Morningstar named Capital Group’s American Funds the number one fund family in its quarterly evaluation of the largest 150 fund families.1
The analysis — scanning a universe of fund companies holding 97% of investors’ assets in the U.S. market — determines which ones are best aligned with the needs of investors based on a number of qualitative and quantitative criteria.
This analysis is designed to identify fund families that “build a fiduciary relationship with their investors,” according to Morningstar. The research finds “firms that put investors first and align their interests with their shareholders will succeed in the long run.”
Specifically, Morningstar lauded Capital Group’s long stature as a “standard-bearer in asset management” with its “reliable equity and allocation offerings.” Morningstar cited Capital Group’s multimanager system as the reason for its strong results over time.
“Dividing each fund into independently run sleeves lets managers invest in line with their styles, enhancing diversification and reducing volatility of the overall portfolio,” Morningstar says.