Title: HIDDEN DESCRIPTION SLIDE
1z
- HIDDEN DESCRIPTION SLIDE NOT TO BE SHOWN TO THE
PUBLIC
GuideStone Risk/Reward Characteristics Catalogue
code A01 Full presentation or module?
Module Slide numbers A01-1 to A01-11 Registered/N
on-Registered Usage Allowed for all (Choices
registered rep use only, not for registered rep
use, allowed for all, partial limitations) Last
update info Date updated 2015-09-10 Project
26793 Description of changes Updated slide
A01-2 change 15 to 12 on MyDestination Funds
Disclaimer slide Filed with FINRA? Yes If
yes, date 10/17/13 Notes
Graphics Do not delete
2Date Target Funds
- FUND RISK/REWARD CHARACTERISTICS
InvestmentFund Risk/Reward LowHigh Investment Objective
MyDestination2005 Plan to retire nearthe year 2005
MyDestination2015 Plan to retire nearthe year 2015
MyDestination2025 Plan to retire nearthe year 2025
MyDestination2035 Plan to retire nearthe year 2035
MyDestination2045 Plan to retire nearthe year 2045
MyDestination2055 Plan to retire nearthe year 2055
- Simplified one fund retirement approach
- Invests in a diversified mix of the Select Funds
- Changes over time to meet a specified investment
strategy
AO1-1
3- The MyDestination Funds (Funds) attempt to
achieve their objectives by investing in the
GuideStone Select Funds and other investments.
The Funds are managed to a retirement date
(target date) by adjusting the percentage of
fixed income securities and equity securities to
become more conservative each year until reaching
the retirement year and then approximately 12
years thereafter. The target date in the name of
the Funds is the approximate date when an
investor plans to start withdrawing money. By
investing in the Funds, you will also incur the
expenses and risks of the underlying Select Funds
and other investments. The principal risks of the
Funds will change depending on the asset mix of
the Select Funds in which they invest. You may
directly invest in the Select Funds and other
investments, except the Flexible Income Fund and
Global Natural Resources Equity Fund. The Funds
value will go up and down in response to changes
in the share prices of the investments that they
own. The amount invested in the Fund is not
guaranteed to increase, is not guaranteed against
loss, nor is the amount of the original
investment guaranteed at the target date. It is
possible to lose money by investing in the Funds.
AO1-2
4Asset Allocation Funds
- FUND RISK/REWARD CHARACTERISTICS
InvestmentFund Risk/Reward LowHigh Investment Objective
ConservativeAllocation Current income modest capital appreciation
Balanced Allocation Moderate capital appreciation current income
Growth Allocation Capital appreciation modest current income
Aggressive Allocation Capital appreciation
- Invests in different percentages of the Select
Funds to meet their respective investment
objectives.
AO1-3
5- The Asset Allocation Funds (Funds) attempt to
achieve their objectives by investing in the
GuideStone Select Funds. By investing in the
Funds you will also incur the expenses and risks
of the underlying Select Funds. The principal
risks of the Funds will change depending on the
asset mix of the Select Funds in which they
invest. You may directly invest in the Select
Funds. The Funds value will go up and down in
response to changes in the share prices of the
investments that they own. It is possible to lose
money by investing in the Funds.
AO1-4
6Select Funds Fixed Income
- FUND RISK/REWARD CHARACTERISTICS
- Directly invests in different types of fixed
income securities, stocks or other investments to
meet their respective investment objectives.
InvestmentFund Risk/Reward Investments in
Money Market Fund Short-term, high-quality money market instruments
Low-Duration Bond Fund Composed primarily of investment grade, fixed income securities with average, dollar-weighted duration normally between one and three years
Medium-Duration Bond Fund Composed primarily of investment grade, fixed income securities with average, dollar-weighted duration normally between three and seven years
Extended-Duration Bond Fund Composed primarily of investment grade, fixed income securities with average, dollar-weighted duration normally gt than or to seven years
Global Bond Fund Composed primarily of global, fixed income securities with average,dollar-weighted duration between three and 10 years
AO1-5
7- An investment in the Fund is not insured or
guaranteed by the Federal Deposit Insurance
Corporation or any other governmental agency.
Although the Fund seeks to preserve the value of
your investment at 1.00 per share, it is
possible to lose money by investing in the Fund. - The Global Bond Fund invests in high yield
securities, commonly known as junk bonds. While
offering higher currency yields, these securities
generally are considered speculative and are
subject to greater risks than higher-rate bonds.
Securities of emerging countries may involve
additional risks including price volatility,
reduced liquidity, currency fluctuation and
financial reporting requirements as well as
political and economic instability.
AO1-6
8- Duration is a calculation that measures the price
sensitivity of a bond or a bond fund to changes
in interest rates. It is expressed in years, like
maturity, but it is a better indicator of price
sensitivity than maturity because it takes into
account the time value of cash flows generated
over the bonds life. Future interest and
principal payments are discounted to reflect
their present value and then multiplied by the
number of years they will be received to produce
a value expressed in years the duration. - The fixed income funds value will fluctuate in
response to interest rates and other economic
factors. Bond prices typically drop as interest
rates rise and vice versa. The yield earned by
the Funds will also vary with changes in interest
rates and other economic factors. It is possible
to lose money by investing in the Funds. - There is a risk that the issuer of a fixed income
investment owned by the Funds may fail to pay
interest or even principal due in a timely manner
or at all. Mortgage-backed and asset-backed
securities are also subject to the risk of
prepayment, which may result in a loss of
anticipated payments or principal being
reinvested at lower rates.
AO1-7
9Select Funds Equity
- FUND RISK/REWARD CHARACTERISTICS
- Directly invests in different types of fixed
income securities, stocks or other investments to
meet their respective investment objectives.
InvestmentFund Risk/Reward Investments in
Equity Index Fund Securities that approximate the aggregate price anddividend performance of the SP 500 Index
Value Equity Fund Large and medium-size U.S. companiesthat are considered value companies
Growth Equity Fund Large and medium-size U.S. companiesthat are considered growth companies
Small Cap Equity Fund Small U.S. companies generally within thecapitalization range of the Russell 2000 Index
International Equity Fund Companies in foreign countries consideredto be in developed markets
Emerging Markets Equity Fund Companies in foreign countries considered to be in developed and, to a lesser extent, emerging markets
AO1-8
10Specialty Funds
- FUND RISK/REWARD CHARACTERISTICS
InvestmentFund Risk/Reward Investments in
Flexible Income Fund Senior secured floating rate bank loans
Defensive Market Strategies Fund Equities with defensive characteristics and,to a lesser extent, in convertible bonds
AO1-8A
11The Flexible Income Fund invests primarily in
secured and unsecured floating rate loans.
Floating rate loans entail special risks
collateral, if any, may be insufficient to cover
a default, the Fund may have limited remedies
when a borrower defaults, and the Fund may not be
able to sell its interest in a falling loan
promptly or at an acceptable price. The Fund may
also invest in high-yield securities, which
involve greater risks of default and are more
volatile than securities rated investment grade.
AO1-8B
12Real Assets Funds
- FUND RISK/REWARD CHARACTERISTICS
InvestmentFund Risk/Reward Investments in
Real Assets Fund Securities or physical assets with real return characteristics
Inflation Protected Bond Fund Composed primarily of inflation-indexed debt securities with an average, dollar-weighted duration between four and 10 years
Real Estate Securities Fund Publicly traded real estate securities
Global Natural Resources Equity Fund Companies engaged in natural resources industries or natural resources-related sectors or that supply goods, technology and services to such companies
AO1-8C
13The Real Estate Securities Fund invests
substantial assets in real estate investment
trusts (REITs) that involve risks not associated
with investing in stocks. Risks include declines
in the value of real estate, general and economic
conditions, changes in the value of the
underlying property and defaults by borrowers.
The value of assets in the real estate industry
may go through cycles of relative
underperformance and outperformance in comparison
to equity securities markets in general. Small
company stocks are generally riskier than large
company stocks due to greater volatility and less
liquidity. Foreign securities may involve
additional risks, social and political
instability, reduced market liquidity and current
volatility.
AO1-9
14The Defensive Market Strategies Fund may be
suitable for investors who have a medium- to
long-term investment horizon, possess a moderate
tolerance for risk and seek to participate in the
return potential of stocks at a slightly lower
risk level than an all-stock portfolio. This fund
is subject to interest-rate risk, meaning, when
interest rates rise, the value of the existing
bonds decreases and vice versa. Changes in
interest rates have a bigger impact on
long-duration holdings than on short-duration
holdings. The value of convertible securities
increases and decreases with the value of the
underlying common stock, but may also be
sensitive to changes in interest rates. Foreign
securities may be subject to greater risk than
domestic securities due to currency volatility,
reduced market liquidity, and political and
economic instability. To the extent that the
investment advisor misjudges current market
conditions, the fund's volatility may be
amplified by its use of short sales and
derivatives and by its ability to select
sub-advisers to allocate assets. Short sales by a
fund theoretically involve unlimited loss
potential since the market price of securities
sold short may continuously increase. Leverage
may increase the risk of loss and cause
fluctuations in the market value of the fund's
portfolio to have disproportionately large
effects or cause the NAV of the fund to decline
faster than it would otherwise.
AO1-9A
15Capital Preservation Fund
- FUND RISK/REWARD CHARACTERISTICS
InvestmentFund Risk/Reward Investment Objective
Capital Preservation Fund The Fund seeks to maximize currentincome while seeking to maintaina stable value per share
Shares of the Capital Preservation Fund are
issued and offered by GuideStone Financial
Resources.
AO1-10
16- You should carefully consider the investment
objectives, risks, charges and expenses of the
GuideStone Funds before investing. A prospectus
with this and other information about the Funds
may be obtained by calling 1-888-GS-FUNDS
(1-888-473-8637) or downloading one at
GuideStoneFunds.com. It should be read carefully
before investing. - GuideStone Funds are made available through
GuideStone Financial Services, member FINRA.
Shares of GuideStone Funds are distributed by
Foreside Funds Distributors LLC, not an advisor
affiliate. GuideStone Funds and GuideStone
Financial Services are controlled-affiliates of
GuideStone Financial Resources.
AO1-11