2019 Year-End Distributions | Capital Group

Tax Center

September 13, 2019

2019 Year-End Distributions

Year-end distribution amounts can also be found in Historical Distributions on the fund’s December record dates

Capital Gain Distributions

The anticipated long-term capital gain distributions for 2019 are listed below. The actual distribution amounts will be based on gains and losses realized through October 31 (or later for certain funds). Estimates on a per-share basis will be available by December. The funds’ long-term approach to investing means that the capital gains realized in a particular year can be the result of an investment held over an extended period of time. The amount of capital gain distributions may vary year over year since the distributions are based on net capital gains realized each year.

Read our Capital Gains FAQ to learn about capital gain distributions and how they affect your account.

Estimated Year-End Distributions of Long-Term Capital Gains
(Percentage Range Based on Current Share Prices*)

Fund

Record Date

Payment Date

Percentage

Range

AMERICAN FUNDS PORTFOLIO SERIES℠

AMERICAN FUNDS RETIREMENT INCOME PORTFOLIO SERIES℠

AMERICAN FUNDS TARGET DATE RETIREMENT SERIES®

*Some funds may pay a year-end distribution of short-term capital gains, which are taxed like ordinary income.

*As of July 31, 2019

Qualified Dividends

Funds that invest in stocks of U.S. corporations and many of those based outside the U.S. pay dividends that qualify for lower tax rates. However, when a fund derives a significant portion of its income from sources such as interest, short-term capital gains and dividends from certain international corporations, a portion of its dividend does not qualify for reduced tax rates. Instead, that portion is taxed at the ordinary income rates. Funds that derive all of their income from investments in bonds, money market instruments and non-dividend-paying investments do not pay qualified dividends.

Below are preliminary 2019 estimates of the percentage range of each fund’s taxable dividends that qualify for lower tax rates. The final percentages for 2019 could vary. The actual amount of qualified dividends will be reported on the 2019 Form 1099-DIV (mailed in late January).

Funds Expected to Pay Qualified Dividends

Fund
Percentage Range

AMERICAN FUNDS PORTFOLIO SERIES

AMERICAN FUNDS RETIREMENT INCOME PORTFOLIO SERIES

AMERICAN FUNDS TARGET DATE RETIREMENT SERIES

*The fund is not expected to pay taxable dividends in 2019.

Return of Capital

A portion of the income dividends distributed by American Funds Emerging Markets Bond Fund, American Funds Strategic Bond Fund and Capital World Bond Fund during 2019 may be classified as a return of capital. The actual amount of return of capital will be reported in Box 3 “Nondividend Distributions” of the 2019 1099-DIV (mailed in late January).


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.