First Socially Responsible 'Junk' Bond Fund Continues Solid Performance in First Quarter

Apr 10, 2001, 01:00 ET from Pax Funds

    PORTSMOUTH, N.H., April 10 /PRNewswire/ -- Building on its success in
 2000, the Pax World High Yield Fund (http://www.paxfunds.com ) posted a total
 return of 6.30 percent for the first quarter of 2001 compared to the Lipper
 High Current Yield Bond Fund Index average of 3.99 percent over the same
 period.(1)
     For the 12-month period ending March 31, 2001, the Fund is up 6.68
 percent, compared to the same Lipper category average of -3.20 percent.
 During the same year-long period, the Pax World High Yield Fund ranked in the
 top 10 percent (32 out of 368) of such funds, according to Lipper, Inc.
     Since inception on October 4, 1999 through March 2001, the Fund has
 returned 3.09 percent.  Figures include reinvested dividends, capital gains
 distributions and changes in principal value and represent past performance,
 which is no guarantee of future return.
     "The numbers we have posted for this first quarter keep proving the
 naysayers wrong," says Pax World High Yield Fund Portfolio Manager Diane
 Keefe. "Nobody believed we could produce the numbers we have been in the high-
 yield market and stay socially responsible.  We hope to continue showing that
 socially responsible investing and performance are not mutually exclusive when
 it comes to high-yield bonds."
     The Pax World High Yield Fund seeks to produce high current income through
 investment primarily in high-yield medium- and lower-quality debt securities.
 The Pax World High Yield Fund is the first socially screened high-yield fund
 to be offered to the public.  The Fund's portfolio manager evaluates companies
 from both financial and social perspectives and seeks out companies that
 provide products and services that improve the quality of life and that are
 not, to any degree, involved in the manufacture of tobacco, liquor, gambling
 and defense or weapons-related products.
     Pax World High Yield Fund seeks to identify and profit from the divergence
 between rating services 'evaluations' and the true credit value of bonds. The
 Fund invests primarily in high-yield, fixed income securities rated BBB or
 lower by Standard & Poor's Ratings Group or Moody's Investors Service commonly
 referred to as "junk bonds", however, not all securities may be rated. In
 general, the Fund is over-weighted in more defensive BB and B+ bonds from
 companies in high growth sectors.
     Diane Keefe is a Chartered Financial Analyst (CFA) and a member of the New
 York Society of Securities Analysts and the Association of Investment
 Management and Research.  Prior to joining Pax World Management Corporation in
 1999, she was a senior vice president in the Taxable Fixed Income Department
 of Dillon, Reed & Co., Inc. specializing in institutional sales of high yield
 bonds from 1989 until its merger with Swiss Bank Corp.  In September 1998,
 Keefe was appointed a director in the Rates Division of Swiss Bank Corp. where
 she continued her specialization in the global high-yield securities market.
 Keefe has served on the Co-op America Board of Directors for over 10 years,
 including the role of chairperson for the last three years.
 
     ABOUT PAX WORLD FUNDS
     Pax World Funds -- including the Pax World Balanced Fund, the Pax World
 Growth Fund, the Pax World High Yield Fund and the Pax World Money Market
 Fund -- seek to enable persons of conscience to invest in keeping with their
 ethical values and to challenge corporations to establish and meet certain
 ethical standards. The Funds invest in companies that produce goods and
 services that improve the quality of life such as health care, technology,
 housing, food, education, pollution control, utilities, and leisure-time
 activities. The Funds do not invest in companies that make defense or weapons-
 related products or that derive revenue from the manufacture of tobacco,
 alcohol, or gambling products.
 
     Investment return and principal value of an investment will fluctuate so
 that an investor's shares, when redeemed, may be worth more or less than their
 original cost.
     For more information about any Pax World Fund Family mutual fund,
 including charges and expenses, call 1-800-767-1729. Read the prospectus
 carefully before you invest or send money.
 
     Pax World Management Corp.
     222 State Street
     Portsmouth, NH 03801
 
     (1) Lipper, a Reuters company, is a global leader in supplying mutual fund
 information, analytical tools, and commentary.  Lipper's benchmarking provides
 the trusted guidepost to asset managers, fund companies, financial
 intermediaries, traditional media, web sites, and individual investors.
 
 

SOURCE Pax Funds
    PORTSMOUTH, N.H., April 10 /PRNewswire/ -- Building on its success in
 2000, the Pax World High Yield Fund (http://www.paxfunds.com ) posted a total
 return of 6.30 percent for the first quarter of 2001 compared to the Lipper
 High Current Yield Bond Fund Index average of 3.99 percent over the same
 period.(1)
     For the 12-month period ending March 31, 2001, the Fund is up 6.68
 percent, compared to the same Lipper category average of -3.20 percent.
 During the same year-long period, the Pax World High Yield Fund ranked in the
 top 10 percent (32 out of 368) of such funds, according to Lipper, Inc.
     Since inception on October 4, 1999 through March 2001, the Fund has
 returned 3.09 percent.  Figures include reinvested dividends, capital gains
 distributions and changes in principal value and represent past performance,
 which is no guarantee of future return.
     "The numbers we have posted for this first quarter keep proving the
 naysayers wrong," says Pax World High Yield Fund Portfolio Manager Diane
 Keefe. "Nobody believed we could produce the numbers we have been in the high-
 yield market and stay socially responsible.  We hope to continue showing that
 socially responsible investing and performance are not mutually exclusive when
 it comes to high-yield bonds."
     The Pax World High Yield Fund seeks to produce high current income through
 investment primarily in high-yield medium- and lower-quality debt securities.
 The Pax World High Yield Fund is the first socially screened high-yield fund
 to be offered to the public.  The Fund's portfolio manager evaluates companies
 from both financial and social perspectives and seeks out companies that
 provide products and services that improve the quality of life and that are
 not, to any degree, involved in the manufacture of tobacco, liquor, gambling
 and defense or weapons-related products.
     Pax World High Yield Fund seeks to identify and profit from the divergence
 between rating services 'evaluations' and the true credit value of bonds. The
 Fund invests primarily in high-yield, fixed income securities rated BBB or
 lower by Standard & Poor's Ratings Group or Moody's Investors Service commonly
 referred to as "junk bonds", however, not all securities may be rated. In
 general, the Fund is over-weighted in more defensive BB and B+ bonds from
 companies in high growth sectors.
     Diane Keefe is a Chartered Financial Analyst (CFA) and a member of the New
 York Society of Securities Analysts and the Association of Investment
 Management and Research.  Prior to joining Pax World Management Corporation in
 1999, she was a senior vice president in the Taxable Fixed Income Department
 of Dillon, Reed & Co., Inc. specializing in institutional sales of high yield
 bonds from 1989 until its merger with Swiss Bank Corp.  In September 1998,
 Keefe was appointed a director in the Rates Division of Swiss Bank Corp. where
 she continued her specialization in the global high-yield securities market.
 Keefe has served on the Co-op America Board of Directors for over 10 years,
 including the role of chairperson for the last three years.
 
     ABOUT PAX WORLD FUNDS
     Pax World Funds -- including the Pax World Balanced Fund, the Pax World
 Growth Fund, the Pax World High Yield Fund and the Pax World Money Market
 Fund -- seek to enable persons of conscience to invest in keeping with their
 ethical values and to challenge corporations to establish and meet certain
 ethical standards. The Funds invest in companies that produce goods and
 services that improve the quality of life such as health care, technology,
 housing, food, education, pollution control, utilities, and leisure-time
 activities. The Funds do not invest in companies that make defense or weapons-
 related products or that derive revenue from the manufacture of tobacco,
 alcohol, or gambling products.
 
     Investment return and principal value of an investment will fluctuate so
 that an investor's shares, when redeemed, may be worth more or less than their
 original cost.
     For more information about any Pax World Fund Family mutual fund,
 including charges and expenses, call 1-800-767-1729. Read the prospectus
 carefully before you invest or send money.
 
     Pax World Management Corp.
     222 State Street
     Portsmouth, NH 03801
 
     (1) Lipper, a Reuters company, is a global leader in supplying mutual fund
 information, analytical tools, and commentary.  Lipper's benchmarking provides
 the trusted guidepost to asset managers, fund companies, financial
 intermediaries, traditional media, web sites, and individual investors.
 
 SOURCE  Pax Funds