All Funds

Equity investments are subject to market fluctuations. Investing outside the U.S. (especially in developing countries) entails additional risks, such as currency fluctuations, as does investing in smaller companies, as more fully described in the prospectus. Lower-rated bonds are subject to greater fluctuations in value and risk of loss of income and principal. Income from tax-exempt bond funds may be subject to state or local income taxes. Additionally, income from all tax-exempt bond funds except for The Tax-Exempt Bond Fund of America may be subject to the federal alternative minimum tax. Certain other income from tax-exempt bond funds, as well as capital gain distributions, may be taxable. Fund shares of U.S. Government Securities Fund are not guaranteed by the U.S. government. The Tax-Exempt Fund of California, Tax-Exempt Fund of Maryland and Tax-Exempt Fund of Virginia are more susceptible to factors adversely affecting issuers of their states' tax-exempt securities than more widely diversified municipal bond funds. For more information about the risks associated with each fund, go to its detailed fund information page or read the prospectus.

The return of principal for bond funds and for the underlying bond holdings in New World Fund, Capital Income Builder, The Income Fund of America, American Balanced Fund and funds in the American Funds Target Date Retirement Series^® is not guaranteed. Fund shares are subject to the same interest rate, inflation and credit risks associated with the underlying bond holdings.

Price: shown at Net Asset Value (NAV). Class A shares — the amount per share you would receive if you sold shares that day.

When A shares are shown at maximum offering price (MOP), the price includes the maximum sales charge. For bond funds, the maximum initial sales charge was 4.75% prior to January 10, 2000. For Intermediate Bond Fund of America and Limited Term Tax-Exempt Bond Fund of America, the maximum initial sales charge was 3.75% from January 10, 2000, to October 31, 2006. Sales charges are lower for large accounts.

Change ($): the amount (in dollar terms) that the value of the share price changed at the most recent close of the New York Stock Exchange.

YTD (year-to-date return): the net change in the value of the fund’s shares (in percentage terms) from January 1, 2009, to the current date shown above. Returns assume all distributions reinvested and reflect all applicable fees and fund expenses. Short-term market volatility can seriously affect year-to-date returns. To help maintain a long-term perspective when considering your investments, review the one-, five- and 10-year returns.

Average annual total returns at net asset value [NAV (updated monthly)]: Returns assume all distributions reinvested and reflect all applicable fees and fund expenses.

N/A: Not Applicable. This share class is purchased without an upfront or deferred sales charge.

Annualized 7-day yield: Calculated by annualizing dividends paid during the last seven days of the period. For money market funds, the annualized 7-day SEC yield more accurately reflects the fund's current earnings than does total return.

^* Figures reflect the lifetime returns of each fund as of the stated periods. New World Fund commenced operations on June 17, 1999. Short-Term Bond Fund of America commenced operations on October 2, 2006. The Target Date Retirement Series commenced operations on February 1, 2007. Lifetime returns for less than one year are not annualized, but calculated as cumulative total returns.

^† Investment results assume all distributions are reinvested and reflect applicable fees and expenses. From September 1, 2004 (October 1, 2005, for The Cash Management Trust of America), through December 31, 2008, the investment adviser to the American Funds and the business manager for The Tax-Exempt Fund of Maryland, The Tax-Exempt Fund of Virginia and Washington Mutual Investors Fund waived a portion of their management fees as described in each fund's annual report. The investment adviser is still waiving all management fees for the target date funds. The waiver may be discontinued at any time, but it is expected to continue at the current level until further review. The fund's investment adviser and board intend to review the waiver as circumstances warrant. The investment adviser has also reimbursed certain expenses for some funds and share classes. The investment adviser may reduce or discontinue the reimbursements at any time. Investment results reflect the waiver and/or reimbursements, without which the results would have been lower. Please see each fund's most recent shareholder report or prospectus for details. Total returns without fee waivers and/or expense reimbursement are also available for select funds.

  Class A is the only share class offering check-writing privileges in American Funds money market funds.

^‡ When a capital gain distribution is paid, the net asset value per share is reduced by the amount of the payment plus or minus any change in the value of the fund’s holdings. Read our explanation of the effect of a capital gain on a fund's price for details. Two types of capital gains are realized by our funds — short-term and long-term. Net short-term capital gains are distributed to shareholders as income dividends and are taxed at ordinary income tax rates. Long-term capital gain distributions are taxed at a maximum 15% rate.

  The share prices of all of our equity funds, except The Income Fund of America, decrease when a dividend is paid. The share price of only one of our fixed-income funds, Capital World Bond Fund, also decreases when a dividend is paid. A fund pays a special dividend when the investment income generated by the fund exceeds the income the fund has paid in the form of dividends throughout the year. Special dividends are distributed with the last dividend payment at the end of the calendar year.

^** Expenses are as of each fund's most recent fiscal year-end. From September 1, 2004 (October 1, 2005, for The Cash Management Trust of America), through December 31, 2008, the investment adviser to the American Funds and the business manager for The Tax-Exempt Fund of Maryland, The Tax-Exempt Fund of Virginia and Washington Mutual Investors Fund waived a portion of their management fees as described in each fund's annual report. The investment adviser is still waiving all management fees for the target date funds. The waiver may be discontinued at any time, but it is expected to continue at the current level until further review. The fund's investment adviser and board intend to review the waiver as circumstances warrant. The investment adviser has also reimbursed certain expenses for some funds and share classes. The investment adviser may reduce or discontinue the reimbursements at any time. Net expense ratios reflect the waiver and/or reimbursements, without which the expense ratios would have been higher. Gross expense ratios do not reflect the waiver and/or reimbursements. Please see each fund's most recent shareholder report or prospectus for details. The expense ratios for International Growth and Income Fund are estimated. The expense ratios for the Target Date Retirement Series® include the weighted average expenses of the underlying funds.

Investors should carefully consider the investment objectives, risks, charges and expenses of the American Funds. This and other important information is contained in each fund's prospectus, which can be obtained from your financial professional and should be read carefully before investing.