Aggressive Allocation Portfolio

Transcription

1 Aggressive Allocation Portfolio Lifestyle Portfolios are multi-asset type investment options that are intended to be managed in accordance with a plan participant s retirement time horizon, long-term return expectations and overall tolerance for risk of principal loss. Since the asset allocation decision is the most important factor in determining investment returns over time, these types of funds provide three packaged, diversified investment choices for those seeking assistance in making the asset allocation decision. Lifestyle Portfolios are constructed to provide different long-term investment return and risk characteristics that are determined by their underlying sub-funds. The sub-funds are actively managed U.S. Stock, International Stock and U.S. Bond Funds that are also available as stand-alone investment funds. Asset Class: Asset Allocation : Lifestyle FUND FACTS Inception Date: October 1, 2004 advisory fee for period ended September 30, 2017: 0.25% 12b-1 fee: 0.00% Other expenses: 0.05% Total fund annual expenses without waivers or reductions for period ended September 30, 2017: 0.30% Total waivers, recoupments, and reductions:-0.00% Net fund annual expenses after waivers or reductions for period ended September 30, 2017: 0.30% Turnover rate: 22% If offered through a retirement program, additional fees and expenses may be charged under that program. is interpreted by Voya using Fund Company and/or Morningstar category information. advisory fee reflects a weighted blend of fees charged by the underlying investment options within the Lifestyle Portfolio, based upon the percentage allocations designated by San Bernardino and detailed within the Strategy section. This Portfolio is not a registered investment company, and interests in the Portfolio have not been registered with the Securities and Exchange Commission. It is only available to participants in the San Bernardino qualified retirement program. Only eligible participants in the plan may invest in the Portfolio. You can obtain copies of free prospectuses for the underlying funds which contain additional information on the charges and expenses for the funds at any time by calling your local Voya representative. Other fees and expenses may be charged under your retirement program. More information is included in the enrollment material. Each sub-fund description must accompany this Lifestyle Portfolio description. Objective The investment objective of the Aggressive Allocation Portfolio is to provide long-term growth of capital with income as a minor consideration. Eighty-five percent (85%) of the total fund assets are allocated to equities and fifteen percent (15%) are allocated to fixed income securities. It is the most aggressive of the three Lifestyle funds in terms of its potential for the greatest investment return as well as the greatest risk. It is most suitable for participants who are able to remain invested for ten or more years, or who are comfortable with the higher short-term fluctuations that are characteristic of investing in equity markets. Strategy The strategy for the Aggressive Allocation Portfolio is to invest in a combination of active and passive investments in the following proportions: ---11% in the Loomis Sayles Grade Bond Class Y, which seeks high total investment return through a combination of current income and capital appreciation. ---8% in the Oppenheimer International Bond Fund Class I, which seeks total return % in the Vanguard Institutional Index Fund Institutional Shares, which seeks to track the performance of a benchmark index that measures the investment return of large-capitalization ---16% in the Vanguard Mid-Cap Index Fund Institutional Shares, which seeks to track the performance of a benchmark index that measures the investment return of mid-capitalization ---11% in the Vanguard Small-Cap Index Fund Institutional Shares, which seeks to track the performance of a benchmark index that measures the investment return of small-capitalization ---8% in the Voya Global Real Estate Fund Class I, which seeks to provide investors with high total return, consisting of capital appreciation and current income % in the Dodge & Cox International Stock Fund which seeks long-term growth of principal and income % in the Vanguard Total International Stock Market Index Fund Institutional Class which seeks to track the performance of a benchmark index that measures the investment return of stocks issued by companies located in developed and emerging markets, excluding the United States. All equity (both U.S. and International) and fixed income investments exhibit certain risk characteristics that include the potential for loss of principal value. Generally, the probability of loss of principal is greater with investment funds that also provide the greatest potential for investment return. International stocks do carry additional risks that relate to currency and political uncertainty. The risks of Lifestyle Portfolios are based on the proportionate risk characteristics of the underlying subfunds described above (10/17) CN

2 Vanguard Mid-Cap Index Fund - Institutional Shares... Mid-Cap Blend The investment seeks to track the performance of a benchmark index that measures the investment return of mid-capitalization The fund employs an indexing investment approach designed to track the performance of the CRSP US Mid Cap Index, a broadly diversified index of stocks of mid-size U.S. companies. The advisor attempts to replicate the target index by investing all, or substantially all, of its assets in the stocks that make up the index, holding each stock in approximately the same proportion as its weighting in the index. Past name(s) : Vanguard Mid Cap Index I. Risk Measures as of Port Avg Rel S&P 500 Rel Cat 3 Yr Std Dev Yr Beta Loss of Money, Not FDIC Insured, Market/Market Volatility, Equity Securities, ETF, Management, Market Trading Composition as of U.S. Stocks 98.7 Non-U.S. Stocks 0.7 Cash 0.7 Other 0.0 Top 10 Holdings as of Lam Research Corp 0.82 Fiserv Inc 0.74 Amphenol Corp Class A 0.71 Western Digital Corp 0.69 Autodesk Inc Roper Technologies Inc 0.68 CMT Market Liquidity Rate 0.67 Digital Realty Trust Inc 0.66 C.R. Bard Inc 0.64 Edwards Lifesciences Corp 0.63 Gross Prosp Exp Ratio 0.05% of fund assets Net Prosp Exp Ratio 0.05% of fund assets Management Fee 0.04% Other Fee. Miscellaneous Fee(s) 0.01% Fund Inception Date Total Fund Assets ($mil) 68,797.2 Annual Turnover Ratio % Fund Family Name Vanguard Morningstar Style Box as of Giant 0.00 Large Medium Small 0.16 Micro 0.00 Morningstar Equity Sectors as of h Cyclical r Basic Materials 5.24 t Consumer Cyclical y Financial Services u Real Estate 7.06 j Sensitive i Communication Services 1.53 o Energy 5.07 p Industrials a Technology k Defensive s Consumer Defensive 5.35 d Healthcare 9.03 f Utilities 5.08 Donald Butler, CFA. Since Michael Johnson. Since Vanguard Group Inc 2017 Morningstar, Inc., Morningstar Profiles All rights reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may ß (10/17)

3 Vanguard Small-Cap Index Fund - Institutional Shares... Small Blend The investment seeks to track the performance of a benchmark index that measures the investment return of smallcapitalization The fund employs an indexing investment approach designed to track the performance of the CRSP US Small Cap Index, a broadly diversified index of stocks of small U.S. companies. The advisor attempts to replicate the target index by investing all, or substantially all, of its assets in the stocks that make up the index, holding each stock in approximately the same proportion as its weighting in the index. Past name(s) : Vanguard Small Cap Index Instl. Risk Measures as of Port Avg Rel S&P 500 Rel Cat 3 Yr Std Dev Yr Beta Loss of Money, Not FDIC Insured, Market/Market Volatility, Equity Securities, ETF, Management, Market Trading Composition as of U.S. Stocks 97.1 Non-U.S. Stocks 0.6 Cash 2.3 Other 0.0 Top 10 Holdings as of Take-Two Interactive Software Inc 0.31 Teleflex Inc 0.31 CDW Corp 0.29 Alnylam Pharmaceuticals Inc 0.28 Broadridge Financial Solutions Inc Diamondback Energy Inc 0.27 The Chemours Co 0.27 Cognex Corp 0.26 CoStar Group Inc 0.26 IDEX Corp 0.26 Gross Prosp Exp Ratio 0.05% of fund assets Net Prosp Exp Ratio 0.05% of fund assets Management Fee 0.04% Other Fee. Miscellaneous Fee(s) 0.01% Fund Inception Date Total Fund Assets ($mil) 59,971.2 Annual Turnover Ratio % Fund Family Name Vanguard Morningstar Style Box as of Giant 0.00 Large 0.12 Medium Small Micro 7.90 Morningstar Equity Sectors as of h Cyclical r Basic Materials 5.79 t Consumer Cyclical y Financial Services u Real Estate j Sensitive i Communication Services 0.70 o Energy 4.89 p Industrials a Technology k Defensive s Consumer Defensive 3.76 d Healthcare f Utilities 3.81 William Coleman. Since Gerard O Reilly. Since Vanguard Group Inc 2017 Morningstar, Inc., Morningstar Profiles All rights reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may ß (10/17)

4 Voya Global Real Estate Fund - Class I... Global Real Estate The investment seeks high total return, consisting of capital appreciation and current income. Under normal market conditions, the fund invests at least 80% of its net assets (plus borrowings for investment purposes) in a portfolio of equity securities of companies that are principally engaged in the real estate industry. It may invest in companies located in countries with emerging securities markets. The fund may invest in other investment companies, including exchange-traded funds. Past name(s) : ING Global Real Estate I. Risk Measures as of Port Avg Rel S&P 500 Rel Cat 3 Yr Std Dev Yr Beta Lending, Credit and Counterparty, Currency, Emerging Markets, Foreign Securities, Loss of Money, Not FDIC Insured, Capitalization, Quantitative Investing, Active Management, Issuer, Interest Rate, Market/Market Volatility, Convertible Securities, IPO, Restricted/Illiquid Securities, Underlying Fund/ Fund of Funds, Portfolio Diversification, Real Estate/REIT Sector Composition as of U.S. Stocks 53.5 Non-U.S. Stocks 44.6 Cash 0.1 Other 1.8 Top 10 Holdings as of Simon Property Group Inc 5.10 Prologis Inc 3.51 Cheung Kong Proper 3.20 Mitsui Fudosan Co Ltd 2.68 GGP Inc Welltower Inc 2.65 AvalonBay Communities Inc 2.41 Vonovia SE 2.36 Equity Residential 2.18 Extra Space Storage Inc 2.13 Morningstar Super Sectors as of h Cyclical j Sensitive 0.53 k Defensive 0.00 Gross Prosp Exp Ratio 1.01% of fund assets Net Prosp Exp Ratio 1.01% of fund assets Management Fee 0.81% Other Fee 0.01% Miscellaneous Fee(s) 0.19% Fund Inception Date Total Fund Assets ($mil) 2,090.1 Annual Turnover Ratio % Fund Family Name Voya Morningstar Style Box as of Giant 6.50 Large Medium Small 1.87 Micro 0.00 Morningstar World Regions as of Americas North America Latin America 3.26 Greater Europe United Kingdom 5.88 Europe Developed Europe Emerging 0.00 Africa/Middle East 0.00 Greater Asia Japan Australasia 5.36 Asia Developed 5.64 Asia Emerging 0.00 T. Ferguson, CFA. Since Steven Burton, CFA. Since Voya s, LLC Subadvisor CBRE Clarion Securities LLC The adviser is contractually obligated to limit expenses to 1.15% through March 1, The limitation does not extend to interest, taxes, investment-related costs, leverage expenses, extraordinary expenses, and Acquired Fund Fees and Expenses. This limitation is subject to possible recoupment by the adviser within 36 months of the waiver or reimbursement. Termination or modification of this obligation requires approval by the Fund's board Morningstar, Inc., Morningstar Profiles All rights reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may ß (10/17)

5 Loomis Sayles Grade Bond Fund - Class Y... Intermediate-Term Bond The investment seeks high total investment return through a combination of current income and capital appreciation. The fund invests at least 80% of its net assets (plus any borrowings made for investment purposes) in investment grade fixed-income securities. It may invest up to 10% of its assets in below investment grade fixed-income securities (also known as "junk bonds"). The fund has the flexibility to invest up to 10% of its assets in equity securities (such as common stocks, preferred stocks and investment companies), but will limit its investments in common stocks to 5% of its assets. It may invest in fixed-income securities of any maturity. Risk Measures as of Port Avg Rel BC Aggr Rel Cat 3 Yr Std Dev Yr Beta Credit and Counterparty, Currency, Emerging Markets, Foreign Securities, Loss of Money, Not FDIC Insured, Issuer, Interest Rate, Market/Market Volatility, Equity Securities, High-Yield Securities, Mortgage-Backed and Asset-Backed Securities, Restricted/Illiquid Securities, Derivatives, Leverage, Management Composition as of U.S. Stocks 0.8 Non-U.S. Stocks 0.0 Bonds 74.0 Cash 17.0 Other 8.2 Top 10 Holdings as of US Treasury Note 0.75% US Treasury Note 0.75% Canada Govt 1.25% United Mexican States 10% US Treasury Note 0.625% US Treasury Note 0.75% New Sth Wales Tsy 6% Merrill Lynch & Co 6.11% Canada Govt 0.75% Sallie Mae 5.5% Gross Prosp Exp Ratio 0.60% of fund assets Net Prosp Exp Ratio 0.55% of fund assets Management Fee 0.40% 12b-1 Fee 0.00% Other Fee 0.00% Miscellaneous Fee(s) 0.20% Fund Inception Date Total Fund Assets ($mil) 6,273.4 Annual Turnover Ratio % Fund Family Name Natixis Funds Morningstar Fixed Income Style Box as of Avg Eff Duration 3.63 Avg Eff Maturity 5.23 Ltd Mod Ext High Med Low Morningstar F-I Sectors as of Government Corporate Securitized 2.21 Municipal 0.37 fi Cash/Cash Equivalents ± Other 0.00 Credit Analysis: % Bonds as of AAA 20 BB 10 AA 3 B 2 A 29 Below B 0 BBB 29 Not Rated 7 Expense Ratio Contractual Daniel Fuss, CFA. Since Matthew Eagan, CFA. Since Loomis Sayles & Company LP Loomis, Sayles & Company, L.P. ("Loomis Sayles" or the "Adviser") has given a binding contractual undertaking to the Fund to limit the amount of the Fund's total annual fund operating expenses to 0.55% of the Fund's average daily net assets, exclusive of brokerage expenses, interest expense, taxes, acquired fund fees and expenses, organizational and extraordinary expenses, such as litigation and indemnification expenses. This undertaking is in effect through January 31, 2019 and may be terminated before then only with the consent of the Fund's Board of Trustees. The Adviser will be permitted to recover management fees waived and/or expenses reimbursed to the extent that expenses in later periods fall below the applicable expense limitations. The Fund will not be obligated to repay any such waived/reimbursed fees and expenses more than one year after the end of the fiscal year in which the fees or expenses were waived/reimbursed Morningstar, Inc., Morningstar Profiles All rights reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may ß (10/17)

6 Oppenheimer International Bond Fund - Class I... World Bond The investment seeks total return. The fund normally invests at least 80% of its net assets in debt securities. It typically invests in at least three countries other than the United States. The fund invests in debt securities of issuers in both developed and emerging markets throughout the world. It invests mainly in debt securities of foreign government and corporate issuers. The fund may buy securities issued by companies of any size or market capitalization range and at times might emphasize securities of issuers in a particular capitalization range. It is non-diversified. Risk Measures as of Port Avg Rel BC Aggr Rel Cat 3 Yr Std Dev Yr Beta Foreign Securities, Long-Term Outlook and Projections, Loss of Money, Not FDIC Insured, Nondiversification, Market/Market Volatility, High-Yield Securities, Underlying Fund/Fund of Funds, Derivatives, Fixed-Income Securities, Sovereign Debt, Regulation/Government Intervention, Management, Small Cap, Mid-Cap Composition as of % Net U.S. Stocks 0.5 Non-U.S. Stocks -0.4 Bonds 89.6 Cash 7.6 Other Total Top 10 Holdings as of Oppenheimer Institutional Govt MM E United Mexican States 8.5% Russian Federation 6.7% United Kingdom (Government Of) 2.75% India (Rep Of) 8.27% Brazil Federative Rep 10% United Kingdom (Government Of) 3.25% Sth Africa(Rep Of) 10.5% Italy(Rep Of) 2.05% International Bond (Cayman) 1.78 Gross Prosp Exp Ratio 0.60% of fund assets Net Prosp Exp Ratio 0.59% of fund assets Management Fee 0.54% Other Fee 0.01% Miscellaneous Fee(s) 0.05% Fund Inception Date Total Fund Assets ($mil) 5,310.7 Annual Turnover Ratio % Fund Family Name OppenheimerFunds Morningstar Fixed Income Style Box as of Avg Eff Duration 4.78 Avg Eff Maturity. Ltd Mod Ext High Med Low Morningstar F-I Sectors as of Government Corporate Securitized 3.33 Municipal 0.00 fi Cash/Cash Equivalents 8.78 ± Other 4.28 Credit Analysis: % Bonds as of AAA 6 BB 20 AA 6 B 11 A 16 Below B 0 BBB 28 Not Rated 13 Management Fee Contractual Hemant Baijal. Since Christopher (Chris) Kelly, CFA. Since OFI Global Asset Management, Inc. Subadvisor OppenheimerFunds Inc "Management Fees" reflects the gross management fee paid by the Fund and the gross management fee of the Subsidiary for the Fund's most recent fiscal year. The Manager has contractually agreed to waive the management fee it receives from the Fund in an amount equal to the management fee it receives from the Subsidiary. This undertaking will continue to be in effect for as long as the Fund invests in the Subsidiary and may not be terminated unless approved by the Fund's Board Morningstar, Inc., Morningstar Profiles All rights reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may ß (10/17)

7 Vanguard Institutional Index Fund - Institutional Shares... Large Blend The investment seeks to track the performance of a benchmark index that measures the investment return of largecapitalization The fund employs an indexing investment approach designed to track the performance of the Standard & Poor's 500 Index, a widely recognized benchmark of U.S. stock market performance that is dominated by the stocks of large U.S. companies. The advisor attempts to replicate the target index by investing all, or substantially all, of its assets in the stocks that make up the index, holding each stock in approximately the same proportion as its weighting in the index. Risk Measures as of Port Avg Rel S&P 500 Rel Cat 3 Yr Std Dev Yr Beta Loss of Money, Not FDIC Insured, Market/Market Volatility, Equity Securities, Management Composition as of U.S. Stocks 98.9 Non-U.S. Stocks 0.9 Cash 0.2 Other 0.0 Top 10 Holdings as of Apple Inc 3.68 Microsoft Corp 2.65 Facebook Inc A 1.87 Amazon.com Inc 1.77 Exxon Mobil Corp Johnson & Johnson 1.61 JPMorgan Chase & Co 1.55 Berkshire Hathaway Inc B 1.54 Alphabet Inc A 1.34 Alphabet Inc C 1.34 Gross Prosp Exp Ratio 0.04% of fund assets Net Prosp Exp Ratio 0.04% of fund assets Management Fee 0.04% Other Fee. Miscellaneous Fee(s) 0.00% Fund Inception Date Total Fund Assets ($mil) 230,763.1 Annual Turnover Ratio % 5.00 Fund Family Name Vanguard Morningstar Style Box as of Giant Large Medium Small 0.09 Micro 0.00 Morningstar Equity Sectors as of h Cyclical r Basic Materials 2.78 t Consumer Cyclical y Financial Services u Real Estate 2.28 j Sensitive i Communication Services 3.95 o Energy 6.09 p Industrials a Technology k Defensive s Consumer Defensive 8.33 d Healthcare f Utilities 3.12 Donald Butler, CFA. Since Scott Geiger. Since Vanguard Group Inc 2017 Morningstar, Inc., Morningstar Profiles All rights reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may ß (10/17)

8 Dodge & Cox International Stock Fund... Foreign Large Blend The investment seeks long-term growth of principal and income. Under normal circumstances, the fund will invest at least 80% of its total assets in equity securities of non-u.s. companies, including common stocks, depositary receipts evidencing ownership of common stocks, preferred stocks, securities convertible into common stocks, and securities that carry the right to buy common The fund typically invests in medium-to-large well-established companies based on standards of the applicable market. Risk Measures as of Port Avg Rel S&P 500 Rel Cat 3 Yr Std Dev Yr Beta Currency, Emerging Markets, Foreign Securities, Loss of Money, Not FDIC Insured, Market/Market Volatility, Equity Securities, Restricted/Illiquid Securities, Derivatives, Management Composition as of U.S. Stocks 7.1 Non-U.S. Stocks 91.5 Cash 1.4 Other 0.0 Top 10 Holdings as of Sanofi SA 3.81 Naspers Ltd Class N 3.52 Itau Unibanco Holding SA 2.69 Schneider Electric SE 2.64 BNP Paribas Samsung Electronics Co Ltd 2.51 ICICI Bank Ltd 2.47 Bayer AG 2.31 UniCredit SpA 2.21 Schlumberger Ltd 2.10 Morningstar Super Sectors as of h Cyclical j Sensitive k Defensive Gross Prosp Exp Ratio 0.64% of fund assets Net Prosp Exp Ratio 0.64% of fund assets Management Fee 0.60% Other Fee 0.00% Miscellaneous Fee(s) 0.04% Fund Inception Date Total Fund Assets ($mil) 65,743.9 Annual Turnover Ratio % Fund Family Name Dodge & Cox Morningstar Style Box as of Giant Large Medium 2.81 Small 0.00 Micro 0.00 Morningstar World Regions as of Americas North America Latin America 7.87 Greater Europe United Kingdom Europe Developed Europe Emerging 0.38 Africa/Middle East 5.66 Greater Asia Japan Australasia 0.00 Asia Developed 3.60 Asia Emerging 6.61 Diana Strandberg, CFA. Since C. Cameron, CFA. Since Dodge & Cox 2017 Morningstar, Inc., Morningstar Profiles All rights reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may ß (10/17)

9 Vanguard Total International Stock Index Fund - Institutional Shares... Foreign Large Blend The investment seeks to track the performance of a benchmark index that measures the investment return of stocks issued by companies located in developed and emerging markets, excluding the United States. The fund employs an indexing investment approach designed to track the performance of the FTSE Global All Cap ex US Index, a float-adjusted market-capitalization-weighted index designed to measure equity market performance of companies located in developed and emerging markets, excluding the United States. The index includes approximately 5,800 stocks of companies located in over 45 countries. Risk Measures as of Port Avg Rel S&P 500 Rel Cat 3 Yr Std Dev Yr Beta Emerging Markets, Loss of Money, Not FDIC Insured, Country or Region, Market/Market Volatility, Equity Securities, Management Composition as of U.S. Stocks 0.8 Non-U.S. Stocks 96.1 Bonds 0.1 Cash 2.2 Other 0.9 Top 10 Holdings as of Nestle SA 1.07 Tencent Holdings Ltd 0.96 Samsung Electronics Co Ltd 0.88 Novartis AG 0.83 HSBC Holdings PLC Roche Holding AG Dividend Right Cert Taiwan Semiconductor Manufacturing Co Ltd 0.68 Toyota Motor Corp 0.64 British American Tobacco PLC 0.57 Royal Dutch Shell PLC Class A 0.57 Morningstar Super Sectors as of h Cyclical j Sensitive k Defensive Gross Prosp Exp Ratio 0.09% of fund assets Net Prosp Exp Ratio 0.09% of fund assets Management Fee 0.07% Other Fee. Miscellaneous Fee(s) 0.02% Fund Inception Date Total Fund Assets ($mil) 297,269.0 Annual Turnover Ratio % 3.00 Fund Family Name Vanguard Morningstar Style Box as of Giant Large Medium Small 3.35 Micro 0.18 Morningstar World Regions as of Americas North America 7.58 Latin America 3.09 Greater Europe United Kingdom Europe Developed Europe Emerging 1.40 Africa/Middle East 2.15 Greater Asia Japan Australasia 4.74 Asia Developed 9.43 Asia Emerging Michael Perre. Since Michelle Louie, CFA. Since Vanguard Group Inc 2017 Morningstar, Inc., Morningstar Profiles All rights reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may ß (10/17)