American Funds Mortgage Fund®

Bond

Overview

American Funds Mortgage Fund may be appropriate for:

Investors seeking current income
Investors interested in high-quality, mortgage-related securities
Investors seeking to preserve capital

Objective

The fund's investment objective is to provide current income and preservation of capital.

Manager

The fund is managed by Capital Research and Management Company, one of the nation’s oldest, largest investment management firms. Since 1931, Capital Research has invested with a long-term focus based on thorough research and attention to risk.

Fund information

Began operations: 11/01/10
Net and gross expense ratios:* 1.45% / 1.47%
Investment expenses paid annually:† $14.50 for a $1,000 balance

Ticker symbol: MFACX

*Fund expenses are as of each fund’s prospectus. Please see the fund’s most recent prospectus for details.
†You can estimate the investment expenses you’re paying annually by multiplying your balance in the fund by the expense ratio.

Investments

Normally, at least 80% of the fund’s assets will be invested in mortgage-related securities guaranteed by the U.S. government, mortgage-related securities issued by government-sponsored entities but not backed by the full faith and credit of the U.S. government, and non-government mortgage-related securities rated AAA/Aaa or unrated but determined to be of equivalent quality by the fund’s investment adviser. Up to 10% of assets may be invested in high-quality, U.S. dollar-denominated mortgage-related securities of issuers outside the U.S., and up to 5% of assets may be invested in securities rated AA/Aa or A, or unrated but of equivalent quality.

Where the fund was invested

(as of 6/30/24; percentage of net assets; holdings are subject to change)

Securities held to satisfy collateral or margin requirements for certain instruments may result in negative cash percentages or assets greater than 100%

*Cash and equivalents includes short-term securities, accrued income and other assets less liabilities. It may also include investments in money market or similar funds managed by the investment adviser or its affiliates that are not offered to the public.

Past results

The bar graph below shows the fund’s annual results and illustrates the fund’s fluctuations over the past 10 years. (Class C shares were first offered on March 15, 2001 (on February 21, 2014, in funds in the American Funds Target Date Retirement Series). Class C share returns prior to the date of the first sale are hypothetical results based on Class A share returns without a sales charge, adjusted for typical additional annual expenses of about 0.82% on average over the first 10 years. Shares of some funds were not sold on the first day available; please see the fund’s most recent shareholder report for the actual date of first sale.)

Figures shown are past results and are not predictive of results in future periods. Current and future results may be lower or higher than those shown here. For more current information and month-end results, click here. Share price and return will vary, so you may lose money. Investing for short periods makes losses more likely. Unless otherwise indicated, all results are calculated at net asset value. Returns at net asset value would have been lower if the contingent deferred sales charge had been deducted. Returns with CDSC reflect deduction of a contingent deferred sales charge (1%) on shares sold within the first year of purchase.

Average annual total returns through 6/30/24

Class C Shares

	Latest10 years	Latest5 years	Latest3 years	Latestyear
At net asset value	0.26%	-1.08%	-3.47%	0.68%
With CDSC	0.26%	-1.08%	-3.47%	-0.29%

Investment results reflect the deduction of applicable fees and expenses and the reinvestment of all distributions. When applicable, investment results reflect fee waivers and/or expense reimbursements, without which results would have been lower. Read details about how waivers and/or reimbursements affect the results for each fund.

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