American Funds ®

American Funds Insurance Series®

American Funds Insurance Series (AFIS) funds have provided superior long-term results for investors since 1984. The funds cover all major asset classes and are available through products offered by many of the nation’s insurance leaders.

About Variable Annuities

Variable annuities are among the fastest growing retirement investments. Despite their popularity, many people still don’t know much about them.

An annuity is a contract issued by an insurance company that can include an option to turn your assets into an income you can’t outlive.*

Annuities can be good for retirement because taxes aren't due on variable annuity earnings until they are withdrawn. Since variable annuities are designed to be retirement investments, because of this tax-deferral feature, there is typically a 10% federal tax penalty on earnings withdrawn before age 59½.

When you buy a variable annuity contract, your money is invested in funds — similar to mutual funds — that are managed by investment professionals. Returns on your investment fluctuate as the prices of the stocks and bonds in the funds rise and fall. That’s why the annuity is called “variable.”

*Backed by the claims-paying ability of the issuing insurance company.

Benefits

  • Aligned with investor success — Our decisions are based on a long-term perspective, which we believe aligns our goals with the interests of investors.
  • The Capital SystemSM Our investment process combines individual accountability with teamwork. Each fund is divided into portions that are managed independently by investment professionals with diverse backgrounds, ages and investment approaches. An extensive global research effort is the backbone of our system.
  • Experienced management As of November 2014, AFIS portfolio managers average 26 years of investment experience, including 23 years at our company, reflecting a career commitment to our long-term approach.
  • Superior long-term track record AFIS equity funds have beaten their comparable Lipper indexes or averages in 90% of 10-year periods and 100% of 20-year periods. AFIS fixed-income funds have beaten comparable Lipper indexes or averages in 58% of 10-year periods and 86% of 20-year periods.1 We strive to keep management fees competitive. Over the past 20 years, most of our funds' fees have been below industry averages.2

Availability

  • When selecting long-term investments for variable annuity and variable life insurance products, many investors choose contracts that offer the funds in the American Funds Insurance Series.
  • American Funds Insurance Series funds are only available in insurance company products. For more information, please see the provider information below or contact your financial professional.

American Funds Insurance Series Funds


Growth

Growth & Income

Equity-Income

Asset Allocation

Balanced

Bond

Money Market

American Funds Insurance Series Managed Risk Funds


Providers

AFIS funds are available in variable insurance products offered by:


Investments are not FDIC-insured, nor are they deposits of or guaranteed by a bank or any other entity, so they may lose value.  

1

Based on Class 2 share results for rolling periods through December 31, 2014. Periods covered are the shorter of the fund’s lifetime or since the inception of the comparable Lipper index (except Global Small Capitalization Fund, for which the Lipper average was used). The comparable Lipper indexes are: Global Funds Index (Global Growth Fund), Growth Funds Index (Growth Fund), International Funds Index (International Fund), Emerging Markets Funds Index (New World Fund), Growth & Income Funds Index (Blue Chip Income and Growth Fund, Growth-Income Fund), Flexible Portfolio Funds Index (Asset Allocation Fund), Core Bond Funds Index (Bond Fund), High Yield Funds Index (High-Income Bond Fund) and General U.S. Government Funds Index (U.S. Government/AAA-Rated Securities Fund). 

2

Based on management fees for the 20-year period ended December 31, 2014, versus comparable Lipper categories, excluding funds of funds. 

Futures contracts may not provide an effective hedge of the underlying securities because changes in the prices of futures contracts may not track those of the securities they are intended to hedge. In addition, the managed risk strategy may not effectively protect the fund from market declines and will limit the fund's participation in market gains. The use of the managed risk strategy could cause the fund's return to lag that of the underlying fund in certain rising market conditions. 

Investors should carefully consider investment objectives, risks, charges and expenses. This and other important information is contained in the fund prospectuses and summary prospectuses , which can be obtained from a financial professional and should be read carefully before investing.   

The return of principal for bond funds and for funds with significant underlying bond holdings is not guaranteed. Fund shares are subject to the same interest rate, inflation and credit risks associated with the underlying bond holdings.  Lower rated bonds are subject to greater fluctuations in value and risk of loss of income and principal than higher rated bonds.  Bond ratings, which typically range from AAA/Aaa (highest) to D (lowest), are assigned by credit rating agencies such as Standard & Poor's, Moody's and/or Fitch, as an indication of an issuer's creditworthiness. 

Investing outside the United States involves risks, such as currency fluctuations, periods of illiquidity and price volatility, as more fully described in the prospectus. These risks may be heightened in connection with investments in developing countries.  Small-company stocks entail additional risks, and they can fluctuate in price more than larger company stocks. 

Past results are not predictive of results in future periods.