CAPITAL GROUP AMERICAN BALANCED FUND (LUX) Designed for investors seeking income, growth and resilience

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  1. Investments in equity securities may incur significant losses due to fluctuation in equity values.

  2. Investments in debt securities are subject to interest rate risk, credit risk, and currency risk. Investments in bonds issued or guaranteed by governments may involve political, economic, default, or other risks.

  3. Investments in below investment grade or unrated debt securities are subject to higher liquidity, volatility, default and counterparty risk.

  4. The Fund uses derivative instruments for investment purposes, hedging and/or efficient portfolio management. In an adverse situation, derivative instruments may expose the Fund to a risk of significant loss.

  5. The Fund may at its discretion pay dividends out of and/or effectively out of capital. This amounts to a return of part of an investor’s original investment or distribution of capital gains. This may result in an immediate reduction in the net asset value per share.

  6. Currency hedging for currency-hedged share classes may neither be fully effective nor achieve a precise hedge.

  7. Investors should not make any investment decision solely based on this document.
Why this fund

WHY THIS FUND

A balanced approach designed for income, growth and resilience

Capital Group American Balanced Fund (LUX) (“AMBAL”) is based on one of the world’s largest and oldest multi-asset strategies1, which has navigated various market environments for 50 years since 1975.

With over 85% of the portfolio in income-generating stocks and bonds, AMBAL aims to provide a consistent source of income for investors.

With over 85% of the portfolio in income-generating stocks and bonds, AMBAL aims to provide a consistent source of income for investors.

Please reach out to your advisor (if applicable) for further details.
^ Dividend yield is annualized and corresponds to the sum of all dividend distributions from the last 12 months, divided by the month end net asset value (NAV) per share. Positive distribution yield does not imply a positive return.

AMBAL adopts a prudent, quality-focused approach. By emphasising prudent security selection, we ensures that only high-quality assets are included.

chart-ambal-typical-allocation-1280px

By adopting a balanced or a 60/40 approach, the fund aims to deliver resilient returns across different market environments.
 

Historically, a US balanced approach has generated positive returns in 99% of rolling 5-year periods3. achieving consistent outcomes for investors over time.

Rolling 5-year annualized returns for a US balanced portfolio

By adopting a balanced or a 60/40 approach, the fund aims to deliver resilient returns across different market environments.

Past results are not a guarantee of future results.
Rolling returns – Average annualised returns for a specified period (e.g., five years, ten years) on any chosen frequency (e.g., daily, weekly, monthly) up to the last day of the chosen duration.

INSIGHTS

Fresh perspectives from our investment team

WHY CAPITAL GROUP?

Capital Group is the world's largest multi-asset manager4 with over 50 years of multi-asset investing experience.

Global investing credentials

Data as of 31 December 2025


To find out more, talk to your bank or financial advisor, or visit our How to Subscribe page.

Data as at 30 June 2026 and attributed to Capital Group unless otherwise stated.
 

  1. Source: eVestment. Strategy inception: July 1975.
  2. Dividend yield in USD terms as at 31 July 2026, based on the Bfdxm and Bfydm share classes. Dividend yield is the income return on the share class and is shown for distributing share classes only.
  3. Data from 31 July 1975 to 30 June 2026 in USD terms. Portfolio based on 60% S&P 500 / 40% Bloomberg U.S. Aggregate Index from 31 Dec 1975 (Previously 60% S&P 500 / 40% Bloomberg U.S. Government / Credit Index). Sources: S&P, Bloomberg
  4. Source: Morningstar Direct as at 31 December 2025. Data includes Worldwide Open Ended Funds and ETFs; money market, fund of funds and feeder funds are excluded.


Glossary:
 

  • Balanced or 60/40 approach: An asset allocation strategy that splits 60% of investments into equities and 40% into fixed income.
  • Blue-chip equities: Stocks that have a long record of profit growth and dividend payment and a reputation for quality management, products and services.
  • Bond: A debt instrument, essentially a loan, issued by governments (a sovereign bond) or corporates (a corporate bond) and financed by investors. The bondholder receives interest payments, known as a coupon, and the principal of the bond when it is due.
  • Capital: Refers to financial assets or the financial value of assets.
  • Dividend: A sum of money paid regularly by a company to its shareholders out of its profits (or reserves).
  • Downside protection / resilience: An investment position that seeks to reduce the frequency and/or magnitude of capital losses resulting from the decline of a stock or a fall in the overall market.
  • Equity: Shares of ownership in a company.
  • Fdx: “fdx” are share classes where the dividend will generally be fixed based on a pre-determined annual percentage of Net Asset Value per Share and may exceed the gross investment income (i.e. investment income net of withholding taxes but gross of expenses) of these Classes.
  • Fyd: “fyd” are share classes with a variable dividend based on a fixed percentage of the Net Asset Value per Share. It may exceed the gross investment income (i.e. net of withholding taxes but gross of expenses) of such classes.
  • High-quality equities and bonds: Companies with outstanding characteristics, which may include low debt, stable earnings, strong balance sheets and high margins. High quality bonds include government bonds and investment grade bonds (assets rated BBB- or higher by rating agencies Moody’s, Standard & Poor’s or Fitch). High quality bonds may offer a lower risk, lower potential return profile.
  • M: “m” are share classes where dividends will be distributed monthly.
  • Multi-asset strategy: Strategies that invest in a mix of equities and bonds.
  • Treasury: A type of debt issued by the US Treasury.
  • Upside: Refers to the potential for an investment to increase in value, as measured in terms of money or percentage.


Risk factors you should consider before investing:
 

  • This material is not intended to provide investment advice or be considered a personal recommendation.
  • The value of investments and income from them can go down as well as up and you may lose some or all of your initial investment.
  • Past results are not a guarantee of future results.
  • If the currency in which you invest strengthens against the currency in which the underlying investments of the fund are made, the value of your investment will decrease. Currency hedging seeks to limit this, but there is no guarantee that hedging will be totally successful.
  • Some portfolios may invest in financial derivative instruments for investment purposes, hedging and/or efficient portfolio management.
  • The Prospectus - together with locally required offering documentation - sets out risks which, depending on the fund, may include risks associated with investing in fixed income, derivatives, emerging markets and/or high-yield securities; emerging markets are volatile and may suffer from liquidity problems.