Gabriel Buiz | AFP | Getty Images
The Vatican Bank on Tuesday released two stock indexes that track stocks aligned with Catholic values. With its first foray into thematic investment products, the bank may roll out other financial products, including ETFs, in the future.
The bank, which reports to a committee of cardinals and popes, said in a statement Tuesday that the Morningstar IOR Eurozone Catholic Principles Index and the Morningstar IOR U.S. Catholic Principles Index include 50 medium- and large-sized companies deemed to meet Catholic ethical standards, including prioritizing human bonds and social justice.
“Building benchmarks according to recognized Catholic ethical standards allows us to make our performance evaluation and reporting processes even more rigorous and transparent,” Vatican Bank Deputy Director and Chief Financial Officer Giovanni Boscia said in a statement. “This initiative reaffirms our commitment as a financial institution in the service of the Church and further strengthens (the Vatican Bank’s) role as a reference point in the Catholic world.”
Eurozone Fund evaluates semiconductor suppliers ASML Holding The largest holdings in the U.S.-based index include telecommunications company Deutsche Telekom. meta platform and Amazon.
These developments also increase the likelihood that the index will be approved for use in exchange-traded funds.
The debut comes amid growing investor appetite for ETFs and other thematic investment products. According to PricewaterhouseCoopers, the global ETF market will grow by nearly 30%, topping $14 trillion by 2024. And according to a PwC report dated March 2025, the combined value of these funds could reach $30 trillion by 2029.
On the other hand, investment products rooted in social responsibility and other themes are attractive to some investors. Ave Maria Mutual Funds, a family of funds that allocates capital according to Catholic teachings, announced $3.8 billion in assets under management as of last year, according to its website.
The Vatican Bank is working to reform its image following a series of scandals. Financial institutions connected to the Holy See have faced multiple allegations of money laundering and ties to organized crime, particularly after the collapse of Milan-based Ambrosiano Bank in 1982. In 2021, former Vatican Bank president Angelo Caloia was found guilty of money laundering and embezzlement of millions of euros in connection with his role at the institution.
