U.S. Government Securities FundŽ
Bond
Overview
U.S. Government Securities Fund may be appropriate for:
- Investors seeking a high level of current income
- Investments in bonds with minimal credit risk
- Investors who want to preserve capital
Objective
The fund's investment objective is to provide a high level of current income consistent with prudent investment risk 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: 10/17/85
- Expense ratio:* 1.40%
- Investment expenses paid annually:† $14.00 for a $1,000 balance
- Ticker symbol: UGSCX
*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, the fund will invest substantially all of its assets (at least 80%) in securities guaranteed or sponsored by the U.S. government and in cash and cash equivalents. The fund may invest up to 20% of assets in mortgage- and asset-based securities with the highest quality rating (Aaa/AAA) at the time of purchase (or unrated but determined by the fund’s investment adviser to be of equivalent quality). The portfolio may also include investments in securities issued by U.S. governmental agencies or instrumentalities that are not guaranteed by the U.S. government.
Where the fund was invested
(as of 6/30/24; percentage of net assets; holdings are subject to change)
*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 | 0.25% | -0.94% | -3.79% | 0.64% |
| With CDSC | 0.25% | -0.94% | -3.79% | -0.33% |
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.
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 results prior to the date of first sale are hypothetical based on Class A share results without a sales charge, adjusted for estimated additional annual expenses. Class C shares convert to Class A shares after 8 years. Prior to 6/30/2020, Class C shares converted to Class F-1 shares after 10 years. View dates of first sale and specific expense adjustment information for Class C shares. Please see the fund prospectus for more information about specific expenses.
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