Investment objective & strategy
As of Feb. 27, 2026 · prospectusObjective. The funds investment objective is to provide as high a level of current income as is consistent with the preservation of capital.
Strategy. The fund seeks to maximize your level of current income and preserve your capital by investing primarily in bonds. Normally the fund invests at least 80% of its assets in bonds and other debt securities, which may be represented by derivatives. The fund invests at least 60% of its assets in debt securities (excluding derivatives) rated A3 or better or A- or better by Nationally Recognized Statistical Ratings Organizations designated by the funds investment adviser, or in debt securities that are unrated but determined to be of equivalent quality by the funds investment adviser, and in U.S. government securities, money market instruments, cash or cash equivalents. The fund may invest in debt securities and mortgage-backed securities issued by government-sponsored entities … The fund seeks to maximize your level of current income and preserve your capital by investing primarily in bonds. Normally the fund invests at least 80% of its assets in bonds and other debt securities, which may be represented by derivatives. The fund invests at least 60% of its assets in debt securities (excluding derivatives) rated A3 or better or A- or better by Nationally Recognized Statistical Ratings Organizations designated by the funds investment adviser, or in debt securities that are unrated but determined to be of equivalent quality by the funds investment adviser, and in U.S. government securities, money market instruments, cash or cash equivalents. The fund may invest in debt securities and mortgage-backed securities issued by government-sponsored entities and federal agencies and instrumentalities that are not backed by the full faith and credit of the U.S. government. The fund may invest in inflation-linked bonds issued by U.S. and non-U.S. governments, their agencies or instrumentalities, and corporations. Inflation-linked bonds are structured to protect against inflation by linking the bonds principal and interest payments to an inflation index, such as the Consumer Price Index for Urban Consumers, so that principal and interest adjust to reflect changes in the index. The fund may invest in futures contracts and swaps, which are types of derivatives. A derivative is a financial contract, the value of which is based on the value of an underlying financial asset (such as a stock, bond or currency), a reference rate or a market index. The fund may invest up to 5% of its assets in debt securities rated Ba1 or below and BB+ or below by Nationally Recognized Statistical Ratings Organizations designated by the funds investment adviser, or in debt securities that are unrated but determined to be of equivalent quality by the funds investment adviser. Securities rated Ba1 or below and BB+ or below are sometimes referred to as junk bonds. The investment adviser uses a system of multiple portfolio managers in managing the funds assets. Under this approach, the portfolio of the fund is divided into segments managed by individual managers. The fund relies on the professional judgment of its investment adviser to make decisions about the funds portfolio investments. The basic investment philosophy of the investment adviser is to seek to invest in attractively priced securities that, in its opinion, represent good, long-term investment opportunities. Securities may be sold when the investment adviser believes that they no longer represent relatively attractive investment opportunities.
Top holdings
As of March 31, 2026 · N-PORT| Security | Ticker | Value | % of fund |
|---|---|---|---|
| CAPITAL GROUP CENTRAL CASH FUND | CMQXX | $3.89B | 3.91% |
| US TREASURY N/B | — | $1.42B | 1.43% |
| US TREASURY N/B | — | $1.37B | 1.37% |
| US TREASURY N/B | — | $1.26B | 1.26% |
| US TREASURY N/B | — | $1.22B | 1.23% |
| US TREASURY N/B | — | $1.03B | 1.04% |
| US TREASURY N/B | — | $887.59M | 0.89% |
| Uniform Mortgage-Backed Security, TBA | FNMA | $885.42M | 0.89% |
| US TREASURY N/B | — | $820.17M | 0.82% |
| US TREASURY N/B | — | $761.80M | 0.77% |
Portfolio moves
Dec 31, 2025 → Mar 31, 2026How many positions this fund opened, exited, grew, trimmed, or left unchanged between its two most recent N-PORT snapshots — net changes between point-in-time reports, not a trade log.
Similar funds
Funds whose portfolios most overlap this one, by weight| Fund | Overlap | Net exp. |
|---|---|---|
| The Bond Fund of America | 36% | 0.23% |
| Intermediate Bond Fund of America · AIBAX, RBOAX, RBOBX, RBOCX, RBOEX, RBOFX, IBFCX, IBFFX, CBOAX, CBOCX, CBOEX, CBOFX, IBAFX, RBOGX, REBBX, RBOHX, IFBFX, TIIBX, TIBBX, FFOOX, FIFBX | 35% | 0.25% |
| U.S. Government Securities Fund · AMUSX, RGVAX, RGVBX, RGVCX, RGVEX, RGVFX, UGSCX, UGSFX, CGTAX, CGTCX, CGTEX, CGTFX, GVTFX, RGVGX, RGEVX, RGVJX, USGFX, TSUGX, TUSGX, FSUGX, FSUUX | 29% | 0.25% |
Advisers
| Firm | Role |
|---|---|
| Capital Research and Management Company | Adviser |
Footnotes
- Expense ratio as of February 27, 2026, from the fund's prospectus.
- Net assets and holdings count as of March 31, 2026, from the fund's N-PORT filing.
- Total return for calendar year 2025, before tax and after fund expenses. Computed by compounding the twelve monthly total returns the fund reported in its SEC N-PORT filings for 2025 (the latest prospectus does not yet chart this year).
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