Fund Evaluator:

American High-Income Municipal Bond F-3 Overview

American High-Income Municipal Bond F-3 (HIMFX) is an actively managed Municipal Bond High Yield Muni fund. Capital Group launched the fund in 2017.

The investment seeks a high level of current income exempt from regular federal income tax. Under normal circumstances, the fund will invest at least 80% of its assets in, or derive at least 80% of its income from, securities that are exempt from regular federal income tax and may subject the investors to alternative minimum tax. It may invest, without limitation, in securities that may subject the investors to federal alternative minimum tax. The fund invests at least 50% of its portfolio in debt securities rated BBB+ or below or Baa1 or below, or unrated but determined by the fund's investment adviser to be of equivalent quality.

About American High-Income Municipal Bond F-3 (HIMFX)

There are 3 members of the management team with an average tenure of 8.17 years: Chad Rach (2011), Jerome Solomon (2017), Lee Chu (2025). Management tenure is more important for actively managed funds than passive index funds.

The fund has 1 primary benchmark: Bloomberg Municipal TR USD index with a weighting of 100%. American High-Income Municipal Bond F-3 has 4033 securities in its portfolio. The top 10 holdings constitute 4.6% of the fund’s assets. The fund meets the SEC requirement of being classified as a diversified fund. The fund is not considered to have an ESG focus with its investment selection and management.

American High-Income Municipal Bond F-3 is part of the Fixed Income global asset class and is within the Municipal Bond fund group. American High-Income Municipal Bond F-3 has 6.7% of its portfolio invested in foreign issues. The overall assets allocated to domestic stock is 0.1%. There is 0.0% allocated to foreign stock, and 0.0% is allocated to preferred stocks. The bond allocation as a percentage of total assets is 98.1% (91.4% domestic bond, 6.7% foreign bond and 0.0% convertible bond). American High-Income Municipal Bond F-3 has 1.8% of the portfolio in cash.

Assets Under Management

The fund has $5 billion in total assets, which is above the $803 million average for the High Yield Muni category. Normally, lower assets under management translates to higher average expense ratios, and greater total assets are desired. However, for some investment categories, such as small-cap investing, it may be difficult for the manager to fully employ the desired active strategy if assets grow too large or too quickly.

HIMFX Performance and Fees

The expense ratio measures how much of a fund’s assets are used for administrative expenses and operating expenses, including adviser fees and fees for the transfer agent and custodial services. The American High-Income Municipal Bond F-3 expense ratio is below average compared to funds in the High Yield Muni category. American High-Income Municipal Bond F-3 has an expense ratio of 0.32%, which is 67% lower than its category average, making the fund expense ratio grade a A. While it is difficult to predict returns, it is known that high annual expense ratios reduce your rate of return, and excessive fees are difficult to overcome. Active management normally comes with higher expense ratios than passive index management. Certain investment categories such as small company and foreign also normally have higher expense ratios. It is best to compare fund expense ratios against the category averages for meaningful assessments.

High portfolio turnover can translate to higher expenses and lower aftertax returns. American High-Income Municipal Bond F-3 has a portfolio turnover rate of 42%, indicating that holds its assets around 0.0 years. By way of comparison, the average portfolio turnover is 51% for the High Yield Muni category.

Recently, in the month of July 2026, American High-Income Municipal Bond F-3 returned -1.7%, which earned it a grade of B, as the High Yield Muni category had an average return of -1.8%. The letter grades of A, B, C, D and F are based upon relative rankings within the investment category. A grade of A, for example, would indicate that the return is in the highest 20% for that time period compared to all funds in that category.

American High-Income Municipal Bond F-3 has a trailing yield of 4.26%, which is below the 4.46% category average. The fund normally distributes its income monthly.

It’s natural to seek the best-performing investments, but you must consider the relationship between risk and return and the impact of costs and taxes on your realized returns.

American High-Income Municipal Bond F-3 Grades

Year to date, the fund has returned 1.7%, 0.1 percentage points better than the category, which translates into a grade of C. The fund has returned 7.4% over the past year (grade of C), 5.6% over the past three years (grade of A) and 1.7% per year over the past five years (grade of A) and 3.4% per year over the past 10 years (grade of A).

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