American Funds
 | |
| Private | |
| Industry | Financial services |
| Founded | 1931 |
| Founder | Jonathan Bell Lovelace |
| Headquarters | Los Angeles, California, United States |
| Products | Mutual fund, target date retirement funds, 529 college savings funds |
| AUM |
US$ $1.3 trillion (December 31, 2015) |
| Parent | Capital Group Companies |
| Website |
americanfunds |
American Funds is a family of mutual funds from Capital Group that are sold primarily through financial advisors and intermediaries. It is the third largest mutual fund family, with more than US $1.3 trillion in assets under management. American Funds manages more than 54 million investor accounts, including more than 26 million IRAs, more than 2 million 401(k)s and nearly 6 million CollegeAmerica 529 accounts. CollegeAmerica is currently the largest 529 savings plan in the U.S. (as of 2015).[1]
American Funds holds an “A” rating for overall stewardship from Morningstar, with “A” ratings for fees, corporate culture and fund manager incentives.[2] Portfolio managers have on average 27 years of investment experience, including 22 years at the company (as of December 31, 2014).
Investment Philosophy
Since 1931, when American Funds was founded, the firm’s investment philosophy has been based on active portfolio management and in-house research to drive long-term investment results. (See Capital Group Companies for more history.) American Funds equity funds have beaten their Lipper peer indexes in 91% of 10-year periods and 96% of 20-year periods. Their fixed-income funds have beaten their Lipper indexes in 57% of 10-year periods and 54% of 20-year periods (as of December 31, 2014).[3]
American Funds has been recognized for its high rate of manager ownership, meaning many of the funds’ managers invest their own money in the funds they manage.[4] The firm also uses a multiple-manager approach instead of relying on a single fund manager for almost all its offerings. Each portfolio manager, plus the pool of research analysts who contribute to the fund, is assigned a portion of the overall assets within a fund to manage independently. Portfolio managers use their experience and knowledge to focus on their highest conviction ideas for the fund. This investment process allows for a diverse group to bring together complementary investment approaches.
Recognition and Awards
The firm was awarded multiple Lipper Awards in 2015, including Best Mixed-Asset Funds, with nine target date retirement funds, two growth funds and one growth-and-income fund recognized.[5]
· 10 American Funds appeared on Morningstar’s “Fantastic 48” list in 2014.[6]
· 11 funds were included in Morningstar’s “Fantastic 50” list in 2015.[7]
· In Cogent Reports' 2015 Advisor Brandscape report, American Funds was identified as a top mutual fund brand for advisor trust.[8]
Funds
American Funds is known in the mutual fund industry for its lower-than-average fees. On average, its management fees were in the lowest quintile 70% of the time, based on the 20-year period ending December 31, 2014, versus comparable Lipper categories. According to Morningstar, the American Funds family’s fees, on average, are in the cheapest quintile relative to other families.[9]
Products include more than 40 American Funds, the American Funds Target Date Retirement Series,® CollegeAmerica, a 529 college savings plans sponsored by Virginia529,℠ Coverdell Education Savings Accounts, the American Funds Insurance Series® variable annuity funds, and other retirement plan solutions.
The following is a list of funds.
Growth Funds
AMCAP Fund (AMCPX)
EuroPacific Growth Fund (AEPGX)
The Growth Fund of America (AGTHX)
The New Economy Fund (ANEFX)
New Perspective Fund (ANWPX)
New World Fund (NEWFX)
SMALLCAP World Fund (SMCWX)
Growth-and-Income Funds
American Funds Developing World Growth and Income Fund (DWGAX)
American Mutual Fund (AMRMX)
Capital World Growth and Income Fund (CWGIX)
Fundamental Investors (ANCFX)
International Growth and Income Fund (IGAAX)
The Investment Company of America (AIVSX)
Washington Mutual Investors Fund (AWSHX)
Equity-Income Funds
Capital Income Builder (CAIBX)
The Income Fund of America (AMECX)
Balanced Funds
American Balanced Fund (ABALX)
American Funds Global Balanced Fund (GBLAX)
Bond Funds
American Funds Mortgage Fund (MFAAX)
American Funds Inflation Linked Bond Fund (BFIAX)
American High-Income Trust (AHITX)
The Bond Fund of America (ABNDX)
Capital World Bond Fund (CWBFX)
Intermediate Bond Fund of America (AIBAX)
Short-Term Bond Fund of America (ASBAX)
U.S. Government Securities Fund (AMUSX)
Tax-Exempt Bonds Funds
American Funds Short-Term Tax-Exempt Bond Fund (ASTEX)
American Funds Tax-Exempt Fund of New York (NYAAX)
American High-Income Municipal Bond Fund (AMHIX)
Limited Term Tax-Exempt Bond Fund of America (LTEBX)
The Tax-Exempt Bond Fund of America (AFTEX)
The Tax-Exempt Fund of California (TAFTX)
The Tax-Exempt Fund of Maryland (TMMDX)
The Tax-Exempt Fund of Virginia (TFVAX)
Money Market Fund
American Funds Money Market Fund (AFAXX)
American Funds Portfolio Series
American Funds Balanced Portfolio (BLPAX)
American Funds Global Growth Portfolio (PGGAX)
American Funds Growth and Income Portfolio (GAIOX)
American Funds Growth Portfolio (GWPAX)
American Funds Income Portfolio (INPAX)
American Funds Preservation Portfolio (PPVAX)
American Funds Tax-Advantaged Income Portfolio (TAIAX)
American Funds Tax-Exempt Preservation Portfolio (TEPAX)
American Funds Retirement Income Portfolio Series
American Funds Retirement Income Portfolio - Enhanced (NDARX)
American Funds Retirement Income Portfolio - Moderate (NBARX)
American Funds Retirement Income Portfolio - Conservative (NAARX)
American Funds College Target Date Series
American Funds College 2033 Fund (CTLAX)
American Funds College 2030 Fund (CTHAX)
American Funds College 2027 Fund (CSTAX)
American Funds College 2024 Fund (CFTAX)
American Funds College 2021 Fund (CTOAX)
American Funds College 2018 Fund (CNEAX)
American Funds College Enrollment Fund (CENAX)
American Funds Retirement Target Date Series
American Funds 2060 Target Date Retirement Fund (AANTX)
American Funds 2055 Target Date Retirement Fund (AAMTX)
American Funds 2050 Target Date Retirement Fund (AALTX)
American Funds 2045 Target Date Retirement Fund (AAHTX)
American Funds 2040 Target Date Retirement Fund (AAGTX)
American Funds 2035 Target Date Retirement Fund (AAFTX)
American Funds 2030 Target Date Retirement Fund (AAETX)
American Funds 2025 Target Date Retirement Fund (AADTX)
American Funds 2020 Target Date Retirement Fund (AACTX)
American Funds 2015 Target Date Retirement Fund (AABTX)
American Funds 2010 Target Date Retirement Fund (AAATX)
The following is a list of American Funds Insurance Series (AFIS) funds offered to investors. AFIS funds cover all major asset classes and are available through products offered by many of the nation’s insurance leaders.
American Funds Insurance Series
Global Growth Fund
Global Small Capitalization Fund
Growth Fund
International Fund
New World Fund
Blue Chip Income and Growth Fund
Global Growth and Income Fund
Growth-Income Fund
International Growth and Income Fund
Capital Income Builder
Asset Allocation Fund
Global Balanced Fund
Bond Fund
Global Bond Fund
High-Income Bond Fund
Mortgage Fund
U.S. Government/AAA-Rated Securities Fund
Cash Management Fund
American Funds Insurance Series Managed Risk Funds
Managed Risk Growth Fund
Managed Risk International Fund
Managed Risk Blue Chip Income and Growth Fund
Managed Risk Growth-Income Fund
Managed Risk Asset Allocation Fund
American Funds Insurance Series – Portfolio Series
American Funds Growth and Income Portfolio
American Funds Managed Risk Growth and Income Portfolio
American Funds Managed Risk Global Allocation Portfolio
American Funds Global Growth Portfolio
American Funds Managed Risk Growth Portfolio
References
- ↑ Skinner, Liz (September 6, 2015). The latest 529 college savings plan data. Investment News
- ↑ Yang, Janet (October 1, 2015). Capital Group Stays at the Top Through Hard Work. Morningstar.com
- ↑ Based on Class A share results for rolling periods through December 31, 2014. Periods covered are the shorter of the fund’s lifetime or since the comparable Lipper index inception date (except SMALLCAP World Fund, for which the Lipper average was used).
- ↑ Quinlan, Casey (November 8, 2013). Should Managers Invest in Their Own Mutual Funds? U.S. News & World Report
- ↑ (March 31, 2015). 2015 Lipper Awards For Excellence. Thomson Reuters
- ↑ Kinnel, Russel (May 2014). Fantastic 48. Morningstar FundInvestor
- ↑ Kinnel, Russel (June 2015). Fantastic 50. Morningstar FundInvestor
- ↑ (July 20, 2015). 2015 Advisor Brandscape Report. Cogent Reports
- ↑ (June 26, 2015). 2015 Morningstar U.S. Mutual Fund Industry Stewardship Survey. Morningstar (page 20)