Supporting modernization of utility infrastructure by CenterPoint Energy

FPO
Impact bonds |

Investment supports energy-efficient projects and low-carbon technologies.

Praxis Mutual Funds strives to create meaningful impact on the world through its stewardship investing philosophy by purchasing impact bonds in the Praxis Impact Bond Funds. One such bond issued last year could have a large impact by modernizing infrastructure in the heartland of the United States and beyond.

CenterPoint Energy is a utility company serving over 7 million customers in Indiana, Louisiana, Minnesota, Mississippi, Ohio and Texas. In March 2023, it issued a $300 million green bond for projects that will help address social inequalities and demonstrate environmental benefits.

The use of proceeds for CenterPoint’s green bond potentially include:

  • Energy-efficient projects within the company’s current portfolio related to equipment systems, operational improvements, and other sustainable maintenance.
  • Green building construction, development and operational maintenance expenditures
  • Acquisitions of new, existing or refurbished buildings that have received LEED (Leadership in Energy and Environmental Design), ENERGY STAR and other industry-leading certifications.

CenterPoint Energy aims to invest in multiple projects to modernize its infrastructure and develop low-carbon technologies to achieve its sustainability goal. For social impact, CenterPoint is actively engaged in bolstering local communities through investments in emergency preparedness, educational initiatives and environmental conservation efforts.

For more information about CenterPoint's sustainable financing framework, visit Sustainable Financing Framework (centerpointenergy.com)

The Praxis Impact Bond Fund invests in many bonds that finance impactful projects around the world. These bonds receive competitive financial returns, and have a clear, direct impact on the world. Investments include renewable energy projects, green bonds, low-income housing, education, social bonds and more.

Benjamin Bailey, CFA, Vice President of Investments, Co-portfolio Manager of Praxis Impact Bond Fund | Praxis Mutual Funds
Author Benjamin Bailey
Vice President of Investments

How we invest

At Praxis, our investments generate a competitive financial return and deliver a clear and direct benefit to people and our planet.

Disclosure

As of June 30, 2024, the Praxis Impact Bond Fund has invested 0.10% of its assets in the CenterPoint Energy green bond. Fund holdings are subject to change. To obtain holdings as of the most previous quarter, visit praxismutualfunds.com.

Bond funds will tend to experience smaller fluctuations in value than stock funds. However, investors in any bond fund should anticipate fluctuations in price, especially for longer-term issues and in environments of rising interest rates.

The Fund’s investment strategy could cause the fund to sell or avoid securities that may subsequently perform well.