Announcements

May 21, 2024

Capital Group Canada simplifies fees across mutual funds

TORONTO, May 21, 2024 — Capital International Asset Management (Canada), Inc. (“Capital Group”) announced it will simplify the fixed-rate administration fees across its mutual funds. Effective June 1, 2024, the administration fees will be simplified by removing the three asset-based tiers and moving to a single fixed-rate administration fee for each series of a fund. Over time, these changes may result in lower management expense ratios (MERs) on those funds which are not currently at the lowest administration fee rate.

“The recent change to the fees aligns with Capital Group’s commitment to making decisions that prioritize the long-term interests of existing and new investors in our funds,” said Rick Headrick, president of Capital Group in Canada. “Consistent active management, a simpler administration fee structure and lower MERs on most of our mutual funds will help us deliver on our mission to help Canadian investors achieve their financial goals.”

The new administration fees for the fund series are detailed below:

Series A, A(US$) and T4
  Current administration fees
(effective up to May 31, 2024)
Based on a fund’s net assets		 New administration fees
(effective as of June 1, 2024)
Fund name Under $500M $500M - $1B Over $1B  
Capital Group International Equity Fund™ (Canada) 0.15% 0.09% 0.06% 0.06%
Capital Group U.S. Equity Fund™ (Canada) 0.13% 0.07% 0.04% 0.04%
Capital Group Global Equity Fund™ (Canada) 0.13% 0.08% 0.05% 0.05%
Capital Group Canadian Focused Equity Fund™ (Canada) 0.13% 0.07% 0.04% 0.04%
Capital Group Capital Income Builder™ (Canada) 0.21% 0.14% 0.11% 0.07%
Capital Group Emerging Markets Total Opportunities Fund™ (Canada) 0.17% 0.11% 0.08% 0.08%
Capital Group Global Balanced Fund™ (Canada) 0.14% 0.08% 0.05% 0.05%
Capital Group Monthly Income Portfolio™ (Canada) 0.11% 0.07% 0.05% 0.05%
Capital Group Canadian Core Plus Fixed Income Fund™ (Canada) 0.15% 0.08% 0.05% 0.05%
Capital Group World Bond Fund™ (Canada) 0.14% 0.08% 0.06% 0.06%
Capital Group Multi-Sector Income Fund™ (Canada) 0.15% 0.11% 0.08% 0.07%

Series F, F(US$) and F4

 Current administration fees
(effective up to May 31, 2024)
Based on a fund’s net assets		New administration fees
(effective as of June 1, 2024)
Fund nameUnder $500M$500M - $1BOver $1B 
Capital Group International Equity Fund™ (Canada)0.15%0.09%0.06%0.06%
Capital Group U.S. Equity Fund™ (Canada)0.13%0.07%0.04%0.04%
Capital Group Global Equity Fund™ (Canada)0.13%0.08%0.05%0.05%
Capital Group Canadian Focused Equity Fund™ (Canada)0.13%0.07%0.04%0.04%
Capital Group Capital Income Builder™ (Canada)0.20%0.13%0.09%0.07%
Capital Group Emerging Markets Total Opportunities Fund™ (Canada)0.17%0.11%0.08%0.08%
Capital Group Global Balanced Fund™ (Canada)0.14%0.08%0.05%0.05%
Capital Group Monthly Income Portfolio™ (Canada)0.11%0.08%0.06%0.05%
Capital Group Canadian Core Plus Fixed Income Fund™ (Canada)0.15%0.08%0.05%0.05%
Capital Group World Bond Fund™ (Canada)0.18%0.12%0.10%0.06%
Capital Group Multi-Sector Income Fund™ (Canada)0.15%0.11%0.08%0.07%

Series D

 Current administration fees
(effective up to May 31, 2024)
Based on a fund’s net assets		New administration fees
(effective as of June 1, 2024)
Fund nameUnder $500M$500M - $1BOver $1B 
Capital Group International Equity Fund™ (Canada)0.21%0.15%0.12%0.06%
Capital Group U.S. Equity Fund™ (Canada)0.18%0.13%0.10%0.04%
Capital Group Global Equity Fund™ (Canada)0.19%0.13%0.10%0.05%
Capital Group Canadian Focused Equity Fund™ (Canada)0.18%0.13%0.10%0.04%
Capital Group Emerging Markets Total Opportunities Fund™ (Canada)0.23%0.17%0.14%0.08%

Series I

 Current administration fees
(effective up to May 31, 2024)
Based on a fund’s net assets		New administration fees
(effective as of June 1, 2024)
Fund nameUnder $500M$500M - $1BOver $1B 
Capital Group International Equity Fund™ (Canada)0.15%0.09%0.06%0.05%
Capital Group U.S. Equity Fund™ (Canada)0.13%0.07%0.04%0.04%
Capital Group Global Equity Fund™ (Canada)0.13%0.08%0.05%0.03%
Capital Group Canadian Focused Equity Fund™ (Canada)0.13%0.07%0.04%0.04%
Capital Group Capital Income Builder™ (Canada)0.15%0.08%0.05%0.05%
Capital Group Emerging Markets Total Opportunities Fund™ (Canada)0.17%0.11%0.08%0.06%
Capital Group Global Balanced Fund™ (Canada)0.14%0.08%0.05%0.05%
Capital Group Monthly Income Portfolio™ (Canada)0.08%0.04%0.02%0.02%
Capital Group Canadian Core Plus Fixed Income Fund™ (Canada)0.15%0.08%0.05%0.05%
Capital Group World Bond Fund™ (Canada)0.14%0.08%0.06%0.05%
Capital Group Multi-Sector Income Fund™ (Canada)0.12%0.07%0.05%0.05%

Hedged series

 Current administration fees
 (effective up to May 31, 2024)
Based on a fund’s net assets		New administration fees
(effective as of June 1, 2024)
Fund nameUnder $500M$500M – $1BOver $1B   
Capital Group Capital Income Builder™ (Canada)
Series AH0.26%0.19%0.16%0.12%
Series FH0.25%0.18%0.14%0.12%
Capital Group World Bond Fund™ (Canada)
Series AH0.19%0.13%0.11%0.11%
Series FH0.23%0.17%0.15%0.11%
Series IH0.19%0.13%0.11%0.10%

In addition to the changes to the fixed administration fees outlined above, the management fee for Monthly Income Portfolio will also be lowered effective June 1, 2024.

Capital Group Monthly Income Portfolio™ (Canada)
Lower management fees

 Current — up to May 31, 2024New — as of June 1, 2024
 Annual management fee rate
based on fund’s net assets		Annual management fee rate
based on fund’s net assets
SeriesOn first $5B$5B – $10BOver $10BOn first $5B$5B – $10BOver $10B
Series A and T4 1.65%1.62%1.60%1.60%1.57%1.55%
Series F and F4 0.65%0.62%0.60%0.60%0.57%0.55%

About Capital Group

Capital International Asset Management (Canada), Inc. is part of Capital Group, a global investment management firm originating in Los Angeles, California. Since 1931, the Capital Group organization has been singularly focused on delivering superior results for long-term investors using high-conviction portfolios, rigorous research and individual accountability. As of March 31, 2024, Capital Group manages more than US$2.6 trillion in equity and fixed income assets for millions of individual 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 Group organization; however, for securities with equity characteristics, they act solely on behalf of one of the three equity investment groups. 

For more information, visit: www.capitalgroup.com/ca/en

Media contact:

Caroline Semerdjian, Capital Group
Caroline.Semerdjian@capgroup.com
(213) 615-3185