SEC Issues New Commandment: Thou Shalt Not Bible Wash

On September 19, 2024, the SEC charged Inspire Investing LLC with making misleading statements and compliance failures regarding its "biblically responsible investing" strategy. Despite claiming to use a data-driven methodology to avoid investing in companies that conflicted with biblical values, the SEC claimed that Inspire instead relied on a manual research process and inconsistently applied its investment criteria from 2019 to 2024. As a result, the SEC found that Inspire invested in companies that did not meet its stated values. Without admitting or denying the charges, Inspire agreed to pay a $300,000 penalty, undergo a censure, and improve compliance procedures under independent supervision.