1 This illustration demonstrates the value of the potential tax-exempt earnings in a 529 education savings plan when plan distributions are used for qualified education expenses such as tuition, fees, and room and board at higher education institutions. These examples are for illustrative purposes only and are not actual results. If any assumptions used do not prove to be true, results may vary substantially. If the portfolios had long-term capital gains or qualified dividend income, lower maximum tax rates for these would make the investment return for the taxable investment more favorable, thereby reducing the difference between the investments shown. Losses recognized on taxable investments may provide current income tax benefits, potentially increasing the favorability of taxable accounts. You should consider your current and anticipated investment horizon and income tax bracket when making an investment decision, as this illustration may not reflect those factors. Withdrawal of earnings not used for qualified higher education expenses will be subject to federal and possibly state income tax and may be subject to an additional 10% penalty. The illustration does not reflect the deduction of any fees or charges and is not indicative of the actual performance of any product, including any portfolio or combination of portfolios available the Goldman Sachs 529 Plan or any other 529 plan.
2 Federal tax law provides that up to $10,000 per year may be withdrawn from a 529 savings plan federal income-tax free, if used for tuition expenses at private, public or religious primary and secondary (K-12) schools. State tax consequences will vary depending on state law and may include recapture of any tax deductions received from the original state, imposition of income tax and penalties. Investors should consult with a tax or legal advisor in this regard. Goldman Sachs does not provide accounting, tax or legal advice. Please see additional disclosures at the end of this presentation.
3 Tax benefits are conditioned on meeting certain requirements. Federal income tax, a 10% federal tax penalty, and state income tax and penalties may apply to non-qualified withdrawals of earnings. Goldman Sachs does not provide accounting, tax or legal advice. Please see additional disclosures at the end of this presentation.
4 To establish an account with a recurring contribution, the initial contribution minimum is $5, and subsequently a minimum contribution of $25 per month
5 Accounts may grow above such limit through earnings and dividends realized in the account.
6 Diversification does not protect an investor from market risk and does not ensure a profit. No assurance can be given that the client’s investment objective may be achieved.
7 The allocations represent strategic weights and are effective as of June 13, 2022. Current allocations may differ. The strategic asset allocations may change from time to time and differ from actual asset allocations due to: fluctuations in the market value of the Underlying Fund’s investments and from GSAM adjusting portfolio exposures to reflect short-to-medium term market views.
8 The allocations represent strategic weights and are effective as of June 13, 2022. The strategic asset allocations may change from time to time and differ from actual asset allocations due to: fluctuations in the market value of the Underlying Fund’s investments and from GSAM adjusting portfolio exposures to reflect short-to-medium term market views.
9 Assets Under Supervision (AUS) includes assets under management and other client assets for which Goldman Sachs does not have full discretion.
Each Year of Enrollment Portfolio and Target Risk Portfolio is subject to the risks of the underlying ETFs and mutual funds in which it invests. Funds are subject to various risks, as described fully in each Fund’s prospectus. There can be no assurance that the Funds will achieve their investment objectives. The Funds may be subject to style risk, which is the risk that the particular investing style of the Fund (i.e., growth or value) may be out of favor in the marketplace for various periods of time. Equity securities are more volatile than fixed income securities and subject to greater risks. Small and mid-sized company stocks involve greater risks than those customarily associated with larger companies. Investments in fixed income securities are subject to the risks associated with debt securities generally including credit liquidity and interest rate risk. Investments in high yield fixed income securities are considered speculative, involve greater risk of default, and tend to be more volatile than investment grade fixed income securities. Investments in foreign securities entail special risks such as currency, political, economic, and market risks. These risks are heightened in emerging markets. An investment in real estate securities is subject to greater price volatility and the special risks associated with direct ownership of real estate. Investments in commodities may be affected by changes in overall market movements, commodity index volatility, changes in interest rates or factors affecting a particular industry or commodity. Investments in derivatives such as options, futures, or swaps may involve a high degree of financial risk, including the risk that a small movement in the price of the underlying security or benchmark may result in a disproportionately large movement in the price of the derivative. Asset allocation portfolios invest primarily in other Goldman Sachs Funds and are subject to the risk factors of those Funds. Investments in Liquid Alternative Funds expose investors to risks that have the potential to result in losses. These strategies involve risks that may not be present in more traditional (e.g., equity or fixed income) funds. There is no guarantee that objectives will be met. Goldman Sachs Asset Management LP. offers the Goldman Sachs 529 Plan as part of AZ529, Arizona’s Education Savings Plan (“AZ529”). AZ529 is administered by the Arizona State Treasurer’s Office. Ascensus College Savings Recordkeeping Services, LLC, the Program Manager, has overall responsibility for the day-to-day operations of the Goldman Sachs 529 Plan, including recordkeeping and administrative services. Goldman Sachs Asset Management LP. serves as the Investment Manager. Goldman Sachs & Co. LLC markets and distributes the Goldman Sachs 529 Plan.
Assets Under Supervision (AUS) includes assets under management and other client assets for which Goldman Sachs does not have full discretion.
Goldman Sachs does not provide legal, tax or accounting advice, unless explicitly agreed between you and Goldman Sachs (generally through certain services offered only to clients of Private Wealth Management). Any statement contained in this presentation concerning U.S. tax matters is not intended or written to be used and cannot be used for the purpose of avoiding penalties imposed on the relevant taxpayer. Notwithstanding anything in this document to the contrary, and except as required to enable compliance with applicable securities law, you may disclose to any person the US federal and state income tax treatment and tax structure of the transaction and all materials of any kind (including tax opinions and other tax analyses) that are provided to you relating to such tax treatment and tax structure, without Goldman Sachs imposing any limitation of any kind. Investors should be aware that a determination of the tax consequences to them should take into account their specific circumstances and that the tax law is subject to change in the future or retroactively and investors are strongly urged to consult with their own tax advisor regarding any potential strategy, investment or transaction.
Ugift is a registered service mark of Ascensus Broker Dealer Services, Inc.
Goldman Sachs Asset Management, L.P., which serves as the investment manager of the Goldman Sachs 529 Plan, is registered with the U.S Securities and Exchange Commission and Goldman Sachs & Co. LLC, which serves as the distributor of Goldman Sachs 529 Plan, is registered with the U.S. Securities and Exchange Commission and the Municipal Securities Rulemaking Board.
Goldman Sachs 529 portfolios invest in: exchange-traded funds, mutual funds and separate accounts. Units of the portfolios are municipal securities, and the value of the units will vary with market conditions. Accounts are not insured by the State of Arizona, AZ529, Arizona’s Education Savings Plan, the Arizona State Treasurer’s Office or any other governmental entity, Goldman Sachs & Co. LLC, or any affiliated or related party, and neither the principal deposited nor any investment return is guaranteed by any of the above referenced parties.
Before investing in any 529 plan, you should consider whether you or the beneficiary's home state offers a 529 plan that provides its taxpayers with favorable state tax and other state benefits such as financial aid, scholarship funds, and protection from creditors that are only available through investment in the home state's 529 plan. You also should consult your financial, tax, or other adviser to learn more about how state-based benefits (or any limitations) would apply to your specific circumstances. You also may wish to contact directly your home state's 529 plan(s), or any other 529 plan, to learn more about those plans' features, benefits and limitations. Keep in mind that state-based benefits should be one of many appropriately weighted factors to be considered when making an investment decision.
For more information about Goldman Sachs 529 Plan, contact your financial professional, call 888-462-6209, or download the Plan Description, which includes investment objectives, risks, charges, expenses, and other important information; read and consider it carefully before investing.
An investment in the Portfolios is subject to risks including: investment risks of the Portfolios which are described in the Plan Description; the risk (a) of losing money over short or even long periods; (b) of changes to Goldman Sachs 529 Plan, including changes in fees; (c) of federal or state tax law changes; and (d) that contributions to Goldman Sachs 529 Plan may adversely affect the eligibility of the Beneficiary or the Account Owner for financial aid or other benefits. For a detailed description of the risks associated with Goldman Sachs 529 Plan, and the risks associated with the Portfolios and the Underlying Funds, please refer to the Plan Description.
This material is provided for informational purposes only and should not be construed as investment advice or an offer or solicitation to buy or sell securities.
Confidentiality: No part of this material may, without Goldman Sachs Asset Management’s prior written consent, be (i) copied, photocopied or duplicated in any form, by any means, or (ii) distributed to any person that is not an employee, officer, director, or authorized agent of the recipient.
NOT FDIC INSURED
MAY LOSE VALUE
NO BANK GUARANTEE