American Funds 2065 Target Date Retirement Fund℠
American Funds 2065 Target Date Retirement Fund may be appropriate for investors seeking:
- A prudent way to save for retirement in a single fund
- An investment that adjusts over time to meet their changing needs
- A portfolio of American Funds designed for someone retiring around 2065
Depending on the proximity to its target date, the fund will seek to achieve the following objectives to varying degrees: growth, income and conservation of capital.
The fund is managed by Capital Research and Management Company, one of the nation’s oldest, largest and most respected investment management firms. Since 1931, Capital Research has invested with a long-term focus based on thorough research and attention to risk.
- Began operations: 3/27/20
- Net and gross expense ratios:* 0.80% / 0.84%
- Investment expenses paid annually: $8.00 for a $1,000 balance
- Ticker symbol: AAOTX
*The investment adviser is currently reimbursing a portion of the other expenses, without which net expense ratios would have been higher. This reimbursement will be in effect through at least January 1, 2021. The adviser may elect at its discretion to extend, modify or terminate the reimbursement at that time. The expense ratios are estimated as of each fund’s prospectus and include the weighted average expenses of the underlying funds. 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 net expense ratio.
(as of 5/31/20; percentage of net assets; holdings are subject to change)
- AMCAP Fund® 7.0%
- EuroPacific Growth Fund® 4.0%
- The Growth Fund of America® 7.0%
- The New Economy Fund® 4.0%
- New Perspective Fund® 7.0%
- New World Fund® 4.0%
- SMALLCAP World Fund® 7.0%
- American Mutual Fund® 8.0%
- Capital World Growth and Income Fund® 7.0%
- Fundamental Investors® 8.0%
- International Growth and Income FundSM 4.0%
- The Investment Company of America® 9.0%
- Washington Mutual Investors FundSM 9.0%
The bar graph below shows the fund’s annual results and illustrates the fund’s fluctuations over the past 10 years. (The percentages are shown at net asset value, updated annually as of 12/31.)
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. Investments are not FDIC-insured, nor are they deposits of or guaranteed by a bank or any other entity, so they may lose value.
Because the fund had not commenced investment operations as of December 31, 2019, information regarding investment results is not shown for that period.
Average annual total returns through 3/31/20
|Latest10 years||Latest5 years||Latest3 years||Latestyear|
|At net asset value||N/A||N/A||N/A||1.40%|
|At maximum offering price
(Class A shares, with 5.75% maximum sales charge)
Investment results assume all distributions are reinvested and reflect applicable fees and expenses.The investment adviser is currently reimbursing a portion of the other expenses, without which the results would have been lower. This reimbursement will be in effect through at least January 1, 2021. The adviser may elect at its discretion to extend, modify or terminate the reimbursement at that time. Read details about how waivers and/or reimbursements affect the results for each fund.
In applying any particular asset allocation model to your own individual situation, you should consider your other assets, income and investments. For example, in addition to your retirement plan investments, you should consider any investments (including those in an Individual Retirement Account) and savings accounts.
The fund is subject to the risks and returns of the underlying funds.
Investing outside the United States involves risks, such as currency fluctuations, periods of illiquidity and price volatility, as more fully described in the prospectus. These risks may be heightened in connection with investments in developing countries. Investing in smaller companies also involves additional risks, and small-company stocks can fluctuate in price more than larger company stocks.
Lower rated bonds are subject to greater fluctuations in value and risk of loss of income and principal than higher rated bonds. The return of principal for bond funds and for funds with significant underlying bond holdings is not guaranteed. Fund shares are subject to the same interest rate, inflation and credit risks associated with the underlying bond holdings.
Investments in mortgage-related securities involve additional risks, such as prepayment risk, as more fully described in the prospectus. Higher yielding, higher risk bonds can fluctuate in price more than investment-grade bonds, so investors should maintain a long-term perspective. While not directly correlated to changes in interest rates, the values of inflation-linked bonds generally fluctuate in response to changes in real interest rates and may experience greater losses than other debt securities with similar durations.
Fund shares of U.S. Government Securities Fund are not guaranteed by the U.S. government.
Although the fund is managed for investors on a projected retirement date time frame, the fund’s allocation strategy does not guarantee that their retirement goals will be met. American Funds investment professionals actively manage the fund’s portfolio, moving it from a more growth-oriented strategy to a more income-oriented focus as the fund gets closer to its target date.
The target date is the year that corresponds roughly to the year in which an investor is assumed to retire and begin taking withdrawals. Investment professionals continue to manage each fund for approximately 30 years after it reaches its target date.
Underlying funds and their allocation percentages are subject to the oversight committee’s discretion and will evolve over time. Underlying funds may be added or removed during the year.
The funds’ investment adviser anticipates that the funds will invest their assets within a range that deviates no more than 10% above or below these allocations. Changes in the equity allocation within the underlying equity-income and balanced funds may affect the overall equity exposure in the target date funds.
Fund results and expense ratio information listed above apply to Class A shares only. The results and expense ratio information for the investments in your plan may differ.
SIMPLE IRA and SEP plans only:
There is no sales charge on Class A shares for plans with over $1 million invested in American Funds.
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 the investment objectives, risks, charges and expenses of the American Funds. This and other important information is contained in each fund’s summary prospectus and prospectus, which can be obtained from your financial professional or downloaded and should be read carefully before investing. You can find a link to the prospectus at the top of the page.
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.
All Capital Group trademarks mentioned are owned by The Capital Group Companies, Inc., an affiliated company or fund. All other company and product names mentioned are the property of their respective companies.
American Funds Distributors, Inc., member FINRA.
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