Pax World Balanced Fund Continues Strong Performance

Ranks in Top 10 Percent of Funds for One– and Ten-Year Periods According to Lipper

PORTSMOUTH, N.H. – January 11, 2008 – Pax World Management Corp., investment adviser to Pax World Funds ("Pax"), which launched the nation's first socially responsible mutual fund in 1971, today announced that the Pax World Balanced Fund (the "Fund") has continued to deliver consistent long-term performance by ranking in the top 9 percent of balanced funds tracked by Lipper (75th out of 814 balanced funds) for the one-year period and the top 7 percent (16th out of 245 balanced funds) for the ten-year period ended December 31, 2007, according to Lipper. For the 5-year period ended December 31, 2007, the Fund ranked in the top 14 percent (#63 out of 441 funds).*

The Fund, managed by Pax World Chief Investment Strategist and Senior Portfolio Manager Chris Brown, has outperformed the S&P 500 Index for the one- and ten-year periods ended December 31, 2007, with an average annual return of 9.44 percent and 8.06 percent, respectively, compared to the S&P 500 Index one-year return of 5.49 percent and ten-year return of 5.91 percent for the same period. For the 5-year period ended December 31, 2007, the Fund had an average annual return of 11.16 percent compared to the S&P 500 Index return of12.82 percent for the same period.

The Balanced Fund was also recently recognized by MutualsAdvisor.com as one of the "Top Ten Mutual Funds for 2008" for its "outstanding performance, experienced management team[s], a unique investment philosophy, a consistent strategy and time-tested stock selection and portfolio management skills."

"Our strategy is relatively simple," Brown said. "We look for stocks trading at reasonable prices and industries around the world that are growing at a higher rate than the overall economy. For 2007, the Fund was not heavily affected by the subprime mortgage issue given our avoidance of homebuilders and underweighting in housing related stocks. Also, being underweight in the financial services sector helped the Fund outperform on a relative basis since that was the worst performing sector in the S&P 500 during 2007."

As of December 31, the Balanced Fund held 73 percent in equities, 26 percent in fixed income and 1 percent in cash. With a weakening U.S. dollar, Brown invested in large domestic growth stocks with high foreign sales exposure as well as foreign securities.

"At Pax World, we try to focus on investing in forward-thinking companies and that strategy has paid off for the Balanced Fund," said Joe Keefe, CEO of Pax World Management Corp. "By following a consistent, disciplined approach that combines rigorous financial analysis with equally rigorous environmental, social and governance (ESG) analysis, we believe we can identify better long-term investments for our shareholders."

For more information, contact Brendon Buckley 617.933.5021 or Cosabeth Bullock 617.933.5277.

*Lipper rankings are based on average annual total returns (not including sales charges) for the periods indicated and compare total return performance with that of other funds in the category.

Performance quoted represents past performance and does not guarantee future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than that shown here. Performance data current to the most recent month-end is available here.