American Funds ®

How to Use Your Account

Buying Shares

Once you’ve opened an American Funds account through a financial advisor, you have several options for managing your account and buying additional shares.

Buying Shares

You can only open an American Funds account through a financial advisor. Your advisor will help you determine how much you would like to invest, but please note that the minimum initial investment amount for most of our funds is $250. The money market fund and state-specific tax-exempt funds, however, require a minimum initial investment of $1,000.

Your advisor can also help you determine the right share class to meet your needs. American Funds offers two types of share classes, one for our regular shares and another for CollegeAmerica®, our 529 college savings plan. Please read Share Class Pricing Details for more information.

Buying Additional Shares

Your financial professional is also your best resource for additional share purchases and other account transactions. He or she can offer advice and ensure your decisions fit your long-term financial plan. However, you can also buy shares here on our website, by phone, by mail or by bank wire. 

To purchase additional shares by mail, please follow these instructions:

  • Send a check made payable to either American Funds Service Company or to the fund in which you are investing.
  • For retirement plan accounts for which Capital Bank and Trust Company (CB&T) is the custodian, please make your check payable to Capital Bank and Trust Company.
  • Include an investment form — from your most recent confirmation or a booklet of investment forms — with your check and mail it to the American Funds Service Company address in your region. Booklets of investment forms can be ordered by calling us. However, you may also send a letter providing your account number(s) with your check.

To transfer money from your bank account to buy shares of the American Fund(s) of your choice, you first need to enroll in FundsLink. This free service links your American Funds account(s) to your checking or savings account.

You can sign up online and purchase fund shares immediately. If you prefer, you can download the applicable FundsLink form.

If you are already enrolled in FundsLink, you can buy shares now.

You can invest up to $100,000 per day on the web or by phone. After we receive and accept your purchase request, the shares will be credited to your American Funds account(s), generally on the same business day. Your pre-designated checking or savings account will be debited for the investment amount. Investments may not be redeemed for 10 business days after purchase. Requests received after the close of the New York Stock Exchange (4:00 p.m. Eastern time) will be invested at the next business day’s applicable offering price. Please note that some financial institutions may charge a fee for electronic transactions. 

Establishing an Automatic Investment Plan

Also known as dollar cost averaging, an automatic investment plan authorizes us to deduct a specified sum from your bank account on the schedule you choose. Investing small amounts regularly keeps you from investing all your money during market peaks.

Market volatility can be an ally to shareholders who dollar cost average over the long term. Suppose you invest $200 a month. When the market is down, you buy more shares than when the market is up — and vice versa. Keep in mind, however, that dollar cost averaging doesn’t ensure a profit or protect against loss, and its success depends largely on your willingness to keep investing when share prices are falling.

To establish an automatic investment plan, you need to enroll in FundsLink. 

Once you have enrolled in FundsLink, you can contact your financial professional to set up an automatic investment plan. You can also go to Your Portfolio, where you can set up an automatic plan. Or contact us to establish a plan.

Reinvesting Dividends and Capital Gain Distributions

A majority of our shareholders automatically reinvest their dividends and capital gain distributions, allowing them to add more shares without a sales charge.


Many shareholders reinvest dividends or dividends and capital gain distributions from one fund into another (within the same class) — with no sales charge. This service allows you to use income from your funds to help create a more diversified investment program. For example, you could use dividends from a bond or balanced fund to diversify into a global or international fund. You should talk to your financial professional before setting up a cross-reinvesting program.

For More Information

If you have questions about buying shares, please contact your financial professional or call us for assistance.

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

Investors should carefully consider investment objectives, risks, charges and expenses. This and other important information is contained in the fund prospectuses, summary prospectuses and CollegeAmerica Program Description, which can be obtained from a financial professional and should be read carefully before investing. CollegeAmerica is distributed by American Funds Distributors® and sold through unaffiliated intermediaries.  

Regular investing does not ensure a profit or protect against loss. Investors should consider their willingness to keep investing when share prices are declining.