A Harmonious Arrangement of Benefits

The Prelude to Understanding Mutual Funds
A mutual fund provides orchestrated management of your money. Small investors can earn the same investment return per dollar as a major investor, with a professional making the decisions on your behalf.

The money you invest in a mutual fund is combined with other investors' money. Each mutual fund share you own represents participation in the securities within the fund. Dividends and capital gains produced by a fund's portfolio are paid out in proportion to the number of fund shares you own.

Professional Management
Mutual funds are unique because they provide you with the possible rewards of successful money management, but without your daily involvement. Rather, investors in mutual funds leave the primary investment decisions to professional money managers-who after careful scrutiny supplemented by on-going review, decide which securities in a particular fund are to be bought and sold.

As a mutual fund investor, you will receive easily understood statements on a regular basis. The statement divides the income generated by the investment portfolio into dividends and capital gains for easy tax reporting.

Diversification
Mutual funds are comprised of securities in a variety of industries and companies. Each investor within the fund owns a financial interest in each security. This allows an investor to buy into the kind of diversification that otherwise might not be accessible. The advantage of diversification is the ability to limit individual risk.

While some investors purchase a single fund, others choose a "family" of funds - several different funds available from one organization. In a family, you can readily transfer portions of your investment into other funds with different objectives, as your needs or financial circumstances change.

Liquidity
Many people choose mutual funds as the vehicle for their investment program because funds are readily available and easy to sell.

By law, mutual fund investors have the right to cash in all or part of their shares at any time for the current market value. The value of redeemed shares may be more or less than the original cost.

Growth
The gain in popularity of mutual funds is due in part to their suitability as a long-term investment. Many mutual funds have proven to perform consistently better over time than investments made by individuals who may not have the benefit of professional money management, diversification, and liquidity.

Tax-Free Income*
In addition to their other benefits, some mutual fund categories offer tax-free income. Mutual funds that invest in the bond issues of state and municipal governments pay dividends that are derived from those bonds and are therefore exempt from federal income taxes. Also state specific municipal bond funds may be exempt from that state's income taxes. Mutual funds that invest in U.S. Government Securities pay dividends derived from the interest of those securities and thus are exempt from state and local income taxes.

Note: Tax-free income may be subject to Alternative Minimum Tax. Consult your individual tax advisor.

*Income may be subject to the Alternative Minimum Tax. Consult your individual tax advisor.

Mutual Funds Perform For A Wide Audience
Planning for a child's college education?Preparing for retirement, or seeking a steady or increased income?

Whatever your personal financial goals may be, or whatever amount you wish to invest, there may be a mutual fund portfolio to help meet your goals and satisfy your risk tolerance.Investors seeking an alternative to insured bank products find mutual funds a popular choice. Keep in mind, unlike many bank products, mutual funds are not FDIC insured, may lose value, and are not bank guaranteed. Return and principal may fluctuate. Some of their benefits include: professional management, diversification, liquidity, and opportunity for growth.

There Is a Mutual Fund In Tune With Every Objective:

Long-Term Growth
Interested in future value?Growth Funds invest in firms that are believed to offer good prospects for price appreciation.

Steady Income
Looking for a conservative investment?U.S. Government Funds are historically conservative, have low volatility, and are generally low-risk investments.

Keep in mind, past performance is no guarantee of future results.

Growth and Income
Seeking a higher level of current income?Balanced funds hold bonds, stocks and cash to obtain both moderate growth and income.

High Return
Ready to take some calculated risks?Aggressive Growth Funds strive for maximum return. They use aggressive trading strategies and select more volatile, high growth-potential stocks.

Tax-Free Income
Eager to save taxes on your earnings?Municipal Bond Funds pay dividends that are exempt from federal income taxes. U.S. Government Securities Funds pay dividends that are exempt from state and local income taxes. State Specific Municipal Bond Funds pay dividends that may be exempt from state taxes and are exempt from federal income taxes.

Note: Income may be subject to the alternative minimum tax. Consult your individual tax advisor.

Legal Disclaimer
Mutual funds and securities are offered through GIS Investment and Insurance Services, a service of IFMG Securities, Inc. ("IFMGSI"). IFMGSI is a registered broker-dealer (member FINRA/SIPC).

IFMGSI is not an affiliate of Astoria Federal.

Mutual funds and securities are not FDIC insured, are not deposits of and are not guaranteed by Astoria Federal. Mutual funds and securities may lose value, including the possible loss of principle.

GIS Investment Services is Here to Help...
The GIS Financial Consultants will be there every step of the way to make it easy for you. They'll help you select the right investments for you from a variety of affordable options and take the time to explain each step of the process to you. Simply click on "Ask The Expert" to send us an e-mail, call us at 1-800-278-6742, or click on "Locations" to find the branch nearest you. We look forward to working with you!