Riverside Divests from Vanguard Managed Funds
Last week, Vanguard Charitable, one of the largest donor advised fund providers in the country, blocked their donor account holders from making donations to the Southern Poverty Law Center (SPLC), citing a federal indictment brought by the Department of Justice.
Since its founding in 1971, SPLC through its civil rights litigation has shut down some of the nation’s most violent white supremacist groups, reformed juvenile justice practices, shattered barriers to equality for women, children, the LGBT community and the disabled, and more.
We unequivocally condemn the federal government’s apparent weaponization of the Department of Justice to pursue an indictment against the Southern Poverty Law Center, an organization long committed to justice, civil rights, and the defense of the marginalized, and Vanguard’s participation in that effort. Such actions erode public trust in the impartiality of our legal institutions and represent a dangerous departure from the rule of law toward politically motivated persecution.
Guided by our long-standing commitment to social justice, ethical stewardship, and transparency, we undertook a rapid but thorough review of our investment holdings upon learning of Vanguard’s decision. The Church’s Finance Committee, in consultation with its Senior Minister and senior leadership and aligned with its Investment Policy Statement, determined that continued investment in Vanguard funds was inconsistent with the Church’s mission and values. Thus we have completed a full divestment from all Vanguard-managed funds in our investment portfolio.
We did not make this decision lightly, nor without consideration of our fiduciary duty to manage financial resources prudently. The divestment process was executed in a manner designed to minimize market disruption and ensure continuity in the Church’s broader investment strategy. Proceeds have been reallocated to alternative asset managers and funds that meet both the Church’s financial objectives and its ethical criteria.
We will continue to monitor our vendor base, asset manager base, as well as our respective value chains, to root out those current and prospective partners whose values do not align with outs.
We are also raising funds to donate to SPLC from members of The Riverside Church. If you would like to contribute, please click here and indicate your donation is for SPLC. A generous donor has agreed to match our gifts up to $5,000.
We recognize many of you, as longstanding supporters of the SPLC, might choose to donate directly. We encourage you to contribute in whatever way or ways you are led to give at this moment in time.