AMERICAN FUNDS TARGET DATE RETIREMENT SERIES®

Participants work hard for their dreams. So do we.

Gold Financial Advisor IQ Service Awards Seal 2022

GOLD MEDAL WINNER

Graphic shows that out of more than 15,000 fund share classes surveyed, only 30 made Morningstar's "Thrilling" list, with 7 from American Funds.

7 American Funds deemed “Thrilling” by Morningstar

Discover what sets our Series apart

Target date funds have a lot in common. But the American Funds Target Date Series takes a distinctive approach that has delivered uncommon investment outcomes and helped thousands of participants come closer to achieving their financial dreams.

A history of strong results

Our Series has outpaced its peers over the long haul.

Seeking to build and preserve wealth

Our Series adapts to changing participant needs by adjusting both its stock/bond mix and the types of assets held through each stage of life.

Our Series adapts to changing participant needs by adjusting both its stock/bond mix and the types of assets held through each stage of life.

This chart is titled American Funds Target Date Retirement Series glide path by individual underlying fund allocation and overall fund category, and illustrates our strategic glide path shifting from a higher equity to a higher fixed income allocation over time while also explaining the shift in philosophy from wealth creation to wealth preservation. It features the early career which seeks to grow wealth and manage risk with growth-oriented equities and a prudent allocation to defensive bonds. The mid-career begins to balance growth and income versus diversified bonds and dividend-paying equities. The in-retirement stage seeks to preserve wealth and deliver sustainable income with less-volatile dividend-paying equities and higher quality bonds.

The target allocations shown are as of December 31, 2023, and are subject to the oversight committee’s discretion. The investment adviser anticipates assets will be invested within a range that deviates no more than 10% above or below the allocations shown in the prospectus/characteristics statement. Underlying funds may be added or removed during the year. Visit capitalgroup.com for current allocations.

The target allocations shown are as December 31, 2022, and are subject to the oversight committee‘s discretion. The investment adviser anticipates assets will be invested within a range that deviates no more than 10% above or below the allocations shown in the prospectus. Underlying funds may be added or removed during the year. Visit capitalgroup.com for current allocations.

Three factors driving our success

UNDERLYING FUNDS

Solid building blocks

Our funds have delivered peer-beating results and held up well in down markets.

LOW FEES

Delivering value at a low cost

We encourage a focus not just on expenses but on value delivered to participants.

GLIDE PATH

A distinctive approach

Our glide path is different. While our Series changes the mix between stocks and bonds, it also changes the types of assets held. This is designed to better align with participant needs over time.

Making a difference

Our Target Date Solutions Committee, which oversees the Series, brings a diversity of experience and draws on the fundamental research and quantitative resources of the global Capital Group team. 

Multi-asset

29 years of investment industry experience

Fixed income

36 years of investment industry experience

Equity

26 years of investment industry experience

Equity

31 years of investment industry experience

Fixed income

31 years of investment industry experience

Multi-asset

31 years of investment industry experience

Multi-asset

30 years of investment industry experience

Multi-asset

31 years of investment industry experience

Years of experience as of December 31, 2023.

Global research offices

 

About Capital Group

Capital Group has a distinctive, long-term global investment approach that relies on fundamental research. Privately held since its founding in 1931 and with more than $2.5 trillion under management, the firm has more than 479 investment professionals worldwide.*

*As of December 31, 2023.
 
This is a chart of Capital Group's 11 global research offices: San Francisco, Los Angeles, Toronto, New York, Washington D.C., London, Geneva, Mumbai, Singapore, Hong Kong and Tokyo.

Global research offices 

Global research offices:

Los Angeles

Geneva

San Francisco

Mumbai

New York

Hong Kong

Washington, D.C.

Tokyo

Toronto

Singapore

London

 

 

 

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Our team is ready to help you help participants.

Important investment disclosures

Figures shown are past results and are not predictive of results in future periods. Current and future results may be lower or higher than those shown. Investing for short periods makes losses more likely. Prices and returns will vary, so investors may lose money. View mutual fund expense ratios and returns.
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 and should be read carefully before investing.
Investments in mortgage-related securities involve additional risks, such as prepayment risk.
The use of derivatives involves a variety of risks, which may be different from, or greater than, the risks associated with investing in traditional securities, such as stocks and bonds.
Fund shares of U.S. Government Securities Fund are not guaranteed by the U.S. government.
Lower rated bonds are subject to greater fluctuations in value and risk of loss of income and principal than higher rated bonds.
The return of principal for bond funds and for funds with significant underlying bond holdings is not guaranteed. Fund shares are subject to the same interest rate, inflation and credit risks associated with the underlying bond holdings.
While not directly correlated to changes in interest rates, the values of inflation-linked bonds generally fluctuate in response to changes in real interest rates and may experience greater losses than other debt securities with similar durations.
Investing outside the United States involves risks, such as currency fluctuations, periods of illiquidity and price volatility. These risks may be heightened in connection with investments in developing countries.
Small-company stocks entail additional risks, and they can fluctuate in price more than larger company stocks.
The Morningstar Medalist Rating™ is the summary expression of Morningstar's forward-looking analysis of investment strategies as offered via specific vehicles using a rating scale of Gold, Silver, Bronze, Neutral, and Negative. The Medalist Ratings indicate which investments Morningstar believes are likely to outperform a relevant index or peer group average on a risk-adjusted basis over time. Investment products are evaluated on three key pillars (People, Parent, and Process) which, when coupled with a fee assessment, forms the basis for Morningstar's conviction in those products' investment merits and determines the Medalist Rating they're assigned. Pillar ratings take the form of Low, Below Average, Average, Above Average, and High. Pillars may be evaluated via an analyst's qualitative assessment (either directly to a vehicle the analyst covers or indirectly when the pillar ratings of a covered vehicle are mapped to a related uncovered vehicle) or using algorithmic techniques. Vehicles are sorted by their expected performance into rating groups defined by their Morningstar Category and their active or passive status. When analysts directly cover a vehicle, they assign the three pillar ratings based on their qualitative assessment, subject to the oversight of the Analyst Rating Committee, and monitor and reevaluate them at least every 14 months. When the vehicles are covered either indirectly by analysts or by algorithm, the ratings are assigned monthly. For more detailed information about these ratings, including their methodology, please go to global.morningstar.com/managerdisclosures/. The Morningstar Medalist Ratings are not statements of fact, nor are they credit or risk ratings. The Morningstar Medalist Rating (i) should not be used as the sole basis in evaluating an investment product, (ii) involves unknown risks and uncertainties which may cause expectations not to occur or to differ significantly from what was expected, (iii) are not guaranteed to be based on complete or accurate assumptions or models when determined algorithmically, (iv) involve the risk that the return target will not be met due to such things as unforeseen changes in management, technology, economic development, interest rate development, operating and/or material costs, competitive pressure, supervisory law, exchange rate, tax rates, exchange rate changes, and/or changes in political and social conditions, and (v) should not be considered an offer or solicitation to buy or sell the investment product. A change in the fundamental factors underlying the Morningstar Medalist Rating can mean that the rating is subsequently no longer accurate.
Allocations may not achieve investment objectives. The portfolios' risks are related to the risks of the underlying funds as described herein, in proportion to their allocations.
Although the target date portfolios are managed for investors on a projected retirement date time frame, the allocation strategy does not guarantee that investors' retirement goals will be met. Investment professionals manage the portfolio, moving it from a more growth-oriented strategy to a more income-oriented focus as the target date gets closer. The target date is the year that corresponds roughly to the year in which an investor is assumed to retire and begin taking withdrawals. Investment professionals continue to manage each portfolio for approximately 30 years after it reaches its target date.
Capital Group offers a range of share classes designed to meet the needs of retirement plan sponsors and participants. The different share classes incorporate varying levels of financial professional compensation and service provider payments. Because Class R-6 shares do not include any recordkeeping payments, expenses are lower and results are higher. Other share classes that include recordkeeping costs have higher expenses and lower results than Class R-6.
There may have been periods when the results lagged the index(es) and/or average(s). The indexes are unmanaged and, therefore, have no expenses. Investors cannot invest directly in an index.
Each S&P Index ("Index") shown is a product of S&P Dow Jones Indices LLC and/or its affiliates and has been licensed for use by Capital Group. Copyright © 2024 S&P Dow Jones Indices LLC, a division of S&P Global, and/or its affiliates. All rights reserved. Redistribution or reproduction in whole or in part is prohibited without written permission of S&P Dow Jones Indices LLC.
Statements attributed to an individual represent the opinions of that individual as of the date published and do not necessarily reflect the opinions of Capital Group or its affiliates. This information is intended to highlight issues and should not be considered advice, an endorsement or a recommendation.
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.
Investment results assume all distributions are reinvested and reflect applicable fees and expenses.
When applicable, results reflect fee waivers and/or expense reimbursements, without which they would have been lower and net expenses higher. Please refer to capitalgroup.com for more information. Read details about how waivers and/or reimbursements affect the results for each fund. View results and yields without fee waiver and/or expense reimbursement.
Certain share classes were offered after the inception dates of some funds. Results for these shares prior to the dates of first sale are hypothetical based on the original share class results without a sales charge, adjusted for typical estimated expenses. 
  • Class R-6 shares were first offered on 5/1/2009.
Results for certain funds with an inception date after the share class inception also include hypothetical returns because those funds' shares sold after the funds' date of first offering. View dates of first sale and specific expense adjustment information.
Use of this website is intended for U.S. residents only. Use of this website and materials is also subject to approval by your home office.
On or around July 1, 2024, American Funds Distributors, Inc. will be renamed Capital Client Group, Inc.
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.
© 2024 Morningstar, Inc. All Rights Reserved. Some of the information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar, its content providers nor Capital Group are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results. Information is calculated by Morningstar. Due to differing calculation methods, the figures shown here may differ from those calculated by Capital Group.

*Source: Kephart, Jason. “American Funds Target Date Retirement Series®,” Morningstar Target-Date Fund Series Report, January 29, 2024.

†Source: Refinitiv Lipper Fund Awards. © 2023 Refinitiv. All rights reserved. Used under license. As of March 24, 2023, 10 vintages in American Funds Target Date Retirement Series received awards in at least one of the three-, five- or 10-year periods for Class R-6 shares. For Class F-3, the 2030 vintage was recognized in the three- and five-year periods and the 2035 vintage was recognized in the five-year period. The Refinitiv Lipper Fund Awards, granted annually, highlight funds and fund companies that have excelled in delivering consistently strong risk-adjusted performance relative to their peers. The Refinitiv Lipper Fund Awards are based on the Lipper Leader for Consistent Return rating, which is a risk-adjusted performance measure calculated over 36, 60 and 120 months. The fund with the highest Lipper Leader for Consistent Return (Effective Return) value in each eligible classification wins the Refinitiv Lipper Fund Award. For more information, see lipperfundawards.com. Although Refinitiv Lipper makes reasonable efforts to ensure the accuracy and reliability of the data contained herein, the accuracy is not guaranteed by Refinitiv Lipper.

‡Source: Escalent, Cogent Syndicated. Retirement Plan Advisor Trends, October 2023. Methodology: 503 respondents participated in a web survey conducted September 8–14, 2023. The respondents consisted of financial advisors managing defined contribution plans. In Ownership of Core Brand Attributes — Tier 1, across the most vital attributes, American Funds was selected most often in response to the question “Which — if any — of these DC plan providers are described by this statement: ‘Is a company I trust?’ and ‘Easy for advisors to do business with’?”

 

Morningstar categories
 

American Funds Target Date 2010

Morningstar Target Date 2000–2010

American Funds Target Date 2015

Morningstar Target Date 2015

American Funds Target Date 2020

Morningstar Target Date 2020

American Funds Target Date 2025

Morningstar Target Date 2025

American Funds Target Date 2030

Morningstar Target Date 2030

American Funds Target Date 2035

Morningstar Target Date 2035

American Funds Target Date 2040

Morningstar Target Date 2040

American Funds Target Date 2045

Morningstar Target Date 2045

American Funds Target Date 2050

Morningstar Target Date 2050

American Funds Target Date 2055

Morningstar Target Date 2055

American Funds Target Date 2060

Morningstar Target Date 2060

American Funds Target Date 2065

Morningstar Target Date 2065+

 

Index definitions

The S&P Target Date Series comprises 12 multi-asset class indexes, each corresponding to a particular target retirement date. Each index provides varying levels of exposure to equities and fixed income. Each target date allocation is created and retired according to a predetermined schedule related to the respective target date.

For quarterly updates of fund allocations, click here