Research Methodology

Fidelis analyzes companies with an proprietary and detailed methodology, to determine their ethical compliance according to four ethical principles and nine evaluation criteria. 

Fidelis analyzes companies with an proprietary and detailed methodology, to determine their ethical compliance according to four ethical principles and nine evaluation criteria. 

Through our robust methodology we screen securities (equities and other securities), guaranteeing investors that their ethical principles are not being compromised when they make investment decisions.

We generate lists of companies in which investors are advised about the ethical viability of each screened company. Our results advise to be cautious, to avoid completely, or to feel confident they can invest in the companies included in our lists.

Our methodology is based in four ethical principles:

1.Natural Law 
2. Common Good
3. Family
4. Human Dignity

Our Ethical Evaluation Criteria:

Our research methodology is based on negative screening process. Fidelis evaluates organizations according to the following criteria:

1. Violence to human life and instrumentalization of procreation.
We evaluate how an organization products, services, research, or supported activities are related to contraceptives, abortive drugs, embryo-destructive research, human cloning, In Vitro fertilization sterilization.

2. Workers’ rights violations.
Workers must be treated according to the dignity of human nature. Hence, they (and their families) must always be treated as the subjects of various rights, and with concern for their wellbeing and happiness, and not merely as machinery by which to build up a profit for a company.

3. Questionable dealings in arms development, production and sales.
Fidelis evaluates the degree in which organizations are involved in the manufacture or sales of morally questionable kinds of weapons.

Morally questionable weapons may include those which are non-discriminating, such as cluster bombs, nuclear weapons, chemical and biological weapons.

4. Involvement in the pornography industry.
Fidelis takes the evil of pornography very seriously as it is gravely destructive of family life and devastating to men and especially women, who are often exploited and victimized, and those who become involved in it.

We evaluate if organizations produce, distribute, advertise, or sell pornographic materials or media or services.

5. Incitement to the immoderate use of alcohol or tobacco, or to excessive gambling.
These three matters: alcohol, tobacco, and gambling, are not exactly on a par, but they are nevertheless placed together under one general criterion as having the similar quality of being more or less and in different ways addictive or habit forming.

ALCOHOL: We evaluate if organizations that produce, sell or distribute this kind of products promote abuse in their consumption.

TOBACCO: Fidelis excludes tobacco companies on the grounds that the use tobacco is related to disease and sometimes death, and that many tobacco companies have demonstrated a scandalous indifference to human life in the past. 

GAMBLING. Our main concern with this issue is not that that organizations may profit from gambling, but the manner in which they do so. From our point of view, these establishments and practices are, for the most part, designed to promote addictive behavior and excess. 

6. Abuse of natural resources.
Natural resources are common goods for the whole human race. In accordance with the primacy of common goods over private ones, natural resources must always be used with a respect for their purpose of serving the needs of many, and must not be monopolized by corporate interests in a manner that profits the company but harms the community as a whole.

7. Fraud, money laundering, corruption and similar illegal activities.
Some of these practices have become common in today’s business world, and we find it has a negative effect on how business is done. Some of the issues we take into account when evaluating under this criteria are:

•Corruption practices, such as bribing, threatening decision-makers in order to obtain benefits.
•Price fixing or cartel formation.
•If the organization has been sued for malpractices or deceiving customers.

8. Promotion of unchristian ideals.
Since our organization is based on judeo-christian values, we evaluate if companies act against Christian principles or lobby against them.

9. Complicity with government injustice.
A company might be involved in the injustice of others not only by promoting or sponsoring it, but by actually cooperating with it. We are especially concerned with corporate cooperation with government-based injustice since a government is especially entrusted with the care of the common good, and hence has tremendous power.


Our research process: