Principal Risks Sample Clauses

Principal Risks. The principal risks of investing in the Fund, which could adversely affect its net asset value, yield and total return, are allocation risk, counterparty risk, currency risk, credit risk, derivatives risk, depositary receipts risk, emerging markets risk, equity securities risk, focused investment risk, foreign investing risk, issuer risk, liquidity risk, management risk, market volatility risk, REIT and real estate-related investment risk and portfolio turnover risk, real estate investment risk and small and medium market capitalization companies company risk.

Principal Risks. The Fund is subject to the risks associated with the stock and bond markets, any of which could cause an investor to lose money. However, because fixed income securities such as bonds usually are less volatile than stocks and because the Fund invests a significant portion of its assets in fixed income securities, the Fund’s overall level of risk should be moderate. The principal risks of investing in this fund are: Stock Market Risk, Country/Regional Risk, Currency Risk, Currency Hedging Risk, Interest Rate Risk, Credit Risk, Income Risk and Call Risk. This is the chance that stock prices overall will decline. Stock markets tend to move in cycles, with periods of rising prices and periods of falling prices. This is the chance that world events—such as political upheaval, financial troubles, or natural disasters—will adversely affect the value of securities issued by companies in foreign countries or regions. This is the chance that the value of a foreign investment, measured in U.S. dollars, will decrease because of unfavorable changes in currency exchange rates. Country/regional risk and currency risk are especially high in emerging markets. This is the chance that bond prices will decline because of rising interest rates.

Principal Risks. The following list indicates the risks associated with the Fund’s principal investments. Active Management Cash Drag Conflict of Interest Convertible Securities Country or Region Credit and Counterparty Derivatives Distressed Investments Dollar Rolls Emerging Markets Fixed Income Securities Foreign Securities Forwards Futures High-Yield Securities Income Industry and Sector Investing Inflation/Deflation Inflation-Protected Securities Interest Rate Investment-Grade Securities Issuer Lending Leverage Loss of Money Management Market/Market Volatility Maturity/Duration Mortgage-Backed and Asset-Backed Securities New Fund Not FDIC Insured Options Preferred Stocks Prepayment (Call) Pricing Regulation/Government Intervention Reinvestment Restricted/Illiquid Securities Repurchase Agreements Sovereign Debt Structured Products Suitability Swaps Unrated Securities Valuation Time Variable-Rate Securities Warrants These risks are described in the Additional Fund Information and Principal Risk Definitions Booklet and can be accessed at xxx.xxxxxxxxx.xxx/XxxxxxxxxXxxxXxxxxxxxxxx. Only trusts that meet the eligibility criteria described in Sections 2.1 and 2.2 of the Trust and complete and return to the Trustee such participation materials as the Trustee may require from time to time will be eligible to invest in the Fund. The following eligibility requirement also applies for participation: • Until such time as the assets of the Fund exceed $100 million, each Participating Plan is (A) a qualified institutional buyer within the meaning of Rule 144A of the Securities Act of 1933, and (B) either (i) a plan established and maintained by a state, its political subdivisions, or any agency or instrumentality of a state or its political subdivisions, for the benefit of its employees, or (ii) an employee benefit plan within the meaning of ERISA, that is not an individual retirement account. Earnings of the Fund will be reinvested and the Fund’s value will be adjusted accordingly. No income will be distributed.

Principal Risks. An investment in the fund could lose money over short or long periods of time. You should expect the fund’s share price and total return to fluctuate within a wide range. The fund is subject to the following risks, which could affect the fund’s performance, and the level of risk may vary based on market conditions: BlackRock High Yield Bond Fund The investment objective of the BlackRock High Yield Bond Portfolio (the “High Yield Fund” or the “fund”) is to seek to maximize total return, consistent with income generation and prudent investment management.

Principal Risks. The Fund is subject to the risks associated with the stock and bond markets, any of which could cause an investor to lose money. However, because fixed income securities such as bonds usually are less volatile than stocks and because the Fund invests a significant portion of its assets in fixed income securities, the Fund’s overall level of risk should be moderate. The principal risks of investing in this fund are: Stock Market Risk, Country/Regional Risk, Currency Risk, Currency Hedging Risk, Interest Rate Risk, Credit Risk, Income Risk and Call Risk. Risks Associated with Investment in the Stock Market With a target allocation of approximately 60% of its assets in stocks, the Fund is proportionately subject to stock market risk: This is the chance that stock prices overall will decline. Stock markets tend to move in cycles, with periods of rising prices and periods of falling prices. Risks Associated with Investment in Foreign Stocks The Fund is also subject to the following risks associated with investments in foreign stocks: This is the chance that world events—such as political upheaval, financial troubles, or natural disasters— will adversely affect the value of securities issued by companies in foreign countries or regions. This is the chance that the value of a foreign investment, measured in U.S. dollars, will decrease because of unfavorable changes in currency exchange rates. Country/regional risk and currency risk are especially high in emerging markets. Risks associated with Investment in Bonds With a target allocation of approximately 40% of its assets in bonds, the Fund is proportionately subject to bond risks, including the following: This is the chance that bond prices will decline because of rising interest rates.

Principal Risks. The fund is designed for investors with a low tolerance for risk, but you could still lose money by investing in it. The fund is subject to the following risks, which could affect the fund’s performance, and the level of risk may vary based on market conditions: income risk, interest rate risk, credit risk, index sampling risk, liquidity risk. Because ETF shares are traded on an exchange, they are subject to additional risks.

Principal Risks. The principal risks of investing in the Fund, which could adversely affect its net asset value, yield and total return, are market conditions, issuer risks, investing in growth-oriented stocks, investing outside the United States and management risk. Investment Objective and Principal Strategies. The Portfolio's investment objective is to seek total return consisting of capital appreciation and current income. The Portfolio seeks to achieve its investment objective by generally investing in a universe of allowable commodity-linked derivative instruments and fixed income investment opportunities. The Portfolio gains exposure to commodities markets by investing in derivative instruments, such as structured notes whose principal and/or coupon payments are linked to commodities or commodity indices, in swap agreements, and/or in other commodity-linked instruments (such as futures contracts on individual commodities or commodity indices). The Portfolio may invest up to 25% of its total assets in Dimensional Cayman Commodity Fund I Ltd. (the “Subsidiary”), a wholly-owned subsidiary of the Portfolio formed in the Cayman Islands, which has the same investment objective as the Portfolio and has a strategy of investing in derivative instruments, such as commodity-linked swap agreements and other commodity-linked instruments, futures contracts on individual commodities or commodity indices, and options on these instruments. The Portfolio, directly and/or through its investment in the Subsidiary, expects to use such derivatives extensively as part of its investment strategy. Principal Risks. The principal risks of investing in the Fund, which could adversely affect its net asset value, yield and total return, are market risk, commodity risk, derivatives risk, focus risk, foreign securities and currencies risk, foreign government debt risk, interest rate risk, credit risk, call risk, liquidity risk, subsidiary risk, tax risk, leveraging risk, regulatory risk, valuation risk, securities lending risk, operational risk and cyber security risk.

Principal Risks. An investment in the fund could lose money over short or long periods of time. You should expect the fund’s share price and total return to fluctuate within a wide range. The fund is subject to the following risks, which could affect the fund’s performance, and the level of risk may vary based on market conditions: governments, or government agencies. Because the fund may invest a large portion of its assets in bonds of issuers located in a particular country or region, the fund’s performance may be hurt disproportionately by the poor performance of its investments in that area. Country/regional risk for the fund is high. (Based on the prospectus dated February 27, 2023) Total Annual Fund Operating Expenses 0.07% After Fee Waivers and/or Expense Reimbursements Vanguard Emerging Markets Government Bond Index Fund The fund seeks to track the performance of a benchmark index that measures the investment return of U.S. dollar-denominated bonds issued by governments and government-related issuers in emerging market countries. The fund employs an indexing investment approach designed to track the performance of the Bloomberg USD Emerging Markets Government RIC Capped Index. This index includes U.S. dollar-denominated bonds that have maturities longer than one year and that were issued by emerging market governments and government-related issuers. The index is capped, which means that its exposure to any particular bond issuer is limited to a maximum of 20% and its aggregate exposure to issuers that individually constitute 5% or more of the index is limited to 48%. If the index, as constituted based on market weights, exceeds the 20% or 48% limits, the excess is reallocated to bonds of other issuers represented in the index. The fund invests by sampling the index, meaning that it holds a range of securities that, in the aggregate, approximates the full index in terms of key risk factors and other characteristics. All of the fund’s investments will be selected through the sampling process, and under normal circumstances at least 80% of the fund’s assets will be invested in bonds included in the index. The fund maintains a dollar-weighted average maturity consistent with that of the index. As of October 31, 2022, the dollar-weighted average maturity of the index was 12.6 years.

Principal Risks. The principal risks of investing in the Fund, which could adversely affect its net asset value, yield and total return, are allocation risk, market volatility risk, issuer risk, sustainable investing risk, underlying fund risk, equity securities risk, debt instruments risk, interest rate risk, commodity and commodity-linked instruments risk, counterparty risk, credit risk, currency risk, derivatives risk, emerging markets risk, focused investment risk, foreign investing risk, high yield fixed income securities (junk bonds) risk, index risk, IPO risk, leverage risk, liquidity risk, mortgage-related and other asset-backed risk, portfolio turnover risk, real estate investment risk, small and medium market capitalization companies risk, portfolio turnover risk, and variable distribution risk.

Principal Risks. An investment in the fund could lose money over short or long periods of time. You should expect the fund’s share price and total return to fluctuate within a wide range. The fund is subject to the following risks, which could affect the fund’s performance, and the level of risk may vary based on market conditions: • Country/regional risk, which is the chance that world events—such as political upheaval, financial troubles, or natural disasters—will adversely affect the value and/or liquidity of securities issued by foreign governments, government agencies, and government-owned corporations. Because the fund may invest a large portion of its assets in bonds of issuers located in any one country or region, the fund’s performance may be hurt disproportionately by the poor performance of its investments in that area. Country/regional risk is especially high in emerging markets. U.S. bond and stock returns. Consequently, if your goal is to lower risk and volatility, this fund may not be an appropriate investment. (Based on the prospectus dated February 27, 2023) Total Annual Fund Operating Expenses 0.18% After Fee Waivers and/or Expense Reimbursements RBC BlueRay Emerging Market Debt Fund The fund seeks to achieve a high level of total return consisting of income and capital appreciation.