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z. GuideStone Risk/Reward Characteristics. Catalogue code: A01. Full presentation or module? Module. Slide numbers: A01-1 to A01-11. Registered/Non-Registered Usage ... – PowerPoint PPT presentation

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Title: HIDDEN DESCRIPTION SLIDE


1
z
  • 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
2
Date 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
4
Asset 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
6
Select 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
9
Select 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
10
Specialty 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
11
The 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
12
Real 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
13
The 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
14
The 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
15
Capital 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
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