Grow your church's reserves with faith-aligned investments

Why should your church invest surplus funds?

Most churches maintain operating reserves, building funds, and capital campaign accounts. When those funds sit in a standard checking or savings account earning 0.01–0.5%, inflation erodes their purchasing power every year. A church with $500,000 in reserves earning 0.1% loses roughly $15,000–$20,000 in real value annually to inflation.

Church investment funds and CDs solve this problem while aligning with your mission. Denomination extension funds like AGFinancial, LCEF, and Solomon Foundation pool deposits from member churches and use them to fund loans to other congregations. Your church earns a competitive return (typically 4.0–5.5% on CDs) while your money helps another church build, renovate, or expand.

The key distinction is between three product types. Certificates of Deposit (CDs) lock your funds for a fixed term (6 months to 5 years) at a guaranteed rate — highest yields, least flexibility. Money market accounts offer slightly lower rates but allow withdrawals at any time — ideal for operating reserves you may need on short notice. Investment funds are longer-term vehicles that may offer variable returns based on the fund's lending portfolio performance.

For most churches, the right strategy is a ladder: keep 3–6 months of operating expenses in a money market account for liquidity, then ladder CDs at different maturities (12, 24, 36 months) with your building fund and capital campaign reserves. This maximizes yield while ensuring you always have funds maturing when you need them.