FUND RISK/REWARD CHARACTERISTICS
Date Target Funds
 Simplified one fund
retirement approach
 Invests in a diversified
mix of the Select Funds
 Changes over time to
meet a specified
investment strategy
Investment
Fund
Risk/
Reward
Low–High
Investment
Objective
MyDestination
2005
Plan to retire near
the year 2005
MyDestination
2015
Plan to retire near
the year 2015
MyDestination
2025
Plan to retire near
the year 2025
MyDestination
2035
Plan to retire near
the year 2035
MyDestination
2045
Plan to retire near
the year 2045
MyDestination
2055
Plan to retire near
the year 2055
AO1-1
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
FUND RISK/REWARD CHARACTERISTICS
Asset Allocation Funds
Invests in different
percentages of the Select
Funds to meet their
respective investment
objectives.
Investment
Fund
Risk/
Reward
Low–High
Investment
Objective
Conservative
Allocation
Current income &
modest capital
appreciation
Balanced
Allocation
Moderate capital
appreciation &
current income
Growth
Allocation
Capital appreciation
& modest current
income
Aggressive
Allocation
Capital appreciation
AO1-3
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
FUND RISK/REWARD CHARACTERISTICS
Select Funds — Fixed Income
Directly invests in different types of fixed income securities, stocks or
other investments to meet their respective investment objectives.
Investment
Fund
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 > 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
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
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 bond’s 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
FUND RISK/REWARD CHARACTERISTICS
Select Funds — Equity
Directly invests in different types of fixed income securities, stocks or other
investments to meet their respective investment objectives.
Investment
Fund
Risk/
Reward
Investments in:
Equity Index Fund
Securities that approximate the aggregate price and
dividend performance of the S&P 500® Index
Value Equity Fund
Large and medium-size U.S. companies
that are considered value companies
Growth Equity Fund
Large and medium-size U.S. companies
that are considered growth companies
Small Cap Equity
Fund
Small U.S. companies generally within the
capitalization range of the Russell 2000® Index
International Equity
Fund
Companies in foreign countries considered
to 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
FUND RISK/REWARD CHARACTERISTICS
Specialty Funds
Investment
Fund
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
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
FUND RISK/REWARD CHARACTERISTICS
Real Assets Funds
Investment
Fund
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
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
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
FUND RISK/REWARD CHARACTERISTICS
Capital Preservation Fund
Investment
Fund
Capital
Preservation Fund
Risk/
Reward
Investment
Objective
The Fund seeks to maximize current
income while seeking to maintain
a stable value per share
Shares of the Capital Preservation Fund are issued and offered by
GuideStone Financial Resources.
AO1-10
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