Fund Evaluator:

American Funds Income Fd of Amer R-4 Overview

American Funds Income Fd of Amer R-4 (RIDEX) is an actively managed Allocation Global Moderate Allocation fund. Capital Group launched the fund in 2002.

The investment seeks to provide investors with current income while secondarily striving for capital growth. Normally the fund invests primarily in income-producing securities. These include equity securities, such as dividend-paying common stocks, and debt securities, such as interest-paying bonds. Generally at least 60% of the fund's assets will be invested in common stocks and other equity-type securities. The fund may also invest up to 30% of its assets in common stocks and other equity-type securities of issuers domiciled outside the United States, including issuers in developing countries.

About American Funds Income Fd of Amer R-4 (RIDEX)

There are 10 members of the management team with an average tenure of 12.26 years: David Daigle (2006), Pramod Atluri (2017), Shannon Ward (2017), Dimitrije Mitrinovic (2023), Justin Toner (2018), M Taylor Hinshaw (2024), John Queen (2020), Andrew Suzman (1999), Anirudh Samsi (2015), Hilda Applbaum (1997). Management tenure is more important for actively managed funds than passive index funds.

The fund has 2 primary benchmarks: S&P 500 (TR) (1970) index with a weighting of 100% and Bloomberg US Agg Bond TR USD index with a weighting of 100%. American Funds Income Fd of Amer R-4 has 3232 securities in its portfolio. The top 10 holdings constitute 20.9% 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 Funds Income Fd of Amer R-4 is part of the Allocation global asset class and is within the Allocation fund group. American Funds Income Fd of Amer R-4 has 27.8% of its portfolio invested in foreign issues. The overall assets allocated to domestic stock is 43.0%. There is 25.2% allocated to foreign stock, and 1.4% is allocated to preferred stocks. The bond allocation as a percentage of total assets is 24.3% (21.6% domestic bond, 2.7% foreign bond and 0.0% convertible bond). American Funds Income Fd of Amer R-4 has 5.9% of the portfolio in cash.

Assets Under Management

The fund has $509 million in total assets, which is below the $947 million average for the Global Moderate Allocation 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.

RIDEX 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 Funds Income Fd of Amer R-4 expense ratio is above average compared to funds in the Global Moderate Allocation category. American Funds Income Fd of Amer R-4 has an expense ratio of 0.61%, which is 42% 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 Funds Income Fd of Amer R-4 has a portfolio turnover rate of 65%, indicating that holds its assets around 0.0 years. By way of comparison, the average portfolio turnover is 64% for the Global Moderate Allocation category.

Recently, in the month of July 2026, American Funds Income Fd of Amer R-4 returned 2.2%, which earned it a grade of A, as the Global Moderate Allocation category had an average return of 0.3%. 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 Funds Income Fd of Amer R-4 has a trailing yield of 3.37%, which is above the 2.61% category average. The fund normally distributes its income quarterly and its capital gains annually.

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 Funds Income Fd of Amer R-4 Grades

Year to date, the fund has returned 8.3%, 0.2 percentage points better than the category, which translates into a grade of B. The fund has returned 15.7% over the past year (grade of B), 13.4% over the past three years (grade of B) and 8.4% per year over the past five years (grade of A) and 8.5% per year over the past 10 years (grade of A).

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