A time-tested approach to pursuing long-term growth and conserving capital
Launched in 1975, Capital Group American Balanced is one of the world’s largest and oldest US multi-asset strategies. Originally offered only to US-based investors, the strategy is now available to investors via Capital Group American Balanced Fund (LUX) – which is managed by the same experienced team and follows the same investment approach as the US strategy.
In this video, Jeffrey Lager, the Principal Investment Officer of Capital Group American Balanced Fund (LUX), will discuss the history, portfolio characteristics as well as investment approach of the fund with Julie Dickson and Jacob Gerber, the Investment Directors covering the fund.
Why consider this fund?
Capital Group American Balanced Fund (LUX) is a part of a 45+ years
US multi-asset strategy
A 45-year history, demonstrating US pedigree
One of the world’s oldest US multi-asset strategies with a focus on quality US stocks and bonds. It is designed to deliver resilient results.
An experienced and stable portfolio management team
All 10 portfolio managers of the strategy have a median of 27 years’ investment experience and 21 years with Capital Group.
A proven track record of downside resilience1
The strategy has only seen four calendar years with negative returns since inception1.
Capital Group has the experience and scale for successful investing in multi-asset strategies
US$532 billion
in multi-asset strategies
1973
started managing multi-asset strategies
Multiple portfolio managers enable conviction with diversification
All information and opinions as at 31 December 2021, unless otherwise stated. Source: Capital Group
Capital Group American Balanced Fund (LUX)
A US-focused balanced strategy that has stood the test of time.
Past results are not a guarantee of future results.
As at 31 December 2021. Source: Capital Group
Capital Group American Balanced Fund (LUX) was launched on 27 July 2021. The investment results shown here are for the Capital Group American Balanced Composite (defined as a single group of discretionary portfolios that collectively represent a particular investment strategy or objective). This is intended to illustrate our experience and capability in managing this strategy over the long term. Our Luxembourg fund has become a member of this composite at the beginning of August 2021.
- Net of management fees and expenses for a representative Luxembourg fund share class (B), applying the maximum Total Expense Ratio (TER). Please visit capitalgroup.com for further details. The Capital Group American Balanced Composite experienced negative returns in 1990, 1994, 2002, 2008 and 2018. Meanwhile, the S&P 500 Index, the 60%/40% blend of the S&P 500 and Bloomberg Barclays U.S. Aggregate Index, and the Morningstar peer category have each experienced eight down years during the same period.
Capital Group manages equity assets through three investment groups. These groups make investment and proxy voting decisions independently. Fixed income investment professionals provide fixed income research and investment management across the Capital organization; however, for securities with equity characteristics, they act solely on behalf of one of the three equity investment groups.
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.
- The Prospectus – together with any locally-required offering documentation – set 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.