Monthly Income Portfolio | Capital Group (Canada)

The freedom to

reflect
relaunch
retire

Monthly Income Portfolio is designed to provide the consistency and longevity your clients need.

OVERVIEW FOR  ADVISORS  |  INVESTORS

Make client retirements a starting line, not a finish line

Monthly Income Portfolio works to make retirement easier for Canadians by helping to provide the financial consistency that’s key for having the kind of retirement they deserve.
Objective

Seeks to generate income, along with conservation of capital and long-term growth of capital. The fund invests primarily in equity and debt securities issued by companies and governments around the world, primarily through investments in underlying funds.
Benefits for investors


Resilience


Dividend-oriented stocks and investment-grade bonds add ballast

 

Monthly income is not guaranteed.



Income


Durable income from diverse sources to address lifestyle needs


Freedom


The confidence to pursue a new chapter
A curated, objective-based solution

Monthly Income Portfolio complements the work you do for clients by providing an income‑focused solution built with flexible mandates.

Benefits for advisors

1-ticket income solution for a critical client need

An institutional approach for individual investors

Frees your time to focus on client needs and manage behaviour

Access to Capital’s proprietary portfolio construction approach and global research

Capital’s scale and relationships mitigate trading costs and facilitate efficient currency conversion

T4 and F4 series offer tax-efficient distributions

How we built it

Built to last

Equity exposure helps mitigate longevity risk.

 

Built for resilience

Bonds with low correlation to equities and dividend-paying equities help smooth bumps.

Built for better outcomes

Flexibility in asset class and a global opportunity set can lead to better results

 

Built by conviction

Not top-down allocation; built by bottom-up security selection aligned with investment objectives.

“Low” risk rating

 

Low
Low to Medium
Medium
Medium to High
High

 

This initial risk rating follows the methodology recommended by Canadian securities regulators, as disclosed in the fund's prospectus.

A look inside the portfolio

Monthly Income Portfolio is a blend of individual Capital Group mandates, each with a proven track record and investment management process.

Capital Group fund

Initial strategic allocation1

Capital Group Canadian Focused Equity FundTM (Canada)

25%

Capital Group Capital Income BuilderTM (Canada)

20%

Capital Group Canadian Core Plus Fixed Income FundTM (Canada)

20%

Capital Group World Bond FundTM (Canada)

10%

Capital Group Emerging Markets Total Opportunities FundTM (Canada)

10%

Capital Group Global High Income Opportunities (LUX)2

10%

Capital Group Global Balanced FundTM (Canada)

5%

1 Underlying holdings of Monthly Income Portfolio are monitored. Allocation percentages and underlying funds are subject to oversight by the Global Solutions Committee and will change from time to time. Underlying funds may be added or removed at any time at our sole discretion.

2 Managed by a Capital Group affiliate.

A global leader in multi-asset portfolio solutions

More than 25,000 financial advisors in the U.S. and Asia used Capital Group managed portfolio solutions for their clients in 360,000 investor accounts in 2019.
 

 

Assets under management (AUM) in USD; as of December 31, 2019. Reflects the Capital Group global organization.

Built and overseen by experienced investment professionals

Capital’s Global Solutions Committee oversees the portfolio. The investment professionals on the committee have a median of 27 years investment industry experience and have navigated several market cycles in their careers. They monitor and assess the allocation of the underlying Capital Group funds.

Hilda Applbaum
Multi-asset
33 years
San Francisco

Arthur Caye
Equity
26 year
Geneva

Philip Chitty
Fixed income
26 years
London

Luis Freitas de Oliveira
Multi-asset
31 years
Geneva

Samir Mathur
Multi-asset
27 years
New York

Wesley Phoa
Multi-asset
26 years
Los Angeles

Steven Watson
Equity
32 years
Hong Kong

The committee is supported by 7 research and analytics groups with over 60 associates.

Years of investment industry experience as of December 31, 2019.

A proven process

A history of top-quartile results for our U.S. portfolio solutions
7 of the 11 portfolio solutions Capital Group manages for U.S. investors are in Morningstar’s top quartile of risk-adjusted returns over their lifetimes (based on Sharpe ratios versus respective Morningstar categories, as of March 31, 2020).

RESULTS

 

Morningstar rankings do not reflect the effects of sales charges, account fees or taxes. Investment results assume all distributions are reinvested and reflect applicable fees and expenses. The Morningstar category includes all share classes for the funds in the category. Portfolios are monitored; allocations and underlying funds may change. Not available in Canada. Past results are not predictive of results in future periods.

Next steps


Protecting and growing your clients' wealth is our mission.

Let's talk about how Monthly Income Portfolio can help your clients meet their investment goals.

 


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