2. “Better the little that the
righteous have than the
wealth of many wicked;
for the power of the
wicked will be broken,
but the Lord upholds the
righteous.”
Psalm 37: 16-17
WouldYou LikeTo Know…
that your invested assets are in union with your beliefs and how you live?
If so, we have created an investment managed account strategy that uses
mutual fund companies that develop investment allocations consistent
with Biblical Faith Values. We believe your investment portfolio should
be based on your risk tolerance, time horizon, and investment goals. We
then use mutual fund companies that screen out investments involving
non-moral activities and other issues. These issues may include: abortion,
pornography, anti-family entertainment, non-married lifestyles, tobacco,
and gambling as well as other issues that might be important to you. This
keeps your investments working the way you might be trying to live. We
monitor these investments and others to build a well-diversified portfolio
based on your needs and objectives. If you would like to know your hard-
earned money is invested in companies that you would support based on
your values, ask your adviser how to get started today.
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3. You deserve to be able to invest your hard earned
money consistent with your own values.
“Keep your lives free from the love of
money and be content with what you
have, because God said, ‘Never will I
leave you, never will I forsake you.’”
Hebrews 13:5
Creative Financial Designs,Inc.
is an Investment Adviser registered with the SEC. We primarily
work with our trusted advisers to provide investment management
services for all of your hard-earned investments. Every client has
an individual risk tolerance, time horizon, and investment goal. Our
investment management team understands that each one of your
investment goals require individual consideration. That is why we
offer many options.
Founded 1982, CFD has focused on the needs of individual advisers
to help clients reach their goals. We use a disciplined investment
strategy while actively monitoring your investments and portfolio.
We do not try to hit a home run; but we do believe consistent,
prudent discipline is the best way to reach your investment goals.
3
4. • Mutual Funds Only
• Mutual Funds & Equities
• Individual Equities
“Wealth gotten by vanity shall be
diminished: but he that gathered by labor
shall increase.”
Proverbs 13:11
BrokerageAccount Management
Investment Management Strategies
How itWorks
Creative Financial Designs, Inc. offers the Biblical Faith Values for individuals that are concerned about how
their money is invested in brokerage accounts. As described below, Creative Financial Designs offers investment
management products and services to match how clients try and live their lives.
Your adviser helps you and other clients that are concerned about their investments open a brokerage account. As
a client, you select your investment objective (this is the risk tolerance our team will take with your portfolio) for
your managed brokerage account. Our investment management team will build and manage your account with
selective mutual funds and equities depending on your choice or just mutual funds that profess to be investing in
a Biblical way or pass our Biblical screening process. You can rest assured your portfolio is invested as you live
your life and not supporting companies you wouldn’t approve of.
4
5. “So give back to Caesar what is
Caesar’s, and to God what is God’s.”
Matthew 22:21
VariableAnnuity Management
How itWorks
Your trusted adviser may discuss with you the option of using a variable annuity for reasons such as possible
tax-deferred growth. Insurance companies each have their own products with possible special options to help
individual financial Situations. If the Jefferson National Monument variable annuity is appropriate for your situation
our investment management team can manage your investment contract with our Biblical Values Overlay. Our
investment management team will analyze the available investment options and use the ones that best support
Biblical values. Our team will continually monitor your investments inside your selected investment objective,
letting you rest assured your investments best support the companies you would support and avoid the ones your
would avoid.
Creative Financial Designs, Inc. investment management team understands that each client has different
investment needs. Your financial and investment needs may include a variable annuity. Our team offers a Biblical
investment overlay for our clients within a managed variable annuity contract.
5
6. Portfolio allocations are subject to change by Creative Finical Designs, Inc. without notice.
Investment Portfolios
Creative Financial Designs, Inc. provides you personalized portfolio management services for possibly all of your
investment needs. With three management platforms using five asset allocation portfolios and several investment
strategies, our team develops your portfolio based on your goals, risk tolerance, and time horizon. Below is a
simple breakdown of our five investment portfolio models.
“But divide your investments among many
places, for you do not know what risks lie
ahead.”
Ecclesiastes 11:2
Less Volatile More Volatile
10% Cash
70% Bonds
15% Domestic Equities
5% International Equities
10% Cash
45% Bonds
35% Domestic Equities
10% International Equities
5% Cash
35% Bonds
50% Domestic Equities
10% International Equities
0% Cash
25% Bonds
60% Domestic Equities
15% International Equities
0% Cash
5% Bonds
75% Domestic Equities
20% International Equities
General
Allocation
Breakdown
Conservative Moderately
Conservative
Moderate
Moderately
Aggressive
Aggressive
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7. “Honor the Lord with all your wealth, with the
first fruits of all your crops.”
Proverbs 3:9
“For where your treasure is, there your heart will
be also.”
Matthew 6:21
2011 returns
2012 returns
2013 returns
2014 returns
2015 returns
Faith Values
Brokerage Mutual
Fund Returns
Conservative
Moderately
Conservative
Moderate
Moderately
Aggressive
Aggressive
1.69% 0.36% -0.96% -1.54% -3.05%
6.93% 7.01% 8.05% 10.75% 9.80%
5.35% 9.46% 16.64% 20.92% 25.39%
2.87% 3.88% 5.23% 6.15% 5.50%
-1.80% -2.97% -2.53% -2.08% -2.35%
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8. Investment Risk
All investments entail risk, and these risks could
result in the loss of principal in your investment.
There is no guarantee of returns. If there are
historic or hypothetical returns identified in this
piece, these are provided as informational only,
and should not be read as an indication about
the returns that you should expect to receive as a
result of this investment. Past performance is not
an indication of future results.
Model Portfolios
Portfolios are allocated pursuant to models
determined by Creative Financial Designs,
Inc., (Designs) which is solely responsible for
the content of each model, and the selection of
specific investments within the confines of each
asset class and model. Designs has discretion
to change the model at any time, and will
make changes to the model based on current
or anticipated market conditions, as deemed
appropriate. Any references to percentages of
assets in a model portfolio are subject to the
discretion of the management team, and are
subject to change at any time, without notice.
Variances Among Accounts
Each Designs Investment model is merely a
guideline, and there may be variance between
investment holdings, and therefore returns, in any
particular account versus the model allocation.
In some instances, these differences may be
material. Additionally, there may be some
differing holdings among customers investing in
the same investment model portfolio. Some of
these differing holdings are the result of limited
investment options, such as would be the case
in self-directed retirement accounts, and/or
managed variable annuity accounts. Additional
variances could arise due to such things as,
without limitation:
• programmed reallocations by an issuer,
pursuant to particular product terms and
conditions
• special reallocation requests by the client
• timing issues, e.g. investors purchase a fund
that subsequently is no longer available for
new purchasers, so later investors invest
in a comparable (though not identical)
investment
• size of an investment account
• additional strategic options selected by a
client, e.g. a client uses the invest over time
option or an alternative investment rider
option
• additional contributions to an account, or
one-time or systematic withdrawals from an
account
• the fact that transactional charges may
make a reallocation disadvantageous to a
particular client, or due to the investment
strategy which the client has selected
• tax implications applicable to an individual
investment or account
• opening of new investments
• closing of investments to new investors
• minimum investment amounts applicable to
investments
Client Choices Influencing Returns in the
Account
Please note that your choices as a client may
influence the returns in your account, and may
not mirror returns of holdings of other investors in
the same model portfolio. Some of your choices
that may affect the account include:
• Making additional contributions to your
account
• Making withdrawals from your account
• Putting special restrictions on your account,
either to hold a particular security, to avoid
a particular security, to hold additional cash,
etc.
• Selecting an add-on strategy such as the
Invest Over Time option or selecting an
Alternative Investment Rider
Reported Returns based on Actual Client
Performance
Investment returns reported for a model portfolio
are based on a sampling of actual client account
returns. The numbers reported as actual client
returns for a given year are an average of actual
returns, net of fees and expenses (including
Creative Financial Designs, Inc. management
fees; internal fund fees; ticket charges, as
applicable; and other miscellaneous fees) for
managed brokerage accounts, and only such
accounts that have been retained throughout the
given year (i.e. not opened or closed within the
reporting period.
For actual performance numbers for period prior
to December 31, 2014, accounts have been
excluded from the general sample if a client has
requested any of the following during the review
period:
• A withdrawal of some of their funds
• Opening or Closing the account
• A contribution to the account
• A reservation or restriction on the
account identifying that certain securities
either should or should not be sold at a
given time
• A change in investment strategy or portfolio
allocation
• Use of an additional strategic overlay, such
as the Invest Over Time option, the TaxWise
Option
• Use of an Alternative Investment Rider
Since January 1, 2015, the firm has been utilizing
Black Diamond software for the calculation of
its returns. For actual performance numbers
reported for any reporting periods after January
1, 2015, accounts have been excluded from the
calculation sample if the client has requested any
of the following during the review period.
• Accounts with Systematic Distributions in
place
• Opening or Closing the account
• Use of an additional strategic overlay, such
as the Invest Over Time option, the TaxWise
Option
• Use of an Alternative Investment Rider
It should be noted that accounts including client
restrictions are included in these calculations,
though the client restricted positions are excluded
from the calculation.
Additionally, it should be noted that though
systematic or anticipated withdrawals associated
with an account will exclude the account
from the calculation of returns, one-time or
multiple withdrawals that are not anticipated
by the firm will not exclude the account from
the calculation of returns. This is the case
because unanticipated client withdrawals do
not necessitate the account to be allocated with
higher than normal cash positions, which would
be the case for anticipated or systematic client
withdrawals. Regardless of this calculation
method, however, clients are advised to reach
out to their financial adviser to discuss the needs
for funds in advance of requesting a withdrawal,
so that the firm can anticipate those returns and
minimize the risk of selling an investment at
inopportune times.
The returns do not include managed self-directed
company retirement accounts, managed variable
annuity contracts, or brokerage accounts utilizing
individual stocks or bonds. The returns reflect the
reinvestment of dividends and other earnings.
Certain investments managed by Designs
have surrender charges that may be incurred
upon withdrawal of funds, or fees which are
not consistent with the fees and expenses in
managed brokerage accounts. Actual returns
for such accounts do not reflect those fees,
expenses and charges, which would reduce
the returns realized by persons making early
withdrawals from such products.
Returns do not take tax considerations into effect,
which may affect the returns and the level of
profitability of an account over time. Designs does
not provide legal or tax advice.
Reported returns are historical in nature, and past
performance is not indicative or future results.
Mutual funds, ETF’s, and variable annuity
products pay management fees to professional
investment managers, which fees are separate
and in addition to the management fees of
Creative Financial Designs, Inc. The professional
management fees paid by such investment
vehicles are born by investors and reduce the
net asset value, and therefore the returns, of the
respective fund shares.
This piece does not reference any hypothetical
returns for any of its investment rate of return
figures quoted.
Biblical Faith Values Portfolio - Determination
of Qualified Investments.
The determination of which investments are
consistent with Biblical Faith Values is determined
at the sole discretion of the management team.
CFD utilizes multiple screening tools and other
resources, and also relies upon the stated
objectives of fund companies to determine
that it is maintaining investments that are
consistent with Biblical Faith Values. It is
acknowledged, however, that particular investors
may disagree with a particular fund company
or the management team’s assessment of how
well particular investments comply with the goal
of investing assets consistent with Biblical Faith
Values. CFO cannot provide a guarantee that in
all respects their assessment and that of related
fund companies will be consistent with the views
of any particular client.
Limitations of Investment Options.
The Biblical Faith Values strategy limits the
pool of potential investments available to the
applicable portfolios. This limitation does reduce
potential diversification. Performance of portfolios
with these limitations will vary from similar
portfolios without those allocation restrictions.
General Information about Portfolio Returns
The portfolio returns identified herein demonstrate
a limited track record of investing according to
this model, and is subject to the particular market
conditions at the time of that investing. Past
performance is not indicative of future results.
Affiliation with CFD Investments
Designs is owned and controlled by several
persons who also have financial interests in cfd
Investments, Inc. (CFD), a registered broker/
dealer, member FINRA and SIPC. Designs is
also co-located with CFD, and several persons
associated with CFD are also associated with
Designs. When appropriate, assets of clients
managed by Designs will be maintained in
accounts established at CFD.
Advisory Services are Provided through Creative Financial Designs, Inc., a Registered Investment Adviser.
2704 South Goyer, Kokomo, IN 46902 765.453.9600
