allocation within Pax World.”

Pax World’s three newest funds are:

Pax Large Cap Fund (PAXLX) – A high conviction strategy that integrates ESG research into the stock selection process and focuses on companies with attractive earnings growth potential, strong management and reasonable valuations. The Pax Large Cap Fund rounds out Pax World’s actively managed U.S. equity offerings, complementing the Pax Small Cap Fund and the Pax Mid Cap Fund, which was launched in April 2016.

Pax ESG Beta® Dividend Fund (PAXDX) – A smart beta strategy designed to consistently overweight a U.S. large cap portfolio toward dividend-paying stocks with stronger ESG profiles, higher dividend yield, and higher quality investment fundamentals that may support future dividend payments. Subadvised by Aperio Group, LLC, a leading provider of customized factor investing strategies, this is Pax World’s second smart beta strategy alongside the Pax ESG Beta® Quality Fund, which was launched in June 2016.

Pax Core Bond Fund (PAXBX) – An investment-grade fixed income portfolio with an allocation to sustainable, high-impact bonds that promote positive community and environmental outcomes. The Pax Core Bond Fund joins the Pax High Yield Bond Fund as Pax World’s second fixed income strategy.

Pax’s Sustainability Research Team plays an integral role in the construction of all three funds. The team implements a robust process to evaluate how companies are meeting ESG challenges and opportunities, and how fixed income securities support positive environmental and social impact.

“Our proprietary ESG analysis and scoring of companies is closely integrated into our fundamental analysis,” said Pax World CIO Steve Falci. “We believe this combination results in a deeper, more holistic investment approach.”

Learn more about Pax World’s family of mutual funds at


Pax World Management LLC

Pax World Management LLC, investment adviser to Pax World Funds, is a pioneer in the field of sustainable investing.  Pax World integrates environmental, social and governance (ESG) research into its investment process to better manage risk and deliver competitive long-term investment performance. For over 45 years, Pax World has made it possible for investors to align their investments with their values and have a positive social and environmental impact. Today, its platform of sustainable investing solutions includes a family of mutual funds, as well as separately managed accounts. 

Smart beta, also as known as factor investing, is a strategy wherein a portfolio of securities is over weighted, or tilted, toward certain factors – rather than market capitalization – in an effort to mitigate risk and/or deliver above market returns. 

Information containing any historical information, data or analysis should not be taken as an indication or guarantee of any future performance, analysis, forecast or prediction.  Past performance does not guarantee future results.   

Risk: Equity investments are subject to market fluctuations, a fund’s share price can fall because of weakness in the broad market, a particular industry, or specific holdings. Emerging market and international investments involve risk of capital loss from unfavorable fluctuations in currency values, differences in generally accepted accounting principles, economic or political instability in other nations or increased volatility and lower trading volume. Investments in high yield bonds generally are subjected to greater price volatility based on fluctuations in issuer and credit quality. When investing in bonds, you are subject, but not limited to, the same interest rate, inflation and credit risks associated with the underlying bonds owned by the Fund. Mortgage related securities tend to become more sensitive to interest rate changes as interest rates rise, increasing their volatility. Funds that emphasize investments in mid-size and smaller companies generally will experience greater price volatility. Investing in non-diversified funds generally will be more volatile and loss of principal could be greater than investing in more diversified funds. The Pax Mid Cap Fund, Large Cap Fund, Core Bond Fund and the ESG Beta® Dividend Fund are new and have a limited operating history.