Features:

  • Higher probability of greater return over a long term thans CDs and money markets
  • Funds consist of a variety of security types and classes
  • Typically experiences lower volatility than traditional bond funds
  • Market funds – possibility of negative returns

 

Who Should Invest: Investors seeking higher income than corporate and treasury securities, with long-term growth potential, who are seeking very low volatility relative to traditional bond investment strategies. The fund may be used to diversify a balanced portfolio containing common stocks to lower overall variability of returns.

Strategy: The fund consists of a diversified portfolio of investment grade bonds with an emphasis on lower duration mortgage securities. The portfolio is hedged to be durational neutral with a target duration of zero. The portfolio is well-diversified among several categories including: mortgages, CMO’s, asset-backed securities, and investment grade corporate bonds.

Notes:  Funds are not FDIC insured. Past performance is not a guarantee of future results. Returns are net of money management fees. For your information, the invested funds managed by the Foundation are exempt from registration requirements of the federal securities laws.

Performance Summary

(Period ending May 31, 2017)

A brief record of the historical performance of the Short Term Income Fund against the relevant benchmark follows:

Historical Performance

Baptist Foundation of SC
Short Term Income Fund

Barclays 1-3 Yr
Government Index

Qtr

0.3%

0.3%

1 Year

0.8%

0.6%

3 Years

0.9%

0.8%

2016

0.6%

0.9%

2015

0.5%

0.9%