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World-Class Fund Options Available to LCMS Ministries

Similar to the choices you make with personal investments, we offer several pre-set fund options with asset allocations that range from conservative to aggressive.

If those options don’t match your ministry's needs, we'll work with you to create a personalized investment mix from among the Foundation’s various investment funds.

Preference Funds

Preference Funds are the building blocks of the Foundation’s investment portfolios. Broadly diversified to maximize return and minimize risk, these options allow investment account holders exceptional flexibility, and the ability to tailor their investment programs to meet their objectives. A summary of the funds is below, but more detailed information about the funds can be found here.

 

Money market

This is a fund holding short-term securities.

 

Core bond

A fixed income fund that invests primarily in government issues, mortgage-backed securities and investment grade corporate bonds with a wide range of maturities. 

Managers: BlackRock, JP Morgan, Prudential

 

High yield bond 

A fixed income fund that invests in short-term bank loans and bonds that are lower in quality and pay interest rates that are higher than investment grade bonds. 

Managers: Credit Suisse, Loomis Sayles 

 

Domestic equity 

An equity fund that invests in common stock issued by domestic corporations and traded on domestic exchanges. The fund is designed to provide exposure to the entire United States equity market. 

Managers: BlackRock, Center Square, Jacobs Levy, Peregrine, Rhumbline, Wellington 

 

International equity 

An equity fund that invests in common stock issued by foreign corporations and traded on foreign exchanges. The fund invests in securities of both developed and emerging markets. 

Managers: Aberdeen, BlackRock, Global Alpha, Marathon, MFS, OFI

Standard Funds

Standard Funds (also called asset allocation models) are Preference Fund blends created to accomplish specific objectives based on an organization’s risk preference and time horizon. Each Standard Fund is rebalanced monthly to match investment portfolio asset class targets and are highly diversified to maximize return and minimize risk. A summary of our Standard Funds is below, but more detail about the funds can be found here.

 

chart_fixed_incomeFixed income fund - 100% fixed income

A fixed income portfolio holding a broad range of investment grade bonds and higher quality, non-investment grade bonds. The portfolio’s focus is income generation. 

  • 80% CORE BOND 
  • 20% HIGH YIELD BOND

 

chart_cons_balancedConservative balanced - 75% fixed income, 25% equity

A blended portfolio that holds both fixed income and equity securities. This portfolio has a high exposure to fixed income, focusing primarily on income generation with a limited potential for growth. 

  • 60% CORE BOND
  • 15% HIGH YIELD BOND 
  • 13.8% DOMESTIC EQUITY
  • 11.2% INTL. EQUITY

 

chart_mod_balancedModerate balanced - 50% equity, 50% fixed income 

A blended portfolio that holds both fixed income and equity securities. This portfolio is more evenly balanced between fixed income and equity, providing modest income generation and potential for growth. 

  • 40% CORE BOND
  • 27.5% DOMESTIC EQUITY 
  • 22.5% INTL. EQUITY
  • 10% HIGH YIELD BOND

 

chart_agg_balancedAggressive balanced - 75% equity 25%, fixed income 

A blended portfolio that holds both fixed income and equity securities. This portfolio has a high exposure to equity, focusing primarily on potential for growth with limited income generation. 

  • 41.3% DOMESTIC EQUITY 
  • 33.7% INTL. EQUITY
  • 20% CORE BOND 
  • 5% HIGH YIELD BOND

 

chart_equityEquity - 100% equity 

An equity portfolio holding both U.S. stocks and foreign stocks in developed and emerging markets. The portfolio’s focus is long-term growth.

  • 55% DOMESTIC EQUITY 
  • 45% INTL. EQUITY

Note that investment programs offered by the LCMS Foundation involve risk. Past performance is no guarantee of future returns. Funds are not FDIC insured, and may lose value.

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Prepare your work outside; get everything ready for yourself in the field, and after that build your house. Proverbs 24:27
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Ready to Begin the Process?

If you’re ready to get started and create a ministry fund, whether that's setting up an investment account, creating an endowment or setting up a separate foundation, we're here to help. Click below to set up a call with a member of our investment services team.

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Our Fee Structure

By collectively managing nearly $1 billion in investments, the Foundation receives favorable pricing to keep our expenses low. And as a non-profit, our fees are typically lower than most commercial firms.

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A History of Performance

The highly professional, low-cost investment option we offer LCMS ministries quite often outperforms funds managed by commercial companies. Click "Learn More," below to review our monthly, quarterly and annual returns.

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Contact Us

How can we help you today? If you are a current account holder or investor with a question, or if you're new to the LCMS Foundation and would like more information, we'd love to hear from you. Please use the "I have a question or comment about" drop-down field below to get your comment to the correct person or department faster.