Long before “impact investing” became a widely used term, the Sisters of Mercy were putting their values to work through faith-based investing.
Founded in Dublin, Ireland in 1831, the Sisters of Mercy emerged from a mission to serve women, children, and families experiencing poverty. Believing that compassion and practical action should go hand in hand, the Mercy movement quickly expanded across Ireland, England, and eventually the United States in 1843.
Today, the Sisters of Mercy continue their commitment to education, health care, social services, and social justice around the world.
That same spirit guides Mercy Investment Services, the socially responsible investing program of the Sisters of Mercy of the Americas. Mercy Partnership Fund (MPF), its community investing arm, provides below-market-rate loans to mission-driven organizations that advance economic opportunity, support underserved communities, and promote environmental sustainability.
Today, MPF invests in organizations across the United States and more than 70 countries. For many decades, one of those partners has been OppFund.
Investing as a Ministry
According to Sarah Smith, Director of Mercy Partnership Fund, the Sisters of Mercy were among the earliest faith-based investors to recognize that investments could be a direct expression of mission.
“The journey [goes] back nearly five decades,” Smith said, describing how Mercy communities began exploring community investing as a way to support people in need while generating returns that could sustain their ministries.
Over time, they came to understand that “how they invested their dollars could be a ministry in and of itself, in addition to health care, education, and social services.”
That philosophy continues to guide Mercy Investments today. “The whole CDFI model aligns so well with the mission of the Sisters of Mercy,” Sarah Smith said. “You all do it so effectively in terms of bringing together both the financial resources as well as the technical support that’s really needed to move individuals and small businesses forward.”
For Russell Beckham, Impact Investing Manager at Mercy Partnership Fund, the work is also about changing systems that create barriers to opportunity. “Mercy is tied to systems change, which is an interest of mine,” Beckham said. He added that the organization’s commitment to marginalized communities, immigrants, and people experiencing poverty resonates deeply with him. “Working to alleviate poverty and to be able to do that through economic justice and building generational wealth is something that ties back to the full-circle idea of systems change.“
A Partnership Built on Trust and Results
Sisters of Mercy had a longstanding presence in Michigan and particularly in Detroit. Since that initial connection with OppFund, the relationship has only strengthened. One especially memorable experience came when Mercy Investments brought committee members to Detroit for a site visit.
“We were able to visit some small business owners and actually see them in action,” Smith recalled. The group also met homeowners who had purchased homes with support from OppFund’s programs. Seeing borrowers firsthand reinforced the value of the investment.
“Those borrowers appreciated not just having the financial resources to move forward, but also that personal connection,” Smith said.
Over the years, Mercy Investments has gained confidence in OppFund through regular conversations with leadership and by observing the organization’s resilience during difficult economic periods.
“One of the things that’s given us confidence is understanding how Opportunity Resource Fund has worked through challenges,” Smith said, citing the recession, COVID-19 recovery efforts, economic uncertainty, and shifting federal resources. “It takes a lot of guts and innovation to continue to work through all that.”
Beckham echoed those sentiments, emphasizing the transparency and mission focus he experienced during the most recent investment renewal process. “It is definitely the people,” Beckham said. He praised the organization’s willingness to have deep conversations about the impact in communities.
OppFund’s “Secret Sauce”: Collaboration, Creativity, Commitment to Service
When asked what sets OppFund apart from other investment opportunities, both Smith and Beckham pointed to collaboration, creativity, and a deep commitment to serving those who are often excluded from traditional financial systems.
“Part of [OppFund’s] secret sauce has been working with those most in need, those that don’t qualify for any other traditional financing source,” Smith said. “It takes a lot of creativity and care to make those loans work.”
She also highlighted OppFund’s ability to form strategic partnerships, particularly in a challenging funding environment. “The ability of your organization to effectively partner with other organizations… is enormously important,” she said.
Beckham agreed, pointing to OppFund’s collaboration with fellow CDFIs and community partners across Michigan. “Collaboration is the first thing that comes to mind,” he said. “Seeing how OppFund does work with other organizations and CDFI coalitions… is incredibly important.”
As economic challenges continue to evolve, Mercy Investments remains confident in the value of mission-driven lending and community partnerships. Their continued support reflects a shared belief that when capital is paired with care, innovation, and collaboration, it can become a powerful force for lasting change.
