May 22, 2020

Estimated midyear capital gain distributions

Several American Funds are expected to pay midyear capital gain distributions in June. The distribution amounts are based on gains and losses realized through the end of each fund's most recent fiscal year-end. 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. See the table below for details.

Estimated midyear capital gain distributions
(Percentage range of current share price*)


Record date

Payment date

Long-term capital gains percentage




1% - 2%

American Balanced Fund®**



Less than 1.0%

Capital World Bond Fund®



Less than 0.1%

Fundamental Investors®



1% - 2%

The Investment Company of America®



Less than 0.5%

* As of April 30, 2020

** American Balanced Fund will also pay a midyear short-term capital gains distribution of less than 0.1% of current share price*, which is treated as ordinary income for tax purposes.

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

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