The Capital SystemSM combines independent high-conviction decision-making with the diversity that comes from multiple perspectives. It has delivered long-term results that help clients pursue their goals.
HOW IT WORKS
Our portfolios house diverse perspectives.
We divide portfolios into segments, each run by an individual manager. The managers represent a diverse set of backgrounds, styles and approaches. Typically, each is personally invested in the portfolios they manage.
While managers collaborate and share insights, each invests independently according to their strongest convictions. The resulting portfolios are a diverse collection of investment ideas, not just one manager’s perspective. This approach creates the potential for portfolios to fare well in a variety of market conditions.
Our investments are grounded in fundamental research.
Our investment analysts conducted more than 12,000 face-to-face meetings with companies in 2018. Visiting factories, facilities and headquarters helps drive deep operational understanding and informs all our investment decisions.
Our investment analysts do more than make recommendations.
The research portfolio
At most firms, analysts only recommend investments, but at Capital Group they typically have the opportunity to actually invest in their highest conviction ideas. Most funds have research portfolios managed by analysts.
Our system provides management continuity and a consistent approach.
A time-tested system
Our multiple manager system supports our commitment to investors with long-term goals. It has allowed us to navigate near-term noise and periods of economic and market uncertainty in pursuit of key goals.
Designed to help investors pursue long-term investment success
Aligned with investor goals
We strongly believe long-term investing aligns with client goals, and our culture and compensation structure reinforce that focus. We typically hold investments significantly longer than our industry peers.*
*On average, the equity-focused American Funds hold their investments for 3.14 years, whereas their peers hold their investments for 1.82 years, based on the equal weighted blended averages across each of the 18 equity-focused American Funds' respective Morningstar active categories.
THE POWER OF DIVERSITY
Bringing it all together
The Capital System builds portfolios that house multiple, disparate views. This diversity creates the potential for portfolios to fare well in a variety of market conditions.
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 mutual fund prospectuses and summary prospectuses, which can be obtained from a financial professional, and should be read carefully before investing. Similar information about collective investment trusts can be obtained from Capital Group or participants’ plan provider or employer.
This content, developed by Capital Group, home of American Funds, should not be used as a primary basis for investment decisions and is not intended to serve as impartial investment or fiduciary advice.
Statements attributed to an individual represent the opinions of that individual as of the date published and do not necessarily reflect the opinions of Capital Group or its affiliates. This information is intended to highlight issues and should not be considered advice, an endorsement or a recommendation.
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