GuideStone Financial Resources has added to its retirement fund lineup five date target funds from GuideStone Funds, the nation's only registered mutual fund company with Christian-based, socially screened date target funds.
"We are entering this market because of strong interest expressed by our participants and plans sponsors and the growing popularity of date target funds in the industry," said John R. Jones, GuideStone's chief operating officer.
"Our participants are looking for a simple retirement approach coupled with responsible and competitive investments. We believe our date target funds fulfill this need," Jones added.
The funds are targeted to retirement dates in 10-year increments from 2005 to 2045 and each will be a diversified "fund-of-funds" that primarily uses GuideStone's Select Funds as the underlying investments.
The new date target funds launched on Jan. 2, 2007 are:
- MyDestination 2005 Fund
- MyDestination 2015 Fund
- MyDestination 2025 Fund
- MyDestination 2035 Fund
- MyDestination 2045 Fund
The MyDestination 2005 Fund is intended for participants who have reached retirement age, but are still seeking an actively managed investment option.
Participants who have other retirement plans, including 401(k) or IRAs with another provider, can roll over or consolidate their money in one account to take better advantage of the MyDestination Funds. To talk to someone about a rollover, contact our Customer Service Center at 1-888-98-GUIDE (1-888-984-8433).
The funds employ a glide path that invests in varying amounts of equity and fixed income securities and gradually becomes more conservative as an investor approaches retirement.
"MyDestination Funds will offer the power of a dynamic asset allocation methodology that rebalances regularly and allows an investor to remain in a single fund while maintaining an appropriate level of risk as the time horizon to retirement decreases. It is a simple, yet sophisticated one-stop approach for investors at all ages," said Rodric E. Cummins, GuideStone's chief investment officer.
"We believe the MyDestination Funds series will be a popular investment choice and industry research shows that date target funds may be superior to the allocation that a participant might choose on his or her own," Jones added. "Of course, it is important for participants to make appropriate and consistent retirement contributions throughout their ministry."
Additional
information about MyDestination Funds is available online.
The MyDestination Funds (“Funds”) attempt to achieve their objectives by investing in the GuideStone Select Funds. 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 15 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. 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. 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.
You should carefully consider the investment objectives, risks, charges and expenses of GuideStone Funds before investing. For a copy of the prospectus with this and other information about the funds, please download a prospectus (pdf) or call 1-888-98-GUIDE (1-888-984-8433). You should read the prospectus carefully before investing.
GuideStone Funds shares are distributed by BNY Mellon Distributors Inc., 760 Moore Road, King of Prussia, PA 19406.