Newsroom Capital Group launches 12 new active-passive model portfolios

New models feature active mutual funds from Capital Group with passive ETFs from other firms

 

LOS ANGELES, February 1, 2023 — Capital Group, home of American Funds, has launched 12 active-passive model portfolios featuring Capital Group as the strategist. The models will be comprised of American Funds’ actively managed mutual funds and passively-managed exchange-traded funds (ETFs) from Vanguard, Schwab, and BlackRock. As the strategist, Capital Group will select the passive ETFs in each model and manage the allocations.

“As the needs of financial professionals and investors continue to evolve so has the way we think about delivering our investment solutions to them,” said Kris Spazafumo, head of portfolio solutions and services at Capital Group. “We know that financial professionals are increasingly creating active-passive portfolios for their clients because they want both a lowcost, tax-efficient portfolio with the potential for excess returns.”
 

The latest series of active-passive model portfolios from Capital Group - including growth, growth and income, preservation and income, and retirement income strategies - have been designed to help financial professionals balance the demands of investment management with the need to scale their businesses and deepen client relationships.
 

Spazafumo added, “These models were designed to allow financial professionals to scale their practice and free them up to spend more of their valuable time helping clients plan for their financial goals. Like our existing all-active models, the new active-passive portfolios will leverage Capital Group’s objective-based investment philosophy, which emphasizes a strategic approach to portfolio construction.”
 

An area of strategic focus for the firm, Capital Group’s model portfolios business has more than tripled in assets under management since 2018. This brings the total number of model portfolios available nationally from Capital Group to 31. The new models – nine of which will be core and three which will be retirement-income focused — include:
 

  • Capital Group Active-Passive Global Growth Model
  • Capital Group Active-Passive Growth Model
  • Capital Group Active-Passive Moderate Growth Model 
  • Capital Group Active-Passive Growth and Income Model
  • Capital Group Active-Passive Moderate Growth and Income Model
  • Capital Group Active-Passive Conservative Growth and Income Model
  • Capital Group Active-Passive Conservative Income and Growth Model
  • Capital Group Active-Passive Conservative Income Model
  • Capital Group Active-Passive Preservation Model
  • Capital Group Active-Passive Retirement Income Model - Enhanced
  • Capital Group Active-Passive Retirement Income Model - Moderate
  • Capital Group Active-Passive Retirement Income Model – Conservative

To learn more about Capital Group’s suite of model portfolios, visit capitalgroup.com/modelportfolios.
 

About Capital Group

Capital Group, home of American Funds, has been singularly focused on delivering superior results for long-term investors using high-conviction portfolios, rigorous research, and individual accountability since 1931.
 

As of December 31, 2022, Capital Group manages approximately $2.2 trillion in equity and fixed-income assets for millions of individuals and institutional investors around the world. Capital Group manages equity assets through three investment groups. These groups make investment and proxy voting decisions independently. Fixed-income investment professionals provide fixed-income research and investment management across the Capital organization; however, for securities with equity characteristics, they act solely on behalf of one of the three equity investment groups.

 

For more information, visit capitalgroup.com.

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, Capital or your relationship manager, and should be read carefully before investing. 
 

Model portfolios are provided to financial intermediaries who may or may not recommend them to clients. The portfolios consist of an allocation of funds for investors to consider and are not intended to be investment recommendations. The portfolios are asset allocations designed for individuals with different time horizons, investment objectives and risk profiles. Allocations may change and may not achieve investment objectives. If a cash allocation is not reflected in a model, the intermediary may choose to add one. Capital Group does not have investment discretion or authority over investment allocations in client accounts. Rebalancing approaches may differ depending on where the account is held. Investors should talk to their financial professional for information on other investment alternatives that may be available. In making investment decisions, investors should consider their other assets, income and investments. [Include only for AF models on our website: Visit capitalgroup.com for current allocations.]
 

All Capital Group trademarks mentioned are owned by The Capital Group Companies, Inc., an affiliated company or fund. All other company and product names mentioned are the property of their respective companies.
 

This content, developed by Capital Group, home of American Funds, should not be used as a primary basis for investment decisions and is not intended to serve as impartial investment or fiduciary advice.
 

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