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Real Estate Securities Fund available from GuideStone Jan. 3


DALLAS (BP)–GuideStone Financial Resources of the Southern Baptist Convention is expanding its investment choices for most retirement plan participants with the launch of the Real Estate Securities Fund on Jan. 3.

Currently, GuideStone Funds serves as the investment vehicle for GuideStone’s retirement plans and offers 17 registered mutual funds with 13 different investment objectives and characteristics. In 2003, GuideStone Financial Resources introduced the first non-registered fund, the Capital Preservation Fund, and the Real Estate Securities Fund will join this lineup as a non-registered fund in January. The Capital Preservation Fund and the Real Estate Securities Fund do not replace any of the existing registered mutual funds.

“In a recent survey of our retirement participants, we received a high level of interest in a real estate investment fund offering,” John R. Jones, GuideStone’s chief operating officer, said.

“We believe the Real Estate Securities Fund will meet this need and offer a more complete spectrum of investment options to our Southern Baptist retirement plan participants,” Jones said.

The fund will provide exposure to real estate by investing in a limited number of publicly traded real estate securities and will be diversified among property sectors and geographical locations. The fund’s sub-adviser is RREEF America L.L.C. and the benchmark is the Dow Jones Wilshire Real Estate Securities Index.

The Real Estate Securities Fund “offers investors greater diversification for an investment portfolio beyond a mix of stocks and bonds,” said Rodric E. Cummins, chief investment officer of GuideStone Capital Management. GuideStone Capital Management, a controlled affiliate of GuideStone Financial Resources, serves as investment adviser for GuideStone Funds. It also advises the non-registered funds, including the Capital Preservation Fund and now the Real Estate Securities Fund.

“The Real Estate Securities Fund may be suitable for long-term investors who seek current income potentially higher than a bond fund along with long-term capital growth, but can also accept significant short-term fluctuations in account value,” Cummins said.

“Research shows that a small allocation to public real estate securities provides potential portfolio benefits such as yield enhancement, diversification and inflation protection,” he said. He added that “while recent returns in the real estate markets have been above average, many financial analysts are reminding investors that real estate returns may not be sustained at the same level over the long term.”

Shares of the Real Estate Securities Fund will be available only to eligible Southern Baptist participants in 403(b) and other employer-sponsored retirement plans including participants in deferred compensation plans. It is not available to participants in IRAs, Personal Investment Accounts and most 401(k) plans.

The fund will be launched with a $10 NAV (net asset value) and will pay dividends quarterly and capital gains distributions at year’s end.

Detailed information about the Real Estate Securities Fund, including performance and fund description, will be available Jan. 3 at www.GuideStone.org.
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