SALT LAKE CITY — The Church of Jesus Chris of Latter-day Saints’ largest investment fund had nearly $38 billion in stocks and mutual funds at the end of 2019, according to a filing that sheds new light on the faith’s finances.
The fund called Ensign Peak Advisors submitted a filing to the U.S. Securities and Exchange Commission on Feb. 14 disclosing its holdings, which include $1.5 billion each in Apple and Microsoft, the Salt Lake Tribune reported Saturday.
The church also owned $930 million in Google stock and $855 million in Amazon.
The SEC filing is standard for institutional investment managers with assets of at least $100 million but while the church has met that threshold for years, the SEC website does not show any earlier filings by Ensign Peak Advisors. A church spokesman declined to answer questions about why the recent filing was made, the Tribune reported.
The filing does not include all the church’s financial holdings and the church is not required to report investments in property or private companies. Ensign Peak Advisors is just one of the church’s investment firms, said church historian D. Michael Quinn.
“It’s great detail that we haven’t had before,” Quinn said. “But it’s only part of the picture.”
The filing comes after a former church investment manager, David Nielsen, said he filed a complaint with the IRS in November alleging the church has improperly built a $100 billion investment portfolio using member donations that are supposed to go to charitable causes. He argues the church owes billions of dollars in taxes and he wants a cut of that as part of a reward the IRS offers whistleblowers.
The IRS has said federal tax laws do not allow it to confirm or discuss any complaints.
After Nielsen went public with his allegation, church officials defended how they use and invest member donations. The vast majority of member donations are used to fund church operations, temples, missions, education and humanitarian needs while another portion is “methodically safeguarded through wise financial management and the building of a prudent reserve for the future,” church spokesman Eric Hawkins said in a statement in December.
Quinn estimated in a book published in 2018 that the religion, widely known as the Mormon church, brought in $33 billion in member contributions and an additional $15 billion from its for-profit businesses in 2010. Much of that money is likely spent to operate church buildings, temples and programs, he said.
Ensign is registered as a supporting organization and integrated auxiliary of the church, allowing it to operate as a non-profit and to mostly make money tax-free as long as it operates only for religious, education or charitable purposes. Nielsen alleges the church hasn’t directly funded those three categories in more than two decades.
The allegations, first reported by the Washington Post, brought new attention to the church’s finances that faith leaders have long declined to discuss publicly, fueling widespread speculation. The church’s members worldwide are encouraged to give 10% of their income to the church in what is known as tithing.
The church uses the money donated through tithing to run its operations and sends the excess to Ensign Peak Advisors to invest, the Tribune reported.
The church said last year that it has provided $2.2 billion worth of assistance to 197 countries since 1985, including cash, commodities and in-kind donations.
TORONTO – Canada’s main stock index was down more than 200 points in late-morning trading, weighed down by losses in the technology, base metal and energy sectors, while U.S. stock markets also fell.
The S&P/TSX composite index was down 239.24 points at 22,749.04.
In New York, the Dow Jones industrial average was down 312.36 points at 40,443.39. The S&P 500 index was down 80.94 points at 5,422.47, while the Nasdaq composite was down 380.17 points at 16,747.49.
The Canadian dollar traded for 73.80 cents US compared with 74.00 cents US on Thursday.
The October crude oil contract was down US$1.07 at US$68.08 per barrel and the October natural gas contract was up less than a penny at US$2.26 per mmBTU.
The December gold contract was down US$2.10 at US$2,541.00 an ounce and the December copper contract was down four cents at US$4.10 a pound.
This report by The Canadian Press was first published Sept. 6, 2024.
TORONTO – Canada’s main stock index was up more than 150 points in late-morning trading, helped by strength in technology, financial and energy stocks, while U.S. stock markets also pushed higher.
The S&P/TSX composite index was up 171.41 points at 23,298.39.
In New York, the Dow Jones industrial average was up 278.37 points at 41,369.79. The S&P 500 index was up 38.17 points at 5,630.35, while the Nasdaq composite was up 177.15 points at 17,733.18.
The Canadian dollar traded for 74.19 cents US compared with 74.23 cents US on Wednesday.
The October crude oil contract was up US$1.75 at US$76.27 per barrel and the October natural gas contract was up less than a penny at US$2.10 per mmBTU.
The December gold contract was up US$18.70 at US$2,556.50 an ounce and the December copper contract was down less than a penny at US$4.22 a pound.
This report by The Canadian Press was first published Aug. 29, 2024.
The crypto market has recently experienced a significant downturn, mirroring broader risk asset sell-offs. Over the past week, Bitcoin’s price dropped by 24%, reaching $53,000, while Ethereum plummeted nearly a third to $2,340. Major altcoins also suffered, with Cardano down 27.7%, Solana 36.2%, Dogecoin 34.6%, XRP 23.1%, Shiba Inu 30.1%, and BNB 25.7%.
The severe downturn in the crypto market appears to be part of a broader flight to safety, triggered by disappointing economic data. A worse-than-expected unemployment report on Friday marked the beginning of a technical recession, as defined by the Sahm Rule. This rule identifies a recession when the three-month average unemployment rate rises by at least half a percentage point from its lowest point in the past year.
Friday’s figures met this threshold, signaling an abrupt economic downshift. Consequently, investors sought safer assets, leading to declines in major stock indices: the S&P 500 dropped 2%, the Nasdaq 2.5%, and the Dow 1.5%. This trend continued into Monday with further sell-offs overseas.
The crypto market’s rapid decline raises questions about its role as either a speculative asset or a hedge against inflation and recession. Despite hopes that crypto could act as a risk hedge, the recent crash suggests it remains a speculative investment.
Since the downturn, the crypto market has seen its largest three-day sell-off in nearly a year, losing over $500 billion in market value. According to CoinGlass data, this bloodbath wiped out more than $1 billion in leveraged positions within the last 24 hours, including $365 million in Bitcoin and $348 million in Ether.
Khushboo Khullar of Lightning Ventures, speaking to Bloomberg, argued that the crypto sell-off is part of a broader liquidity panic as traders rush to cover margin calls. Khullar views this as a temporary sell-off, presenting a potential buying opportunity.
Josh Gilbert, an eToro market analyst, supports Khullar’s perspective, suggesting that the expected Federal Reserve rate cuts could benefit crypto assets. “Crypto assets have sold off, but many investors will see an opportunity. We see Federal Reserve rate cuts, which are now likely to come sharper than expected, as hugely positive for crypto assets,” Gilbert told Coindesk.
Despite the recent volatility, crypto continues to make strides toward mainstream acceptance. Notably, Morgan Stanley will allow its advisors to offer Bitcoin ETFs starting Wednesday. This follows more than half a year after the introduction of the first Bitcoin ETF. The investment bank will enable over 15,000 of its financial advisors to sell BlackRock’s IBIT and Fidelity’s FBTC. This move is seen as a significant step toward the “mainstreamization” of crypto, given the lengthy regulatory and company processes in major investment banks.
The recent crypto market downturn highlights its volatility and the broader economic concerns affecting all risk assets. While some analysts see the current situation as a temporary sell-off and a buying opportunity, others caution against the speculative nature of crypto. As the market evolves, its role as a mainstream alternative asset continues to grow, marked by increasing institutional acceptance and new investment opportunities.
