BGC RETIREMENT PLAN
Serving Those Who Serve

With the current financial and economic turmoil in the stock and bond markets, I wanted to give an update on our status.  You will see a reduction in the value of your account on this quarterly report due to these events.  As of September 30^th, 2008 the year-to-date return on investment for the Plan was  -14.4%.

The Retirement Plan is again performing better than most others who manage retirement assets.  Our Trustees have a long history of performing well in down markets (losing less) and up markets (making more).  Their disciplined approach during good and bad times has served our participants very well.  The diversified, low-cost portfolio is modestly tweaked over time, but not radically changed.  That approach is proven and brings good results compared to others.  

A significant factor that contributes to the long-term stability of the Plan is the fact that current contributions to the Plan are roughly equal to current expenses of the Plan (including benefit payments).  This permits the Trustees to rebalance the investment portfolio as needed, but not have to ‘sell low’ when the value of the investments decline.  We have seen market downturns in the past and expect to in the future.  The ability to retain investments until they have recovered (and typically exceeded) the most recent ‘highs’ is very beneficial to our participants.

This year will likely see another record for new participants (82 new participants as of October 17^th).  Our previous high is 97 new participants back in 2003, with last year’s addition of 94 participants a close second.  Upcoming changes in 403(b) regulations caused a number of churches to join the Plan in recent weeks.

Jackie Shimmin and I remain available to answer questions regarding your account(s) with the Plan.  It is a privilege to serve each of you as you minister in the name of Christ.

In His Service,

 
Stephen Schultz