A Letter from Makepeace Money Management

When the news broke late last month, it read almost like satire. The Securities and Exchange Commission had charged a mutual fund company that specialized in socially responsible investments with taking stakes in companies involved with alcohol, gambling and military contracting.

–The New York Times

Dear Investors,

Several years ago, when I, Bart Makepeace, began Makepeace Money Management, a group of socially responsible mutual funds, some people thought you had to suffer financially if you put your money where your conscience is. With an average return last year of 296.65% over our whole family of funds, we’ve put that worry to rest. “How do you do it, Bart?” both you and federal regulators have asked. The answer is savvy investment choices and a clear conscience. Let me share with you a few of the moves we’ve made recently.

Technology stocks have held their own this past year, and we were right there with our Tech Sector Fund. During its initial public offering, our portfolio manager snapped up 100,000 shares of HeyBigBoy, which makes Internet filtering software. This cutting-edge technology saves you time and effort during your Internet searches by filtering out all nonpornographic sites. The software was fully checked out by our dedicated screeners, who worked night and day, through meals and marriages, without overtime pay, sometimes having to be physically removed from their terminals. After a six-month review, they found conclusively that no animals were harmed during the development of the software.

Our Organic Growth Fund gained 342.76% last year, thanks to two factors: a strong showing by the SuperFresh organic grocery chain and our substantial purchase of high-performing WorldLeaf Tobacco Company stock. That company made our hot list with its decision to raise the amount of organic tobacco it buys from growers. You parents will be glad to know that one of its new products will contain 100 percent organic tobacco; it’s called Miley’s Pack, The Rockin’ Toke for Teens.

When you invest in Makepeace funds, you not only make money, you make a difference. Our letter-writing campaign and threats of disinvestment have improved working conditions in the Southeast Asian factories of the athletic shoe company Loki. On a fact-finding mission that I myself made to the so-called “sweatshops,” I saw that indeed we got results. Thanks to our efforts, the management has installed ceiling fans.

A small percentage of you have written to me recently, asking for a response to a vicious article published in the Wall Street Journal, which questioned the “greenness” of some of our investments. What the article failed to mention was that we acquire some stocks in order to speak at shareholder meetings and perhaps help change the way these companies do business. Our 25% stake in DeathGen Inc., a maker of biological weapons of mass destruction, falls into this category. Unfortunately, I was unable to attend last month’s shareholder meeting in Waziristan, due to air traffic control problems in the region.

Be sure to mark your calendars for our own shareholders meeting, which will be held in Las Vegas again this year. The Debauchio Casino and Gentlemen’s Club Resort has special rates for those who use the Makepeace Save the Whales VISA card (prime + 32.34% APR).

Remember, your money is always greener with Makepeace funds.

Bart Makepeace
CEO and CFO (Cruelty Free Officer)