Reducing sales charges on Class A and A-2 shares

There are a number of ways you can reduce your sales charge. Learn about options that may be available to you.

 

To ensure your investment receives the appropriate sales charge, you or your financial professional should notify us when a purchase is eligible for a reduced sales charge; otherwise, the maximum sales charge may be applied.

 

Sales charges and breakpoints

 

Sales charges and breakpoints for Class A shares

Growth funds



Funds with a maximum sales charge of 5.75%:

 

  • Capital Group KKR U.S. Equity+

Bond funds



Funds with a maximum sales charge of 3.75%:

 

  • Capital Group KKR Core Plus+
  • Capital Group KKR Multi-Sector+

Sales charges and breakpoints for Class A-2 shares

Growth funds



Funds with a maximum sales charge of 3.50%:

 

  • Capital Group KKR U.S. Equity+

Bond funds



Funds with a maximum sales charge of 2.00%:

 

  • Capital Group KKR Core Plus+
  • Capital Group KKR Multi-Sector+

Footnotes:
 

§A 1.00% contingent deferred sales charge may be assessed on redemptions within 18 months of purchase.
 

†A 0.75% contingent deferred sales charge may be assessed on redemptions within 18 months of purchase.

‡‡A 2.00% contingent deferred sales charge may be assessed on redemptions within 12 months of purchase.
 

‡A 1.00% contingent deferred sales charge may be assessed on redemptions within 12 months of purchase.

 

 

Account aggregation


In determining sales charges, solely with respect to Class A and A-2 shares, you can combine your Capital Group KKR Public-Private+ (PPS) Funds, American Funds and American Legacy account values with those of your spouse or spouse equivalent (if recognized by law) and children under 21, including:

  • Trust accounts established by the above family members. If the person(s) who established the trust is deceased, the primary beneficiary can combine accounts.
  • Solely controlled business accounts
  • Single-participant retirement plans
  • Endowments or foundations established and controlled by the investor or immediate family member

 

Direct purchases of money market funds, and American Legacy accounts established after March 31, 2007, cannot be aggregated.

 

Trustees or other fiduciaries


Investments made by a trustee or other fiduciary for a single trust estate or fiduciary account and multiple-employee benefit plans of a single employer or affiliated employers may be aggregated, provided they are not aggregated with personal accounts.

 

We do not aggregate accounts of investors who are affiliated with each other by virtue of being in an association.

 

403(b) plans


Investments made for participant accounts of a 403(b) plan that is treated like an employer-sponsored plan, or multiple 403(b) plans of a single employer or affiliated employers, can be aggregated.

 

Nonprofit and charitable organizations


Investments made for nonprofit, charitable or educational organizations (or any employer-sponsored retirement plan for such an endowment or foundation) or any endowments or foundations established and controlled by the organization can be aggregated.

 

SEP and SIMPLE IRAs


SEP and SIMPLE IRA accounts in plans established after November 15, 2004, by an employer adopting any plan document other than a prototype plan produced by Capital Client Group, Inc. or an affiliate may be aggregated

 

Trust funds and pooled accounts


Investments made by a common trust fund or other diversified pooled accounts that are not specifically formed for the purpose of accumulating fund shares may be aggregated.

 

Accounts ineligible for aggregation

Some investment firms request accounts to be set up as "street name" or "nominee" accounts. This simply means that the investment firm has sole access, or that we have limited access, to their clients' account information.

 

Since American Funds Service Company has little or no access to certain nominee or street name account information, we are generally unable to aggregate those accounts. You should check with your financial professional to determine if this applies to your account(s).

 

Concurrent purchases


You can combine simultaneous purchases of all classes of shares in PPS Funds or American Funds (including, upon request, purchases for gifts) — as well as holdings in American Legacy accounts established on or before March 31, 2007 — as another way to reduce Class A sales charges. This applies to direct fund purchases into any accounts that you and/or your immediate family own. Exceptions include direct purchases of American Funds U.S. Government Money Market Fund Class A shares and employer-sponsored retirement plans not outlined Account aggregation nor Rights of accumulation.

 

For example, if you simultaneously invested $50,000 in Capital Group KKR Core Plus+ Class A shares and $50,000 in Capital Group KKR Multi-Sector+ Class F-2 shares, you could purchase the Class A shares at the $100,000 sales charge of 3.50%.

 

Rights of accumulation


You can add the value of all investments in Capital Group KKR Public-Private+ (PPS) Funds and American Funds share classes already owned to new purchases to qualify for a reduced sales charge on Class A share purchases.

 

American Legacy accounts established on or before March 31, 2007, can also be applied to qualify for a discount on Class A purchases.

 

Direct purchases of the money market fund are excluded.

 

Statement of intention


You can reduce the sales charge you pay on Class A share purchases by establishing a statement of intention. A statement of intention allows you to combine fund purchases of all PPS Funds and American Funds share classes (excluding money market fund purchases) that you intend to make over a 13-month period in order to determine your applicable sales charge.

 

A statement of intention lets you take immediate advantage of the maximum quantity discount* available.

  • Capital appreciation and reinvested dividends/capital gains do not apply toward your combined purchases.
  • If you do not complete your statement of intention during the 13-month period, an additional sales charge will be due on the investment(s) made under the agreement. This additional sales charge represents the difference between the sales charge actually paid and the higher sales charge due. Any adjustments will be reflected in an Account Confirmation and may result in corrected tax forms.

 

Special statement of intention rules apply to shareholders investing by payroll deduction. Please see the statement of additional information for details.

 

Contact your financial professional or call us to establish a statement of intention.

 

* American Legacy accounts established on or before March 31, 2007, may count toward a statement of intention.

 

Right of reinvestment (reinstatement)


You can reinvest proceeds from a redemption, dividend payment or capital gain distribution back into the same account from which the proceeds came without a sales charge, provided the reinvestment occurs within 90 days after the date of the transaction.

 

If your account has been closed, the money can be reinvested into another fund provided:

  • the reinvestment occurs within 90 days after the date of the sale
  • the money is reinvested in the same type of account as the account from which it came
  • the account has the same owner

 

See your financial professional or the fund's statement of additional information for details.

 

Gift of shares


If you want to buy shares as a gift, we'll take into account the current value of your holdings with us when determining the sales charge on your gift purchase. You'll need to send a letter of instruction along with a new account application, if needed.

Related information

Flexible pricing
Share class pricing details
Date of first sale and expense adjustments
Fee waiver and expense reimbursements
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 interval fund prospectuses, which can be obtained from a financial professional and should be read carefully before investing.
For Public-Private+ Funds: Capital Group KKR Core Plus+ and Capital Group KKR Multi-Sector+ are interval funds that currently provides liquidity to shareholders through quarterly repurchase offers of up to 10% of its outstanding shares. Capital Group KKR U.S. Equity+ is an interval fund that currently provides liquidity to shareholders through quarterly repurchase offers of 5% of its outstanding shares. To the extent a higher percent of outstanding shares are tendered for repurchase, the redemption proceeds are generally distributed proportionately to redeeming investors (“proration”). Due to this repurchase limit, shareholders may be unable to liquidate all or a portion of their investment during a particular repurchase offer window. In addition, anticipating proration, some shareholders may request more shares to be repurchased than they actually wish, increasing the likelihood of proration. Shares are not listed on any stock exchange, and we do not expect a secondary market in the shares to develop. Due to these restrictions, investors should consider their investment in the fund to be subject to illiquidity risk.

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- 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.

- Illiquid assets are more difficult to sell and may become impossible to sell in volatile market conditions. Reduced liquidity may have an adverse impact on the market price of such holdings, and the fund may be unable to sell such holdings when necessary to meet its liquidity needs or to try to limit losses, or may be forced to sell at a loss. Illiquid assets are also generally difficult to value because they rarely have readily available market quotations. Such securities require fair value pricing, which is based on subjective judgments and may differ materially from the value that would be realized if the security were to be sold. Situations involving uncertainties as to valuation of assets held by the fund could have an adverse effect on the returns of the fund.

- The fund is a nondiversified fund that has the ability to invest a larger percentage of assets in the securities of a smaller number of issuers than a diversified fund. As a result, poor results by a single issuer could adversely affect fund results more than if the fund were invested in a larger number of issuers.

For Public-Private Credit+ Funds:

- Bond investments may be worth more or less than the original cost when redeemed. High‐yield, lower‐rated, securities involve greater risk than higher‐rated securities; portfolios that invest in them may be subject to greater levels of credit and liquidity risk than portfolios that do not.

- The funds may invest in structured products, which generally entail risks associated with derivative instruments and bear risks of the underlying investments, index or reference obligation. These securities include asset-based finance securities, mortgage-related assets and other asset-backed instruments, which may be sensitive to changes in interest rates, subject to early repayment risk, and their value may fluctuate in response to the market's perception of issuer creditworthiness; while generally supported by some form of government or private guarantee, there is no assurance that private guarantors will meet their obligations.

- 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. 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.

- The fund invests in private, illiquid credit securities, consisting primarily of loans and asset-backed finance securities. The fund may invest in or originate senior loans, which hold the most senior position in a business's capital structure. Some senior loans lack an active trading market and are subject to resale restrictions, leading to potential illiquidity. The fund may need to sell other investments or borrow to meet obligations. The funds may also invest in mezzanine debt, which is generally unsecured and subordinated, carrying higher credit and liquidity risk than investment-grade corporate obligations. Default rates for mezzanine debt have historically been higher than for investment-grade securities. Bank loans are often less liquid than other types of debt instruments and general market and financial conditions may affect the prepayment of bank loans, as such the prepayments cannot be predicted with accuracy.

For Public-Private Equity+ Funds:

- The fund also intends to concentrate in the financial services group of industries, and to invest at least 80% of its assets in securities issued by companies based in the United States.

- K-PEC and co-investment risks: The fund's investments in KKR Private Equity Conglomerate LLC (“K-PEC”) and co-investments alongside K-PEC or one or more other KKR vehicles that pursue private equity strategies entail additional risks. Private equity investments are typically illiquid, speculative, and difficult to value, often requiring multi-year holding periods with returns generally realized only upon sale or refinancing of a portfolio company. These investments depend on access to financing, and market disruptions or increased competition may limit opportunities and affect performance. The fund's significant investment in K-PEC creates concentration risk and a decline in K-PEC's value could materially impact the fund's returns. Co‑investment opportunities are competitive and limited and there is no assurance the fund will receive allocations or comparable terms and will generally have less information than for public companies. Through its investments in K-PEC or other KKR Vehicles and co-investments, the fund may have exposure to portfolio companies with limited operating histories, evolving markets, unproven technologies, and inexperienced management, which may require significant capital and create heightened vulnerability to downturns. Most holdings are illiquid, subject to resale restrictions and may require consents or be sold at a discount. Costs associated with investments in private equity are generally greater than those of investments in other asset classes. In addition to bearing their portion of the fund's fees and expenses, shareholders in the fund will indirectly bear a portion of the asset-based fees, incentive fees and other expenses incurred by the fund as an investor in K-PEC or other KKR Vehicles and in co-investments. Incentive fees are paid to KKR when the fund's investments in K-PEC or other KKR Vehicles and/or co-investments deliver returns in excess of a specified hurdle; when paid, these fees reduce the net realized returns of such investments.
Capital Group and Kohlberg Kravis Roberts & Co. L.P. (“KKR”) are not affiliated. The two firms maintain an exclusive partnership to deliver public-private investment solutions to investors. KKR serves as the sub-adviser of Capital Group KKR Core Plus+ and Capital Group KKR Multi-Sector+ with respect to the management of each fund's private credit assets. KKR is not a sponsor, promoter, investment adviser, sub-adviser, underwriter or affiliate of Capital Group KKR U.S. Equity+.
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