Our Equity Investing Capability | American Funds

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Our Equity Investing Capability

What We Offer

Our equity experience, accumulated through nearly 30 market cycles over the past 85 years, is reflected in an array of top-rated U.S. and global equity investments across a variety of styles and market capitalizations.1

 

Our Competitive Advantage

We provide Registered Investment Advisors and their clients with the in-depth experience and knowledge, a commitment to durable results and institutional experience of a specialized “boutique” equity investment firm combined with the global breadth and scale of a large asset manager.

 

An Effective Investment Approach

Our more than 245 equity portfolio managers and analysts perform in-person research from 13 offices across the world to find the best investment opportunities wherever they may be.2 This approach has generated a persistent track record of index-beating results. For the 5,800 rolling monthly 10-year periods between 1934 and 2016, our equity-focused American Funds led their benchmarks 73% of the time. We do this with fund expenses in all 18 American Funds equity funds that are ranked in the lowest quartile of expenses compared with peers.3

 


 

Our Equity-Focused Funds Have a Long History of Outpacing the Market

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Source: Data from published sources were calculated internally. Numbers of periods are based on rolling monthly data for all funds — reducing entry- and exit-point bias and better reflecting the range of entry points experienced by investors. American Funds represents 18 equity-focused funds, in aggregate: AMCAP Fund, American Balanced Fund, American Funds Global Balanced Fund, American Mutual Fund, Capital Income Builder, Capital World Growth and Income Fund, EuroPacific Growth Fund, Fundamental Investors, The Growth Fund of America, The Income Fund of America, International Growth and Income Fund, The Investment Company of America, The New Economy Fund, New Perspective Fund, New World Fund, SMALLCAP World Fund, American Funds Developing World Growth and Income Fund and Washington Mutual Investors Fund. For each fund’s comparable index/index blend, see Methodology. Past results are not predictive of results in future periods.

1 Morningstar named the American Funds to its list of standout mutual funds — the “Great 38” — in 2017 for the sixth year in a row. Eleven American Funds were selected out of more than 8,000 funds screened. Capital Group’s American Funds was also named by Morningstar as the number one fund family in its quarterly evaluation of the largest 150 fund families in July 2017.
2As of December 31, 2016
3Based on prospectus net expense ratios for F-3 Class shares as of April 19, 2017, relative to the peer group percentile as measured by Morningstar. Ratings based on Morningstar’s data on 1,349 investments in U.S. open-ended large value category, 811 investments in the U.S. open-ended foreign large blend category, 396 investments in the U.S. open-ended 70% to 85% equity category, 516 investments in the U.S. open-ended world allocation category, 853 investments in the U.S. open-ended 50% to 70% equity category, 1,523 investments in the U.S. open-ended large growth category, 963 investments in the U.S. open-ended world large stock category, 1,536 investments in the U.S. open-ended large blend category, 185 investments in the U.S. open-ended world small/mid stock category and 434 investments in the U.S. open-ended foreign large growth category. Past results are no guarantee of results in future periods


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 and summary prospectuses, which can be obtained from a financial professional and should be read carefully before investing. 

Certain market indexes are unmanaged and, therefore, have no expenses. Investors cannot invest directly in an index. 

The American Funds are distributed by American Funds Distributors, Inc.

Content contained herein is not intended to serve as impartial investment or fiduciary advice. The content has been developed by Capital Group, which receives fees for managing, distributing and/or servicing its investments.

Statements attributed to an individual represent the opinions of that individual as of the date published and do not necessarily reflect the opinions of Capital Group or its affiliates. This information is intended to highlight issues and not to be comprehensive or to provide advice.