American Funds U.S. Government Money Market Fund (AFAXX) N-CSRS Certified semi-annual shareholder report (management investment company)

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM N-CSR

Certified Shareholder Report of

Registered Management Investment Companies

Investment Company Act File Number: 811-22277

American Funds U.S. Government Money Market Fund

(Exact Name of Registrant as Specified in Charter)

333 South Hope Street

Los Angeles, California 90071

(Address of Principal Executive Offices)

Registrant's telephone number, including area code: (213) 486-9200

Date of fiscal year end: September 30

Date of reporting period: March 31, 2018

Steven I. Koszalka

American Funds U.S. Government Money Market Fund

333 South Hope Street

Los Angeles, California 90071

(Name and Address of Agent for Service)

ITEM 1 – Reports to Stockholders

American Funds
U.S. Government
Money Market Fund^SM   Semi-annual report
for the six months ended
March 31, 2018

Earning income
while preserving
capital and
maintaining liquidity

American Funds U.S. Government Money Market Fund seeks to provide you with a way to earn income on your cash reserves while preserving capital and maintaining liquidity. The fund is a government money market fund that seeks to preserve the value of your investment at $1.00 per share.

This fund is one of more than 40 offered by one of the nation’s largest mutual fund families, American Funds, from Capital Group. For more than 85 years, Capital has invested with a long-term focus based on thorough research and attention to risk.

Figures shown in this report are past results for Class A shares and are not predictive of results in future periods. Current and future results may be lower or higher than those shown. Investment returns will vary.

You could lose money by investing in the fund. Although the fund seeks to preserve the value of your investment at $1.00 per share, it cannot guarantee it will do so. An investment in the fund is not a bank deposit and is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other governmental agency, entity or person. The fund’s sponsor has no legal obligation to provide financial support to the fund, and you should not expect that the sponsor will do so at any time.

Here are the average annual total returns on a $1,000 investment with all distributions reinvested for periods ended March 31, 2018:

			Lifetime
	1 year	5 years	(since 5/1/09)
Class A shares	0.71%	0.15%	0.09%

For other share class results, visit americanfunds.com and americanfundsretirement.com.

The fund’s gross expense ratio is 0.38% for Class A shares as of the prospectus dated December 1, 2017.

Investment results assume all distributions are reinvested and reflect applicable fees and expenses. When applicable, investment results reflect fee waivers and/or expense reimbursements, without which results would have been lower. Please see americanfunds.com for more information. The investment adviser is currently reimbursing a portion of fees and expenses of the fund. Investment results reflect the reimbursements, without which the results would have been lower. This reimbursement will be in effect through at least December 1, 2018. The adviser may elect at its discretion to extend, modify or terminate the reimbursement at that time. Please see the Financial Highlights table in the fund’s most recent prospectus for details.

The value of fixed income securities may be affected by changing interest rates and changes in credit ratings of the securities. Refer to the fund prospectus and the Risk Factors section of this report for more information on these and other risks associated with investing in the fund.

Investments are not FDIC-insured, nor are they deposits of or guaranteed by a bank or any other entity, so they may lose value.

Fellow investors:

For the six months ended March 31, 2018, American Funds U.S. Government Money Market Fund returned 0.44% and maintained a net asset value (NAV) of $1.00 per share. The fund’s benchmark, the three-month U.S. Treasury bill, generated a return of 0.72%, and its peer index, the Lipper U.S. Government Money Market Funds Average,* generated a return of 0.32%.

The fund’s annualized seven-day yield, as calculated in accordance with the U.S. Securities and Exchange Commission formula, was 1.15% as of that date.

Historically speaking, money market yields continue to be low, particularly for government money market funds. However, several interest rate increases over the past six months have enabled the fund to make six regular income distributions across the majority of its share classes during the first half of its fiscal year.

The economy and markets

The economic picture over the past six months is a tale of two quite different quarters.

In the fourth quarter of 2017, U.S. stocks advanced at the strongest rate in two years as business-friendly tax reforms were enacted and corporate earnings improved. Large-cap stocks experienced most of the gains, outpacing small-cap returns by more than 300 basis points. U.S. economic data were generally positive as third-quarter gross domestic product (GDP) growth was revised higher and the labor

Your fund’s annualized seven-day SEC yield as of March 31, 2018^†

American Funds U.S. Government Money Market Fund (Class A shares) 1.15%

*

Source: Thomson Reuters Lipper. Lipper averages reflect the current composition of all eligible mutual funds (all share classes) within a given category. Lipper categories are dynamic and averages may have few funds, especially over longer periods. To see the number of funds included in the Lipper category for each fund’s lifetime, please see the Quarterly Statistical Update available on our website.

†

The annualized seven-day SEC yield more accurately reflects the fund’s current earnings than its 30-day yield or total return.

American Funds U.S. Government Money Market Fund 1

market continued to improve. Moreover, strong consumer demand and solid earnings helped drive information technology shares higher.

Contrast the fourth quarter’s returns with those of the first quarter of 2018, in which U.S. stocks declined modestly on expectations of higher interest rates and inflation, as well as concerns over the impact of new trade tariffs. Returns on shares of growth-oriented companies outpaced those of more value-oriented stocks. Underwhelming quarterly earnings and worries surrounding the influence of e-commerce helped drive consumer staples stocks lower, and new regulatory actions led to a decline in shares of financial companies. In contrast, healthy demand and optimism regarding long-term growth prospects pushed information technology stocks higher.

Interest rates. In March 2018, the U.S. Federal Reserve raised interest rates for the sixth time since the policymaking Federal Open Market Committee (FOMC) began raising rates off near-zero in December 2015. Led by Jerome Powell in his first meeting as chair, the Fed approved a widely expected increase of 25 basis points that puts the new benchmark federal funds rate at a target of 1.50-1.75%. Since the start of 2017, yields on three-month U.S. government bills and notes have risen from about 0.5% to roughly 1.7% at the end of March.

An interesting aspect of the March 2018 FOMC meeting was the change to the Fed’s forecasts. Relative to the December 2017 meeting, the median path of interest rate forecasts now incorporates two additional interest rate hikes between early 2018 and 2020, above and beyond those that were already suggested by the Fed and expected by the market. This would leave the policy rate at a projected 3.4% by the end of 2020, which is well above the Fed’s 2.9% median estimate of the longer run rate. FOMC participants are now split on whether they will raise rates three or four times in 2018.

This faster pace of rate hikes likely reflects a brighter near-term outlook for U.S. growth. Over the past few months, several FOMC participants have pointed out that economic headwinds restraining growth in prior years have now turned to tailwinds.

Since the December 2017 FOMC forecast update, Congress passed a sweeping reform of the tax code and adopted a two-year government spending deal, which

2 American Funds U.S. Government Money Market Fund

together should raise U.S. real GDP growth in 2018 and 2019. Such expansionary fiscal policies have taken place against the backdrop of diminished U.S. labor market slack, a synchronized recovery in global growth activity and easier financial conditions, which have resulted in stronger U.S. exports and business investment growth.

GDP. At the March meeting, the Fed raised its forecast for 2018 GDP growth to 2.7% from 2.5% in December 2017, and increased the 2019 GDP growth forecast from 2.1% to 2.4%.

Growth is likely to moderate going forward, with the 2020 forecast holding at 2.0% and the longer run estimate at 1.8%. A more prolonged period of above-trend growth over the next few years is poised to further tighten labor markets and support inflation, perhaps slightly higher than originally predicted, based on current forecasts by several FOMC officials. Such an outcome would support an even faster pace of interest rate hikes in the coming years.

Mounting budget deficits are also likely to be an important force for the U.S. Treasury market in 2018 and into 2019. The combination of tax reform and increased federal spending is widely expected to result in increased Treasury issuance over the next few years. The impact of such supply is now evident in the shape of the yield curve. The U.S. is increasing the size of shorter maturity note auctions at a faster pace than sales of longer dated obligations, helping drive the spread between two- and 10-year Treasuries toward the narrowest levels in more than a decade as of late March.

The fund��s portfolio

The fund continued to meet its objectives of offering liquidity and stability — important goals for many investors’ portfolios. The continuing incremental rise in short-term rates has also made it possible to once again provide investors with income distributions across many of its share classes.

As of March 31, 100% of the fund’s net assets were in qualifying U.S. government securities, such as those issued or sponsored by the federal government, its agencies or instrumentalities.

American Funds U.S. Government Money Market Fund 3

Federal agency discount notes comprised 57.52% of the portfolio. U.S. Treasury bills were the next largest allocation at 27.36%, followed by repurchase agreements backed by eligible government securities at 10.79%, and U.S. Treasury bonds & notes at 4.95%. At the end of the reporting period, the fund’s weighted average maturity was 38 days.

Thank you for making American Funds U.S. Government Money Market Fund part of your investment portfolio. We look forward to reporting to you again in six months.

Cordially,

 

Kristine M. Nishiyama
President

May 16, 2018

For current information about the fund, visit americanfunds.com.

The fund’s annualized seven-day yield for Class A shares as of April 30, 2018, calculated in accordance with the U.S. Securities and Exchange Commission (SEC) formula, was 1.40% (1.40% without the reimbursement). The annualized seven-day SEC yield more accurately reflects the fund’s current earnings than does the fund’s return.

4 American Funds U.S. Government Money Market Fund

Investment portfolio March 31, 2018 unaudited

	Percent of net assets
Short-term securities:
Federal agency discount notes		57.52	%
U.S. Treasury bills		27.36
Repurchase agreements		10.79
Bonds, notes & other debt instruments:
U.S. Treasury bonds & notes		4.95
Other assets less liabilities		(.62	)
		100.00	%

Short-term securities 95.67%	Yield at acquisition			Principal amount (000)		Value (000)
Federal agency discount notes 57.52%
Fannie Mae 4/11/2018		1.38	%	$	50,000	$	49,980
Fannie Mae 4/16/2018		1.39			225,000		224,856
Fannie Mae 4/18/2018		1.39			175,000		174,870
Fannie Mae 4/23/2018		1.40			150,000		149,854
Fannie Mae 4/24/2018		1.40			100,000		99,899
Fannie Mae 5/7/2018		1.41			150,000		149,758
Fannie Mae 6/6/2018		1.63			15,000		14,954
Fannie Mae 6/11/2018		1.63			200,000		199,332
Fannie Mae 6/13/2018		1.63			150,000		149,484
Fannie Mae 6/18/2018		1.67			180,000		179,332
Fannie Mae 6/25/2018		1.69			210,000		209,149
Fannie Mae 7/2/2018		1.76			100,000		99,562
Fannie Mae 7/3/2018		1.74			50,000		49,779
Fannie Mae 7/6/2018		1.74			50,000		49,771
Federal Farm Credit Banks 4/3/2018		1.24			28,000		27,999
Federal Farm Credit Banks 4/5/2018		1.35			150,000		149,979
Federal Farm Credit Banks 4/9/2018		1.51			25,000		24,992
Federal Farm Credit Banks 4/27/2018		1.58			40,000		39,953
Federal Farm Credit Banks 4/30/2018		1.42			20,000		19,974
Federal Farm Credit Banks 5/1/2018		1.59			50,000		49,932
Federal Farm Credit Banks 5/7/2018		1.42			25,000		24,959
Federal Farm Credit Banks 5/16/2018		1.45			30,000		29,937
Federal Farm Credit Banks 5/18/2018		1.62			50,000		49,890
Federal Farm Credit Banks 5/21/2018		1.72			25,000		24,941
Federal Farm Credit Banks 6/4/2018		1.63			25,000		24,924
Federal Farm Credit Banks 6/5/2018		1.65			20,000		19,938
Federal Farm Credit Banks 6/12/2018		1.59			40,000		39,861
Federal Farm Credit Banks 6/13/2018		1.65			70,000		69,753
Federal Farm Credit Banks 6/18/2018		1.77			50,000		49,810
Federal Farm Credit Banks 7/5/2018		1.74			20,000		19,907
Federal Home Loan Bank 4/2/2018		1.31			250,000		249,955
Federal Home Loan Bank 4/3/2018		1.39			255,000		254,987
Federal Home Loan Bank 4/4/2018		1.36			100,000		99,991
Federal Home Loan Bank 4/5/2018		1.41			150,000		149,979
Federal Home Loan Bank 4/6/2018		1.44			270,200		270,151

American Funds U.S. Government Money Market Fund 5

Short-term securities (continued)	Yield at acquisition			Principal amount (000)		Value (000)
Federal agency discount notes (continued)
Federal Home Loan Bank 4/9/2018		1.41	%	$	230,000	$	229,926
Federal Home Loan Bank 4/10/2018		1.47			275,000		274,898
Federal Home Loan Bank 4/11/2018		1.40			100,000		99,959
Federal Home Loan Bank 4/13/2018		1.49			275,600		275,462
Federal Home Loan Bank 4/16/2018		1.43			400,000		399,744
Federal Home Loan Bank 4/17/2018		1.57			174,400		174,280
Federal Home Loan Bank 4/18/2018		1.51			80,000		79,941
Federal Home Loan Bank 4/20/2018		1.55			316,000		315,738
Federal Home Loan Bank 4/23/2018		1.72			90,000		89,913
Federal Home Loan Bank 4/25/2018		1.57			230,000		229,756
Federal Home Loan Bank 4/26/2018		1.56			100,000		99,890
Federal Home Loan Bank 4/27/2018		1.49			390,000		389,551
Federal Home Loan Bank 4/30/2018		1.42			50,000		49,935
Federal Home Loan Bank 5/2/2018		1.49			275,050		274,665
Federal Home Loan Bank 5/4/2018		1.61			200,000		199,706
Federal Home Loan Bank 5/7/2018		1.54			225,000		224,633
Federal Home Loan Bank 5/8/2018		1.67			225,000		224,620
Federal Home Loan Bank 5/9/2018		1.49			75,000		74,869
Federal Home Loan Bank 5/11/2018		1.54			223,300		222,896
Federal Home Loan Bank 5/16/2018		1.63			330,000		329,317
Federal Home Loan Bank 5/17/2018		1.66			200,000		199,582
Federal Home Loan Bank 5/18/2018		1.70			20,300		20,256
Federal Home Loan Bank 5/22/2018		1.72			50,000		49,881
Federal Home Loan Bank 5/25/2018		1.58			100,000		99,752
Federal Home Loan Bank 5/29/2018		1.70			150,000		149,590
Federal Home Loan Bank 6/1/2018		1.70			25,000		24,929
Federal Home Loan Bank 6/4/2018		1.65			100,000		99,698
Federal Home Loan Bank 6/15/2018		1.75			150,000		149,470
Federal Home Loan Bank 6/18/2018		1.72			140,000		139,474
Federal Home Loan Bank 6/27/2018		1.74			95,000		94,601
Federal Home Loan Bank 7/2/2018		1.73			50,000		49,781
Federal Home Loan Bank 7/19/2018		1.87			50,000		49,729
Federal Home Loan Bank 7/26/2018		1.79			25,000		24,856
Federal Home Loan Bank 7/30/2018		1.79			50,000		49,698
Freddie Mac 4/11/2018		1.31			270,400		270,289
Freddie Mac 4/12/2018		1.33			17,600		17,592
Freddie Mac 4/17/2018		1.34			100,000		99,931
Freddie Mac 4/24/2018		1.43			150,000		149,848
Freddie Mac 5/7/2018		1.47			100,000		99,839
							9,590,887
U.S. Treasury bills 27.36%
U.S. Treasury Bills 4/5/2018		1.44			150,000		149,954
U.S. Treasury Bills 4/12/2018		1.43			500,000		499,770
U.S. Treasury Bills 4/19/2018		1.39			546,500		546,079
U.S. Treasury Bills 4/26/2018		1.55			125,000		124,868
U.S. Treasury Bills 5/3/2018		1.41			450,000		449,361
U.S. Treasury Bills 5/10/2018		1.42			225,000		224,613
U.S. Treasury Bills 5/24/2018		1.54			495,000		493,827
U.S. Treasury Bills 6/7/2018		1.45			375,000		373,867
U.S. Treasury Bills 6/14/2018		1.69			50,000		49,833
U.S. Treasury Bills 6/21/2018		1.52			600,000		597,774

6 American Funds U.S. Government Money Market Fund

	Yield at acquisition			Principal amount (000)		Value (000)
U.S. Treasury Bills 6/28/2018		1.50	%	$	175,000	$	174,270
U.S. Treasury Bills 7/5/2018		1.56			365,000		363,368
U.S. Treasury Bills 7/19/2018		1.59			117,000		116,361
U.S. Treasury Bills 7/26/2018		1.81			150,000		149,154
U.S. Treasury Bills 8/9/2018		1.66			120,400		119,615
U.S. Treasury Bills 8/16/2018		1.83			130,500		129,593
							4,562,307
Repurchase agreements 10.79%
Overnight repurchase agreements*					1,800,000		1,800,000
Total short-term securities (cost: $15,954,275,000)							15,953,194
Bonds, notes & other debt instruments 4.95%
U.S. Treasury bonds & notes 4.95%
U.S. Treasury 4.95%
U.S. Treasury (3-month U.S. Treasury Bill Yield + 0.17%) 1.938% 20181					100,000		100,140
U.S. Treasury (3-month U.S. Treasury Bill Yield + 0.19%) 1.958% 20181					200,000		200,042
U.S. Treasury (3-month U.S. Treasury Bill Yield + 0.06%) 1.828% 20191					250,000		250,265
U.S. Treasury (3-month U.S. Treasury Bill Yield + 0.14%) 1.908% 20191					225,000		225,376
U.S. Treasury (3-month U.S. Treasury Bill Yield + 0.00%) 1.768% 20201					50,000		49,965
Total bonds, notes & other debt instruments (cost: $824,986,000)							825,788
Total investment securities 100.62% (cost: $16,779,261,000)							16,778,982
Other assets less liabilities (.62)%							(103,450	)
Net assets 100.00%						$	16,675,532

American Funds U.S. Government Money Market Fund 7

*Repurchase agreements

The fund held overnight repurchase agreements as of March 31, 2018. Additional details on repurchase agreements appear in the following table.

Counterparty	Lending rate			Settlement date	Maturity date	Collateralized by	Collateral received, at value (000)		Repurchase agreement, at value (000)		Repurchase agreement proceeds to be received (000)
Bank of Montreal		1.76	%	3/29/2018	4/2/2018	U.S. Treasury Securities 0%-3.875% 2018-2027	$	102,000	$	100,000	$	100,020
BNP Paribas		1.78		3/29/2018	4/2/2018	U.S. Treasury Securities 0%-8.75% 2018-2023		357,000		350,000		350,070
JP Morgan		1.80		3/29/2018	4/2/2018	U.S. Treasury Securities 0.125%-2.75% 2020-2025		255,000		250,000		250,050
Merrill Lynch		1.79		3/29/2018	4/2/2018	U.S. Treasury Securities 1.125%-2.00% 2018-2026		357,000		350,000		350,070
Société Générale		1.76		3/29/2018	4/2/2018	U.S. Treasury Securities 0.125%-7.625% 2022-2028		102,000		100,000		100,020
Toronto Dominion		1.80		3/29/2018	4/2/2018	U.S. Treasury Securities 0%-4.00% 2018-2028		408,000		400,000		400,080
Wells Fargo		1.80		3/29/2018	4/2/2018	U.S. Treasury Securities 1.125%-2.125% 2020-2024		255,000		250,000		250,050
							$	1,836,000	$	1,800,000	$	1,800,360

¹ Coupon rate may change periodically.

See Notes to Financial Statements

8 American Funds U.S. Government Money Market Fund

Financial statements

Statement of assets and liabilities at March 31, 2018	unaudited (dollars in thousands)
Assets:
Investment securities in unaffiliated issuers, at value (cost: $16,779,261)			$	16,778,982
Cash				15,222
Receivables for:
Sales of fund’s shares	$	85,259
Interest		2,681		87,940
				16,882,144
Liabilities:
Payables for:
Purchases of investments		99,750
Repurchases of fund’s shares		99,283
Dividends on fund’s shares		126
Investment advisory services		3,844
Services provided by related parties		3,051
Trustees’ deferred compensation		289
Other		269		206,612
Net assets at March 31, 2018			$	16,675,532
Net assets consist of:
Capital paid in on shares of beneficial interest			$	16,675,918
Undistributed net investment income				372
Accumulated net realized loss				(479	)
Net unrealized depreciation				(279	)
Net assets at March 31, 2018			$	16,675,532

(dollars and shares in thousands, except per-share amounts)

Shares of beneficial interest issued and outstanding (no stated par value) —
unlimited shares authorized (16,675,658 total shares outstanding)

			Shares		Net asset value
	Net assets		outstanding		per share
Class A	$	11,260,934		11,261,022	$	1.00
Class C		171,046		171,047		1.00
Class T		10		10		1.00
Class F-1		214,401		214,402		1.00
Class F-2		54,946		54,947		1.00
Class F-3		2,496		2,495		1.00
Class 529-A		1,368,477		1,368,488		1.00
Class 529-C		153,445		153,446		1.00
Class 529-E		69,949		69,949		1.00
Class 529-T		10		10		1.00
Class 529-F-1		101,046		101,046		1.00
Class R-1		33,345		33,345		1.00
Class R-2		789,085		789,090		1.00
Class R-2E		26,448		26,448		1.00
Class R-3		837,825		837,832		1.00
Class R-4		736,816		736,822		1.00
Class R-5E		6,525		6,524		1.00
Class R-5		198,507		198,509		1.00
Class R-6		650,221		650,226		1.00

See Notes to Financial Statements

American Funds U.S. Government Money Market Fund 9

Statement of operations
for the six months ended March 31, 2018 unaudited
(dollars in thousands)

Investment income:
Income:
Interest			$	106,156
Fees and expenses*:
Investment advisory services	$	22,609
Distribution services		6,400
Transfer agent services		8,567
Administrative services		1,913
Reports to shareholders		231
Registration statement and prospectus		364
Trustees’ compensation		76
Auditing and legal		16
Custodian		20
Other		674
Total fees and expenses before reimbursement		40,870
Less miscellaneous fee reimbursement		779
Total fees and expenses after reimbursement				40,091
Net investment income				66,065
Net realized loss and unrealized depreciation:
Net realized loss on investments				(12	)
Net unrealized depreciation on investments				(2,308	)
Net realized loss and unrealized depreciation				(2,320	)
Net increase in net assets resulting from operations			$	63,745

* Additional information related to class-specific fees and expenses is included in the Notes to Financial Statements.

See Notes to Financial Statements

10 American Funds U.S. Government Money Market Fund

Statements of changes in net assets

	(dollars in thousands)
	Six months ended			Year ended
	March 31,			September 30,
	2018*			2017
Operations:
Net investment income	$	66,065		$	47,034
Net realized loss		(12	)		(327	)
Net unrealized depreciation		(2,308	)		(1,234	)
Net increase in net assets resulting from operations		63,745			45,473
Dividends paid or accrued to shareholders from net investment income		(66,018	)		(48,189	)
Net capital share transactions		(133,571	)		(1,083,247	)
Total decrease in net assets		(135,844	)		(1,085,963	)
Net assets:
Beginning of period		16,811,376			17,897,339
End of period (including undistributed net investment income: $372 and $325, respectively)	$	16,675,532		$	16,811,376

* Unaudited.

See Notes to Financial Statements

American Funds U.S. Government Money Market Fund 11

Notes to financial statements unaudited

1. Organization

American Funds U.S. Government Money Market Fund (the “fund”) is registered under the Investment Company Act of 1940 as an open-end, diversified management investment company. The fund seeks to provide income on cash reserves while preserving capital and maintaining liquidity.

The fund has 19 share classes consisting of six retail share classes (Classes A, C, T, F-1, F-2 and F-3), five 529 college savings plan share classes (Classes 529-A, 529-C, 529-E, 529-T and 529-F-1) and eight retirement plan share classes (Classes R-1, R-2, R-2E, R-3, R-4, R-5E, R-5 and R-6). The 529 college savings plan share classes can be used to save for college education. The retirement plan share classes are generally offered only through eligible employer-sponsored retirement plans. The fund’s share classes are described further in the following table:

Share class	Initial sales charge	Contingent deferred sales charge upon redemption	Conversion feature
Classes A and 529-A	None	None	None
Class C*	None	1% for redemptions within one year of purchase	Class C converts to Class F-1 after 10 years
Class 529-C*	None	1% for redemptions within one year of purchase	Class 529-C converts to Class 529-A after 10 years†
Class 529-E	None	None	None
Classes T and 529-T*	None	None	None
Classes F-1, F-2, F-3 and 529-F-1	None	None	None
Classes R-1, R-2, R-2E, R-3, R-4, R-5E, R-5 and R-6	None	None	None

*	Class C, T, 529-C and 529-T shares are not available for purchase.
†	Effective December 1, 2017.

Holders of all share classes have equal pro rata rights to the assets, dividends and liquidation proceeds of the fund. Each share class has identical voting rights, except for the exclusive right to vote on matters affecting only its class. Share classes have different fees and expenses (“class-specific fees and expenses”), primarily due to different arrangements for distribution, transfer agent and administrative services. Differences in class-specific fees and expenses will result in differences in net investment income and, therefore, the payment of different per-share dividends by each share class.

2. Significant accounting policies

The fund is an investment company that applies the accounting and reporting guidance issued in Topic 946 by the U.S. Financial Accounting Standards Board. The fund’s financial statements have been prepared to comply with U.S. generally accepted accounting principles (“U.S. GAAP”). These principles require the fund’s investment adviser to make

12 American Funds U.S. Government Money Market Fund

estimates and assumptions that affect reported amounts and disclosures. Actual results could differ from those estimates. Subsequent events, if any, have been evaluated through the date of issuance in the preparation of the financial statements. The fund follows the significant accounting policies described in this section, as well as the valuation policies described in the next section on valuation.

Security transactions and related investment income — Security transactions are recorded by the fund as of the date the trades are executed with brokers. Realized gains and losses from security transactions are determined based on the specific identified cost of the securities. In the event a security is purchased with a delayed payment date, the fund will segregate liquid assets sufficient to meet its payment obligations. Interest income is recognized on an accrual basis. Market discounts, premiums and original issue discounts on fixed-income securities are amortized daily over the expected life of the security.

Class allocations — Income, fees and expenses (other than class-specific fees and expenses) are allocated daily among the various share classes based on the relative value of their settled shares. Realized and unrealized gains and losses are allocated daily among the various share classes based on their relative net assets. Class-specific fees and expenses, such as distribution, transfer agent and administrative services, are charged directly to the respective share class.

Dividends to shareholders — Dividends to shareholders are declared daily after the determination of the fund’s net investment income and are paid to shareholders monthly.

3. Valuation

Capital Research and Management Company (“CRMC”), the fund’s investment adviser, values the fund’s investments at fair value as defined by U.S. GAAP. The net asset value of each share class of the fund is generally determined as of approximately 4:00 p.m. New York time each day the New York Stock Exchange is open and when deemed prudent to do so by the fund’s officers on days when the New York Stock Exchange is closed. Shares of the fund are valued in accordance with U.S. Securities and Exchange Commission rules, using the penny-rounding method, which permits the fund to maintain each share class at a constant net asset value of $1.00 per share.

Methods and inputs — The fund’s investment adviser uses the following methods and inputs to establish the fair value of the fund’s assets and liabilities. Use of particular methods and inputs may vary over time based on availability and relevance as market and economic conditions evolve.

Fixed-income securities, including short-term securities, are generally valued at prices obtained from one or more pricing vendors. Repurchase agreements and daily variable rate notes are generally valued at par. When the fund’s investment adviser deems it appropriate to do so (such as when vendor prices are unavailable or not deemed to be

American Funds U.S. Government Money Market Fund 13

representative), fixed-income securities will be valued in good faith at the mean quoted bid and ask prices that are reasonably and timely available (or bid prices, if ask prices are not available) or at prices for securities of comparable maturity, quality and type.

Securities and other assets for which representative market quotations are not readily available or are considered unreliable by the fund’s investment adviser are fair valued as determined in good faith under fair valuation guidelines adopted by authority of the fund’s board of trustees as further described. The investment adviser follows fair valuation guidelines, consistent with SEC rules and guidance, to consider relevant principles and factors when making fair value determinations. The investment adviser considers relevant indications of value that are reasonably and timely available to it in determining the fair value to be assigned to a particular security, such as the type and cost of the security; contractual or legal restrictions on resale of the security; relevant financial or business developments of the issuer; actively traded similar or related securities; conversion or exchange rights on the security; related corporate actions; significant events occurring after the close of trading in the security; and changes in overall market conditions. In addition, the closing prices of equity securities that trade in markets outside U.S. time zones may be adjusted to reflect significant events that occur after the close of local trading but before the net asset value of each share class of the fund is determined. Fair valuations and valuations of investments that are not actively trading involve judgment and may differ materially from valuations that would have been used had greater market activity occurred.

Processes and structure — The fund’s board of trustees has delegated authority to the fund’s investment adviser to make fair value determinations, subject to board oversight. The investment adviser has established a Joint Fair Valuation Committee (the “Fair Valuation Committee”) to administer, implement and oversee the fair valuation process, and to make fair value decisions. The Fair Valuation Committee regularly reviews its own fair value decisions, as well as decisions made under its standing instructions to the investment adviser’s valuation teams. The Fair Valuation Committee reviews changes in fair value measurements from period to period and may, as deemed appropriate, update the fair valuation guidelines to better reflect the results of back testing and address new or evolving issues. The Fair Valuation Committee reports any changes to the fair valuation guidelines to the board of trustees with supplemental information to support the changes. The fund’s board and audit committee also regularly review reports that describe fair value determinations and methods.

The fund’s investment adviser has also established a Fixed-Income Pricing Review Group to administer and oversee the fixed-income valuation process, including the use of fixed-income pricing vendors. This group regularly reviews pricing vendor information and market data. Pricing decisions, processes and controls over security valuation are also subject to additional internal reviews, including an annual control self-evaluation program facilitated by the investment adviser’s compliance group.

14 American Funds U.S. Government Money Market Fund

Classifications — The fund’s investment adviser classifies the fund’s assets and liabilities into three levels based on the inputs used to value the assets or liabilities. Level 1 values are based on quoted prices in active markets for identical securities. Level 2 values are based on significant observable market inputs, such as quoted prices for similar securities and quoted prices in inactive markets. Certain securities trading outside the U.S. may transfer between Level 1 and Level 2 due to valuation adjustments resulting from significant market movements following the close of local trading. Level 3 values are based on significant unobservable inputs that reflect the investment adviser’s determination of assumptions that market participants might reasonably use in valuing the securities. The valuation levels are not necessarily an indication of the risk or liquidity associated with the underlying investment. For example, U.S. government securities are reflected as Level 2 because the inputs used to determine fair value may not always be quoted prices in an active market. At March 31, 2018, all of the fund’s investment securities were classified as Level 2.

4. Risk factors

Investing in the fund may involve certain risks including, but not limited to, those described below.

Market conditions — The prices of, and the income generated by, the securities held by the fund may decline — sometimes rapidly or unpredictably — due to various factors, including events or conditions affecting the general economy or particular industries; overall market changes; local, regional or global political, social or economic instability; governmental or governmental agency responses to economic conditions; and currency exchange rate, interest rate and commodity price fluctuations.

Investing in securities backed by the U.S. government — Securities backed by the U.S. Treasury or the full faith and credit of the U.S. government are guaranteed only as to the timely payment of interest and principal when held to maturity. Accordingly, the current market values for these securities will fluctuate with changes in interest rates. Securities issued by government-sponsored entities and federal agencies and instrumentalities that are not backed by the full faith and credit of the U.S. government are neither issued nor guaranteed by the U.S. government.

Interest rate risk — The values and liquidity of the securities held by the fund may be affected by changing interest rates. For example, the values of these securities may decline when interest rates rise and increase when interest rates fall. Longer maturity debt securities generally have greater sensitivity to changes in interest rates and may be subject to greater price fluctuations than shorter maturity debt securities. The fund may invest in variable and floating rate securities. Although the values of such securities are generally less sensitive to interest rate changes than those of other debt securities, the value of variable and floating rate securities may decline if their interest rates do not rise as quickly, or as much, as general interest rates. Conversely, floating rate securities will not generally increase in value if interest rates decline. During periods of extremely low

American Funds U.S. Government Money Market Fund 15

short-term interest rates, the fund may not be able to maintain a positive yield and, given the current historically low interest rate environment, risks associated with rising rates are currently heightened.

Repurchase agreements — The fund may enter into repurchase agreements, or “repos”, under which the fund buys a security and obtains a simultaneous commitment from the seller to repurchase the security at a specified time and price. Because the security purchased constitutes collateral for the repurchase obligation, a repo may be considered a loan by the fund that is collateralized by the security purchased. Repos permit the fund to maintain liquidity and earn income over periods of time as short as overnight.

The seller must maintain with a custodian collateral equal to at least the repurchase price, including accrued interest. In tri-party repos, a third party custodian, called a clearing bank, facilitates repo clearing and settlement, including by providing collateral management services. The Bank of New York Mellon is currently the only clearing bank in the U.S. tri-party repo market. That being the case, there is a risk that these services could not be easily replaced if The Bank of New York Mellon were to exit the business or had to suspend services. However, as an alternative to tri-party repos, the fund could enter into bilateral repos, where the parties themselves are responsible for settling transactions.

The fund will only enter into repos involving securities of the type in which it could otherwise invest. If the seller under the repo defaults, the fund may incur a loss if the value of the collateral securing the repo has declined and may incur disposition costs and delays in connection with liquidating the collateral. If bankruptcy proceedings are commenced with respect to the seller, realization of the collateral by the fund may be delayed or limited.

Management — The investment adviser to the fund actively manages the fund’s investments. Consequently, the fund is subject to the risk that the methods and analyses employed by the investment adviser in this process may not produce the desired results.

Investing in money market funds — Investors may lose money by investing in the fund. Although the fund seeks to preserve the value at $1.00 per share, the fund cannot guarantee it will do so. An investment in the fund is not a bank deposit and is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other governmental agency, entity or person. The fund’s investment adviser has no legal obligation to provide financial support to the fund and should not be expected to do so at any time.

5. Certain investment techniques

Repurchase agreements — The fund has entered into repurchase agreements, under which the fund purchases a security from a bank or broker-dealer and obtains a simultaneous commitment from the seller to repurchase the security at a specified time and price. Because the security purchased by the fund constitutes collateral for the seller’s repurchase obligation, a repurchase agreement is effectively a loan by the fund that is collateralized by the security purchased. The fund will only enter into repurchase

16 American Funds U.S. Government Money Market Fund

agreements involving securities of the type (excluding any maturity limitations) in which it could otherwise invest that are held at a custodian bank and are fully collateralized by cash or U.S. government securities.

6. Taxation and distributions

Federal income taxation — The fund complies with the requirements under Subchapter M of the Internal Revenue Code applicable to mutual funds and intends to distribute substantially all of its net taxable income and net capital gains each year. The fund is not subject to income taxes to the extent such distributions are made. Therefore, no federal income tax provision is required.

As of and during the period ended March 31, 2018, the fund did not have a liability for any unrecognized tax benefits. The fund recognizes interest and penalties, if any, related to unrecognized tax benefits as income tax expense in the statement of operations. During the period, the fund did not incur any significant interest or penalties.

The fund’s tax returns are not subject to examination by federal, state and, if applicable, non-U.S. tax authorities after the expiration of each jurisdiction’s statute of limitations, which is generally three years after the date of filing but can be extended in certain jurisdictions.

Distributions — Distributions paid to shareholders are based on net investment income and net realized gains determined on a tax basis, which may differ from net investment income and net realized gains for financial reporting purposes. These differences are due primarily to different treatment for items such as short-term capital gains and losses; deferred expenses and net capital losses. The fiscal year in which amounts are distributed may differ from the year in which the net investment income and net realized gains are recorded by the fund for financial reporting purposes.

The components of distributable earnings on a tax basis are reported as of the fund’s most recent year-end. As of September 30, 2017, the components of distributable earnings on a tax basis were as follows (dollars in thousands):

Undistributed ordinary income	$	425
Capital loss carryforward*		(467	)

* The capital loss carryforward will be used to offset any capital gains realized by the fund in the current year or in subsequent years. The fund will not make distributions from capital gains while a capital loss carryforward remains.

As of March 31, 2018, the tax basis unrealized appreciation (depreciation) and cost of investments were as follows (dollars in thousands):

Gross unrealized appreciation on investments	$	1,016
Gross unrealized depreciation on investments		(1,295	)
Net unrealized depreciation on investments		(279	)
Cost of investments		16,779,261

American Funds U.S. Government Money Market Fund 17

Tax-basis distributions paid or accrued to shareholders from ordinary income were as follows (dollars in thousands):

Share class	Six months ended March 31, 2018			Year ended September 30, 2017
Class A	$	50,381		$	39,408
Class B1					—
Class C		741			589
Class T2		—	3		—	3
Class F-1		475			166
Class F-2		184			81
Class F-34		16			3
Class 529-A		5,031			2,772
Class 529-B1					—
Class 529-C		716			606
Class 529-E		271			165
Class 529-T2		—	3		—	3
Class 529-F-1		368			212
Class R-1		142			103
Class R-2		—			—
Class R-2E		29			—
Class R-3		1,383			—
Class R-4		2,207			1,157
Class R-5E		33			—	3
Class R-5		903			658
Class R-6		3,138			2,269
Total	$	66,018		$	48,189

1	Class B and 529-B shares were fully liquidated on May 5, 2017.
2	Class T and 529-T shares began investment operations on April 7, 2017.
3	Amount less than one thousand.
4	Class F-3 shares began investment operations on January 27, 2017.

7. Fees and transactions with related parties

CRMC, the fund’s investment adviser, is the parent company of American Funds Distributors,^® Inc. (“AFD”), the principal underwriter of the fund’s shares, and American Funds Service Company^® (“AFS”), the fund’s transfer agent. CRMC, AFD and AFS are considered related parties to the fund.

Investment advisory services — The fund has an investment advisory and service agreement with CRMC that provides for monthly fees accrued daily. These fees are based on a series of decreasing annual rates beginning with 0.295% on the first $1 billion of daily net assets and decreasing to 0.256% on such assets in excess of $34 billion. For the six months ended March 31, 2018, the investment advisory services fee was $22,609,000, which was equivalent to an annualized rate of 0.270% of average daily net assets.

18 American Funds U.S. Government Money Market Fund

Class-specific fees and expenses — Expenses that are specific to individual share classes are accrued directly to the respective share class. The principal class-specific fees and expenses are further described below:

Distribution services — The fund has plans of distribution for all share classes, except Class F-2, F-3, R-5E, R-5 and R-6 shares. Under the plans, the board of trustees approves certain categories of expenses that are used to finance activities primarily intended to sell fund shares and service existing accounts. The plans provide for payments, based on an annualized percentage of average daily net assets, ranging from 0.15% to 1.00% as noted in this section. In some cases, the board of trustees has limited the amounts that may be paid to less than the maximum allowed by the plans. All share classes with a plan may use a portion (up to 0.15% for Class A and 529-A shares and 0.25% for all other share classes) of average daily net assets to pay service fees, or to compensate AFD for paying service fees, to firms that have entered into agreements with AFD to provide certain shareholder services. The remaining amounts available to be paid under each plan are paid to dealers to compensate them for their sales activities.

Share class	Currently approved limits			Plan limits
Class A		0.15	%		0.15	%
Class 529-A		0.15			0.50
Classes C, 529-C and R-1		1.00			1.00
Class R-2		0.75			1.00
Class R-2E		0.60			0.85
Classes 529-E and R-3		0.50			0.75
Classes T, F-1, 529-T, 529-F-1 and R-4		0.25			0.50

Transfer agent services — The fund has a shareholder services agreement with AFS under which the fund compensates AFS for providing transfer agent services to each of the fund’s share classes. These services include recordkeeping, shareholder communications and transaction processing. In addition, the fund reimburses AFS for amounts paid to third parties for performing transfer agent services on behalf of fund shareholders.

Administrative services — The fund has an administrative services agreement with CRMC under which the fund compensates CRMC for providing administrative services to Class A, C, T, F, 529 and R shares. These services include, but are not limited to, coordinating, monitoring, assisting and overseeing third parties that provide services to fund shareholders. Under the agreement, Class A shares pay an annual fee of 0.01% and Class C, T, F, 529 and R shares pay an annual fee of 0.05% of their respective average daily net assets.

529 plan services — Each 529 share class is subject to service fees to compensate the Virginia College Savings Plan (“Virginia529”) for its oversight and administration of the 529 college savings plan. The quarterly fee is based on a series of decreasing

American Funds U.S. Government Money Market Fund 19

annual rates beginning with 0.10% on the first $20 billion of the net assets invested in the Class 529 shares of the American Funds and decreasing to 0.03% on such assets in excess of $100 billion. The fee for any given calendar quarter is accrued and calculated on the basis of the average net assets of Class 529 shares of the American Funds for the last month of the prior calendar quarter. The fee is included in other expenses in the fund’s statement of operations. Virginia529 is not considered a related party to the fund.

For the six months ended March 31, 2018, class-specific expenses under the agreements were as follows (dollars in thousands):

Share class	Distribution services	Transfer agent services		Administrative services		529 plan services
Class A	$—	$4,985		$567		Not applicable
Class C	—	77		44		Not applicable
Class T	—	—	*	—	*	Not applicable
Class F-1	205	103		41		Not applicable
Class F-2	Not applicable	21		11		Not applicable
Class F-3	Not applicable	—	*	1		Not applicable
Class 529-A	—	506		316		$420
Class 529-C	—	86		48		64
Class 529-E	—	25		17		23
Class 529-T	—	—	*	—	*	—	*
Class 529-F-1	—	37		23		31
Class R-1	—	18		9		Not applicable
Class R-2	3,010	1,470		201		Not applicable
Class R-2E	89	32		7		Not applicable
Class R-3	2,132	701		213		Not applicable
Class R-4	964	425		193		Not applicable
Class R-5E	Not applicable	5		2		Not applicable
Class R-5	Not applicable	61		52		Not applicable
Class R-6	Not applicable	15		168		Not applicable
Total class-specific expenses	$6,400	$8,567		$1,913		$538

* Amount less than one thousand.

20 American Funds U.S. Government Money Market Fund

Miscellaneous fee reimbursements — CRMC reimbursed a portion of the fund’s fees and expenses. For the six months ended March 31, 2018, the total fees reimbursed by CRMC were as follows (dollars in thousands):

Share class
Class A	$	—
Class C		—
Class T		—
Class F-1		—
Class F-2		—
Class F-3		—
Class 529-A		—
Class 529-C		—
Class 529-E		—
Class 529-T		—
Class 529-F-1		—
Class R-1		—
Class R-2		776
Class R-2E		3
Class R-3		—	*
Class R-4		—
Class R-5E		—
Class R-5		—
Class R-6		—
Total reimbursements	$	779

* Amount less than one thousand.

Trustees’ deferred compensation — Trustees who are unaffiliated with CRMC may elect to defer the cash payment of part or all of their compensation. These deferred amounts, which remain as liabilities of the fund, are treated as if invested in shares of the fund or other American Funds. These amounts represent general, unsecured liabilities of the fund and vary according to the total returns of the selected funds. Trustees’ compensation of $76,000 in the fund’s statement of operations reflects $64,000 in current fees (either paid in cash or deferred) and a net increase of $12,000 in the value of the deferred amounts.

Affiliated officers and trustees — Officers and certain trustees of the fund are or may be considered to be affiliated with CRMC, AFD and AFS. No affiliated officers or trustees received any compensation directly from the fund.

Security transactions with related funds — The fund may purchase from, or sell securities to, other funds managed by CRMC (or funds managed by certain affiliates of CRMC) under procedures adopted by the fund’s board of trustees. The funds involved in such transactions are considered related by virtue of having a common investment adviser (or affiliated investment advisers), common trustees and/or common officers. When such transactions occur, each transaction is executed at the current market price of the security and no brokerage commissions or fees are paid in accordance with Rule 17a-7 of the 1940 Act.

American Funds U.S. Government Money Market Fund 21

8. Capital share transactions

Capital share transactions in the fund were as follows (dollars and shares in thousands):

	Sales1				Reinvestments of dividends						Repurchases1						Net (decrease) increase
Share class	Amount		Shares		Amount			Shares			Amount			Shares			Amount			Shares
Six months ended March 31, 2018
Class A	$	8,356,858		8,356,858	$	49,598			49,598		$	(8,457,123	)		(8,457,123	)	$	(50,667	)		(50,667	)
Class C		92,199		92,199		720			720			(114,806	)		(114,806	)		(21,887	)		(21,887	)
Class T		—		—		—			—			—			—			—			—
Class F-1		104,921		104,921		467			467			(48,077	)		(48,077	)		57,311			57,311
Class F-2		91,525		91,525		179			179			(70,170	)		(70,170	)		21,534			21,534
Class F-3		5,317		5,317		16			16			(5,038	)		(5,038	)		295			295
Class 529-A		512,182		512,182		4,981			4,981			(320,573	)		(320,573	)		196,590			196,590
Class 529-C		54,809		54,809		698			698			(159,589	)		(159,589	)		(104,082	)		(104,082	)
Class 529-E		19,567		19,567		268			268			(18,363	)		(18,363	)		1,472			1,472
Class 529-T		—		—		—	2		—	2		—			—			—	2		—	2
Class 529-F-1		34,940		34,940		365			365			(23,926	)		(23,926	)		11,379			11,379
Class R-1		16,514		16,514		140			140			(21,473	)		(21,473	)		(4,819	)		(4,819	)
Class R-2		401,183		401,183		—			—			(465,640	)		(465,640	)		(64,457	)		(64,457	)
Class R-2E		79,490		79,490		28			28			(76,863	)		(76,863	)		2,655			2,655
Class R-3		503,804		503,804		1,346			1,346			(579,325	)		(579,325	)		(74,175	)		(74,175	)
Class R-4		478,415		478,415		2,158			2,158			(557,961	)		(557,961	)		(77,388	)		(77,388	)
Class R-5E		75,762		75,762		22			22			(69,404	)		(69,404	)		6,380			6,380
Class R-5		111,641		111,641		888			888			(131,945	)		(131,945	)		(19,416	)		(19,416	)
Class R-6		550,344		550,344		3,096			3,096			(567,736	)		(567,736	)		(14,296	)		(14,296	)
Total net increase (decrease)	$	11,489,471		11,489,471	$	64,970			64,970		$	(11,688,012	)		(11,688,012	)	$	(133,571	)		(133,571	)

22 American Funds U.S. Government Money Market Fund

	Sales1				Reinvestments of dividends						Repurchases1						Net (decrease) increase
Share class	Amount		Shares		Amount			Shares			Amount			Shares			Amount			Shares
Year ended September 30, 2017
Class A	$	17,013,227		17,013,227	$	38,838			38,838		$	(18,203,225	)		(18,203,225	)	$	(1,151,160	)		(1,151,160	)
Class B3		1,086		1,086		—			—			(8,716	)		(8,716	)		(7,630	)		(7,630	)
Class C		211,825		211,825		575			575			(281,164	)		(281,164	)		(68,764	)		(68,764	)
Class T4		10		10		—			—			—			—			10			10
Class F-1		101,816		101,816		163			163			(105,701	)		(105,701	)		(3,722	)		(3,722	)
Class F-2		96,529		96,529		77			77			(88,617	)		(88,617	)		7,989			7,989
Class F-35		3,080		3,080		2			2			(882	)		(882	)		2,200			2,200
Class 529-A		659,650		659,650		2,757			2,757			(557,685	)		(557,685	)		104,722			104,722
Class 529-B3		393		393		—			—			(2,681	)		(2,681	)		(2,288	)		(2,288	)
Class 529-C		151,116		151,116		602			602			(135,015	)		(135,015	)		16,703			16,703
Class 529-E		37,654		37,654		164			164			(30,429	)		(30,429	)		7,389			7,389
Class 529-T4		10		10		—	2		—	2		—			—			10			10
Class 529-F-1		58,117		58,117		211			211			(47,196	)		(47,196	)		11,132			11,132
Class R-1		34,778		34,778		101			101			(40,890	)		(40,890	)		(6,011	)		(6,011	)
Class R-2		915,081		915,081		—			—			(1,062,927	)		(1,062,927	)		(147,846	)		(147,846	)
Class R-2E		255,708		255,708		—			—			(249,908	)		(249,908	)		5,800			5,800
Class R-3		1,273,632		1,273,632		—			—			(1,368,885	)		(1,368,885	)		(95,253	)		(95,253	)
Class R-4		1,304,756		1,304,756		1,140			1,140			(1,220,393	)		(1,220,393	)		85,503			85,503
Class R-5E		135		135		—	2		—	2		(1	)		(1	)		134			134
Class R-5		331,420		331,420		643			643			(318,226	)		(318,226	)		13,837			13,837
Class R-6		1,083,798		1,083,798		2,239			2,239			(942,039	)		(942,039	)		143,998			143,998
Total net increase (decrease)	$	23,533,821		23,533,821	$	47,512			47,512		$	(24,664,580	)		(24,664,580	)	$	(1,083,247	)		(1,083,247	)

1	Includes exchanges between share classes of the fund.
2	Amount less than one thousand.
3	Class B and 529-B shares were fully liquidated on May 5, 2017.
4	Class T and 529-T shares began investment operations on April 7, 2017.
5	Class F-3 shares began investment operations on January 27, 2017.

American Funds U.S. Government Money Market Fund 23

Financial highlights

Period ended	Net asset value, beginning of period		Net investment income1			Dividends (from net investment income)			Net asset value, end of period
Class A:
3/31/20184,5	$	1.00	$	—	6	$	—	6	$	1.00
9/30/2017		1.00		—	6		—	6		1.00
9/30/2016		1.00		—	6		—			1.00
9/30/2015		1.00		—			—			1.00
9/30/2014		1.00		—			—			1.00
9/30/2013		1.00		—			—			1.00
Class C:
3/31/20184,5		1.00		—	6		—	6		1.00
9/30/2017		1.00		—	6		—	6		1.00
9/30/2016		1.00		—	6		—			1.00
9/30/2015		1.00		—			—			1.00
9/30/2014		1.00		—			—			1.00
9/30/2013		1.00		—			—			1.00
Class T:
3/31/20184,5		1.00		—	6		—	6		1.00
9/30/20174,12		1.00		—	6		—	6		1.00
Class F-1:
3/31/20184,5		1.00		—	6		—	6		1.00
9/30/2017		1.00		—	6		—	6		1.00
9/30/2016		1.00		—			—			1.00
9/30/2015		1.00		—			—			1.00
9/30/2014		1.00		—			—			1.00
9/30/2013		1.00		—			—			1.00
Class F-2:
3/31/20184,5		1.00		—	6		—	6		1.00
9/30/2017		1.00		—	6		—	6		1.00
9/30/2016		1.00		—			—			1.00
9/30/2015		1.00		—			—			1.00
9/30/2014		1.00		—			—			1.00
9/30/2013		1.00		—			—			1.00
Class F-3:
3/31/20184,5		1.00		—	6		—	6		1.00
9/30/20174,13		1.00		—	6		—	6		1.00

24 American Funds U.S. Government Money Market Fund

Total return2,3			Net assets, end of period (in millions)			Ratio of expenses to average net assets before reimbursements			Ratio of expenses to average net assets after reimbursements2			Ratio of net income to average net assets2
	.44	%7	$	11,261			.38	%8		.38	%8		.89	%8
	.33			11,313			.38			.37			.30
	.00			12,466			.38			.29			.01
	.00			12,167			.38			.08			—
	.00			11,951			.38			.07			—
	.00			13,632			.39			.10			—
	.42	7		171			.42	8		.42	8		.85	8
	.28			193			.42			.41			.25
	.00			262			.42			.30			—	9
	.00			277			.42			.08			—
	.00			250			.41			.07			—
	.00			344			.43			.10			—
	.44	7		—	10		.39	8,11		.39	8,11		.88	8,11
	.26	7		—	10		.19	7,11		.19	7,11		.26	7,11
	.28	7		214			.70	8		.70	8		.58	8
	.11			157			.71			.58			.10
	.00			161			.71			.30			—
	.00			195			.70			.08			—
	.00			114			.70			.07			—
	.00			70			.69			.09			—
	.42	7		55			.43	8		.43	8		.86	8
	.26			33			.45			.43			.28
	.00			25			.46			.31			—
	.00			11			.44			.08			—
	.00			9			.42			.07			—
	.00			10			.41			.10			—
	.46	7		3			.34	8		.34	8		.92	8
	.29	7		2			.36	8		.35	8		.64	8

See end of table for footnotes.

American Funds U.S. Government Money Market Fund 25

Financial highlights (continued)

Period ended	Net asset value, beginning of period		Net investment income1			Dividends (from net investment income)			Net asset value, end of period
Class 529-A:
3/31/20184,5	$	1.00	$	—	6	$	—	6	$	1.00
9/30/2017		1.00		—	6		—	6		1.00
9/30/2016		1.00		—	6		—			1.00
9/30/2015		1.00		—			—			1.00
9/30/2014		1.00		—			—			1.00
9/30/2013		1.00		—			—			1.00
Class 529-C:
3/31/20184,5		1.00		—	6		—	6		1.00
9/30/2017		1.00		—	6		—	6		1.00
9/30/2016		1.00		—			—			1.00
9/30/2015		1.00		—			—			1.00
9/30/2014		1.00		—			—			1.00
9/30/2013		1.00		—			—			1.00
Class 529-E:
3/31/20184,5		1.00		—	6		—	6		1.00
9/30/2017		1.00		—	6		—	6		1.00
9/30/2016		1.00		—	6		—			1.00
9/30/2015		1.00		—			—			1.00
9/30/2014		1.00		—			—			1.00
9/30/2013		1.00		—			—			1.00
Class 529-T:
3/31/20184,5		1.00		—	6		—	6		1.00
9/30/20174,12		1.00		—	6		—	6		1.00
Class 529-F-1:
3/31/20184,5		1.00		—	6		—	6		1.00
9/30/2017		1.00		—	6		—	6		1.00
9/30/2016		1.00		—			—			1.00
9/30/2015		1.00		—			—			1.00
9/30/2014		1.00		—			—			1.00
9/30/2013		1.00		—			—			1.00
Class R-1:
3/31/20184,5		1.00		—	6		—	6		1.00
9/30/2017		1.00		—	6		—	6		1.00
9/30/2016		1.00		—	6		—			1.00
9/30/2015		1.00		—			—			1.00
9/30/2014		1.00		—			—			1.00
9/30/2013		1.00		—			—			1.00

26 American Funds U.S. Government Money Market Fund

Total return2,3			Net assets, end of period (in millions)			Ratio of expenses to average net assets before reimbursements			Ratio of expenses to average net assets after reimbursements2			Ratio of net income to average net assets2
	.39	%7	$	1,369			.48	%8		.48	%8		.80	%8
	.24			1,172			.48			.45			.24
	.00			1,067			.50			.30			—	9
	.00			916			.50			.08			—
	.00			852			.50			.07			—
	.00			808			.51			.10			—
	.39	7		153			.49	8		.49	8		.75	8
	.23			258			.48			.45			.24
	.00			241			.50			.30			—
	.00			198			.50			.08			—
	.00			181			.50			.07			—
	.00			174			.51			.10			—
	.40	7		70			.47	8		.47	8		.80	8
	.24			68			.47			.45			.25
	.00			61			.49			.30			—	9
	.00			53			.49			.08			—
	.00			48			.49			.07			—
	.00			46			.50			.10			—
	.40	7		—	10		.46	8,11		.46	8,11		.80	8,11
	.22	7		—	10		.22	7,11		.22	7,11		.22	7,11
	.39	7		101			.48	8		.48	8		.80	8
	.24			90			.48			.45			.24
	.00			79			.49			.30			—
	.00			63			.50			.08			—
	.00			56			.50			.07			—
	.00			53			.51			.10			—
	.41	7		33			.44	8		.44	8		.83	8
	.27			38			.43			.41			.27
	.00			44			.46			.29			—	9
	.00			46			.45			.08			—
	.00			50			.44			.07			—
	.00			62			.45			.10			—

See end of table for footnotes.

American Funds U.S. Government Money Market Fund 27

Financial highlights (continued)

Period ended	Net asset value, beginning of period		Net investment income1			Dividends (from net investment income)			Net asset value, end of period
Class R-2:
3/31/20184,5	$	1.00	$	—		$	—		$	1.00
9/30/2017		1.00		—	6		—			1.00
9/30/2016		1.00		—	6		—			1.00
9/30/2015		1.00		—			—			1.00
9/30/2014		1.00		—			—			1.00
9/30/2013		1.00		—			—			1.00
Class R-2E:
3/31/20184,5		1.00		—	6		—	6		1.00
9/30/2017		1.00		—	6		—			1.00
9/30/2016		1.00		—	6		—			1.00
9/30/2015		1.00		—			—			1.00
9/30/20144,14		1.00		—			—			1.00
Class R-3:
3/31/20184,5		1.00		—	6		—	6		1.00
9/30/2017		1.00		—	6		—			1.00
9/30/2016		1.00		—	6		—			1.00
9/30/2015		1.00		—			—			1.00
9/30/2014		1.00		—			—			1.00
9/30/2013		1.00		—			—			1.00
Class R-4:
3/31/20184,5		1.00		—	6		—	6		1.00
9/30/2017		1.00		—	6		—	6		1.00
9/30/2016		1.00		—	6		—			1.00
9/30/2015		1.00		—			—			1.00
9/30/2014		1.00		—			—			1.00
9/30/2013		1.00		—			—			1.00
Class R-5E:
3/31/20184,5		1.00		—	6		—	6		1.00
9/30/2017		1.00		—	6		—	6		1.00
9/30/20164,15		1.00		—			—			1.00
Class R-5:
3/31/20184,5		1.00		—	6		—	6		1.00
9/30/2017		1.00		—	6		—	6		1.00
9/30/2016		1.00		—	6		—			1.00
9/30/2015		1.00		—			—			1.00
9/30/2014		1.00		—			—			1.00
9/30/2013		1.00		—			—			1.00

28 American Funds U.S. Government Money Market Fund

Total return2,3			Net assets, end of period (in millions)			Ratio of expenses to average net assets before reimbursements			Ratio of expenses to average net assets after reimbursements2			Ratio of net income to average net assets2
	.00	%7	$	789			1.45	%8		1.25	%8		.01	%8
	.00			854			1.03			.64			.03
	.00			1,002			.69			.26			.04
	.00			1,009			.63			.08			—
	.00			1,064			.65			.07			—
	.00			1,191			.63			.10			—
	.10	7		26			1.15	8		1.14	8		.16	8
	.00			24			.86			.71			.03
	.00			18			.53			.33			.03
	.00			—	10		.57	11		.07	11		—	11
	.00			—	10		.04	7,11		—	7,9,11		—	7,11
	.17	7		838			.99	8		.99	8		.27	8
	.00			912			.72			.64			.04
	.00			1,007			.52			.28			.02
	.00			993			.50			.08			—
	.00			1,029			.50			.07			—
	.00			1,144			.51			.10			—
	.29	7		737			.69	8		.69	8		.58	8
	.14			814			.56			.54			.16
	.00			729			.45			.29			.01
	.00			675			.43			.08			—
	.00			664			.44			.07			—
	.00			757			.44			.10			—
	.40	7		7			.47	8		.47	8		.92	8
	.17			—	10		.63			.53			.39
	.00			—	10		.54	8		.32	8		—
	.44	7		199			.39	8		.39	8		.87	8
	.30			218			.38			.37			.32
	.00			204			.40			.29			.01
	.00			322			.38			.08			—
	.00			326			.38			.07			—
	.00			435			.38			.10			—

See end of table for footnotes.

American Funds U.S. Government Money Market Fund 29

Financial highlights (continued)

Period ended	Net asset value, beginning of period		Net investment income1			Dividends (from net investment income)			Net asset value, end of period
Class R-6:
3/31/20184,5	$	1.00	$	—	6	$	—	6	$	1.00
9/30/2017		1.00		—	6		—	6		1.00
9/30/2016		1.00		—	6		—			1.00
9/30/2015		1.00		—			—			1.00
9/30/2014		1.00		—			—			1.00
9/30/2013		1.00		—			—			1.00

See Notes to Financial Statements

30 American Funds U.S. Government Money Market Fund

Total return2,3			Net assets, end of period (in millions)		Ratio of expenses to average net assets before reimbursements			Ratio of expenses to average net assets after reimbursements2			Ratio of net income to average net assets2
	.47	%7	$	650		.34	%8		.34	%8		.94	%8
	.36			665		.34			.34			.37
	.00			521		.34			.29			.02
	.00			287		.34			.08			—
	.00			291		.33			.07			—
	.00			138		.34			.10			—

1	Based on average shares outstanding.
2	This column reflects the impact, if any, of certain reimbursements from CRMC. During some of the periods shown, CRMC reimbursed a portion of miscellaneous fees and expenses for certain share classes due to lower short-term interest rates.
3	Total returns exclude any applicable sales charges, including contingent deferred sales charges.
4	Based on operations for a period that is less than a full year.
5	Unaudited.
6	Amount less than $.01.
7	Not annualized.
8	Annualized.
9	Amount less than .01%.
10	Amount less than $1 million.
11	All or a significant portion of assets in this class consisted of seed capital invested by CRMC and/or its affiliates. Fees for distribution services are not charged or accrued on these seed capital assets. If such fees were paid by the fund on seed capital assets, fund expenses would have been higher and net income and total return would have been lower.
12	Class T and 529-T shares began investment operations on April 7, 2017.
13	Class F-3 shares began investment operations on January 27, 2017.
14	Class R-2E shares began investment operations on August 29, 2014.
15	Class R-5E shares began investment operations on November 20, 2015.

American Funds U.S. Government Money Market Fund 31

Expense example unaudited

As a fund shareholder, you incur two types of costs: (1) transaction costs, such as initial sales charges on purchase payments and contingent deferred sales charges on redemptions (loads), and (2) ongoing costs, including management fees, distribution and service (12b-1) fees, and other expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in the fund so you can compare these costs with the ongoing costs of investing in other mutual funds. The example is based on an investment of $1,000 invested at the beginning of the period and held for the entire six-month period (October 1, 2017, through March 31, 2018).

Actual expenses:

The first line of each share class in the table on the following page provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first line under the heading titled “Expenses paid during period” to estimate the expenses you paid on your account during this period.

Hypothetical example for comparison purposes:

The second line of each share class in the table on the following page provides information about hypothetical account values and hypothetical expenses based on the actual expense ratio for the share class and an assumed rate of return of 5.00% per year before expenses, which is not the actual return of the share class. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the fund and other funds. To do so, compare this 5.00% hypothetical example with the 5.00% hypothetical examples that appear in the shareholder reports of the other funds.

Notes:

Retirement plan participants may be subject to certain fees charged by the plan sponsor, and Class F-1, F-2, F-3 and 529-F-1 shareholders may be subject to fees charged by financial intermediaries, typically ranging from 0.75% to 1.50% of assets annually depending on services offered. You can estimate the impact of these fees by adding the amount of the fees to the total estimated expenses you paid on your account during the period as calculated above. In addition, your ending account value would be lower by the amount of these fees.

Note that the expenses shown in the table on the following page are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads). Therefore, the second line of each share class in the table is useful in comparing ongoing costs only and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.

32 American Funds U.S. Government Money Market Fund

	Beginning account value 10/1/2017		Ending account value 3/31/2018		Expenses paid during period*		Annualized expense ratio
Class A – actual return	$	1,000.00	$	1,004.44	$	1.90		.38	%
Class A – assumed 5% return		1,000.00		1,023.04		1.92		.38
Class C – actual return		1,000.00		1,004.24		2.10		.42
Class C – assumed 5% return		1,000.00		1,022.84		2.12		.42
Class T – actual return		1,000.00		1,004.40		1.95		.39
Class T – assumed 5% return		1,000.00		1,022.99		1.97		.39
Class F-1 – actual return		1,000.00		1,002.82		3.50		.70
Class F-1 – assumed 5% return		1,000.00		1,021.44		3.53		.70
Class F-2 – actual return		1,000.00		1,004.19		2.15		.43
Class F-2 – assumed 5% return		1,000.00		1,022.79		2.17		.43
Class F-3 – actual return		1,000.00		1,004.65		1.70		.34
Class F-3 – assumed 5% return		1,000.00		1,023.24		1.72		.34
Class 529-A – actual return		1,000.00		1,003.94		2.40		.48
Class 529-A – assumed 5% return		1,000.00		1,022.54		2.42		.48
Class 529-C – actual return		1,000.00		1,003.89		2.45		.49
Class 529-C – assumed 5% return		1,000.00		1,022.49		2.47		.49
Class 529-E – actual return		1,000.00		1,003.99		2.35		.47
Class 529-E – assumed 5% return		1,000.00		1,022.59		2.37		.47
Class 529-T – actual return		1,000.00		1,004.03		2.30		.46
Class 529-T – assumed 5% return		1,000.00		1,022.64		2.32		.46
Class 529-F-1 – actual return		1,000.00		1,003.94		2.40		.48
Class 529-F-1 – assumed 5% return		1,000.00		1,022.54		2.42		.48
Class R-1 – actual return		1,000.00		1,004.15		2.20		.44
Class R-1 – assumed 5% return		1,000.00		1,022.74		2.22		.44
Class R-2 – actual return		1,000.00		1,000.00		6.23		1.25
Class R-2 – assumed 5% return		1,000.00		1,018.70		6.29		1.25
Class R-2E – actual return		1,000.00		1,001.01		5.69		1.14
Class R-2E – assumed 5% return		1,000.00		1,019.25		5.74		1.14
Class R-3 – actual return		1,000.00		1,001.66		4.94		.99
Class R-3 – assumed 5% return		1,000.00		1,020.00		4.99		.99
Class R-4 – actual return		1,000.00		1,002.88		3.45		.69
Class R-4 – assumed 5% return		1,000.00		1,021.49		3.48		.69
Class R-5E – actual return		1,000.00		1,004.00		2.35		.47
Class R-5E – assumed 5% return		1,000.00		1,022.59		2.37		.47
Class R-5 – actual return		1,000.00		1,004.38		1.95		.39
Class R-5 – assumed 5% return		1,000.00		1,022.99		1.97		.39
Class R-6 – actual return		1,000.00		1,004.66		1.70		.34
Class R-6 – assumed 5% return		1,000.00		1,023.24		1.72		.34

* The “expenses paid during period” are equal to the “annualized expense ratio,” multiplied by the average account value over the period, multiplied by the number of days in the period, and divided by 365 (to reflect the one-half year period).

American Funds U.S. Government Money Market Fund 33

Approval of Investment Advisory and Service Agreement

American Funds U.S. Government Money Market Fund’s board approved the fund’s Investment Advisory and Service Agreement (the “agreement”) with Capital Research and Management Company (“CRMC”) for an additional one-year term through April 30, 2019. The board approved the agreement following the recommendation of the fund’s Contracts Committee (the “committee”), which is composed of all of the fund’s independent board members. The board and the committee determined in the exercise of their business judgment that the fund’s advisory fee structure was fair and reasonable in relation to the services provided, and that approving the agreement was in the best interests of the fund and its shareholders.

In reaching this decision, the board and the committee took into account information furnished to them throughout the year and otherwise provided to them, as well as information prepared specifically in connection with their review of the agreement, and were advised by their independent counsel. They considered the following factors, among others, but did not identify any single issue or particular piece of information that, in isolation, was the controlling factor, and each board and committee member did not necessarily attribute the same weight to each factor.

1. Nature, extent and quality of services

The board and the committee considered the depth and quality of CRMC’s investment management process, including its global research capabilities; the experience, capability and integrity of its senior management and other personnel; the low turnover rates of its key personnel; the overall financial strength and stability of CRMC and the Capital Group organization; the resources and systems CRMC devotes to investment management, compliance, trading, portfolio accounting and other services; and the ongoing evolution of CRMC’s organizational structure designed to maintain and strengthen these qualities. The board and the committee also considered the nature, extent and quality of administrative, compliance and shareholder services provided by CRMC to the fund under the agreement and other agreements, as well as the benefits to fund shareholders from investing in a fund that is part of a large family of funds. The board and the committee concluded that the nature, extent and quality of the services provided by CRMC have benefited and should continue to benefit the fund and its shareholders.

2. Investment results

The board and the committee considered the investment results of the fund in light of its objective of providing shareholders a way to earn income on their cash reserves while preserving capital and maintaining liquidity. They compared the fund’s investment results with those of other funds (including funds that currently form the basis of the Lipper index for the category in which the fund is included), and data such as relevant market and fund indexes, over various periods through October 31, 2017. This report, including the letter to shareholders and related disclosures, contains certain information about the fund’s investment results. The board and the committee reviewed the fund’s investment results measured against the Lipper U.S. Government Money Market Funds Average and the USTREAS T-Bill Auction Average 3-Month Index. They noted the fund’s relatively short history and reviewed the results for the one-year, three-year, five-year and lifetime periods. They noted that the investment results of the fund were mixed compared to the results of these indexes and the longer

34 American Funds U.S. Government Money Market Fund

maturity of the USTREAS T-Bill Auction Average 3-Month Index. The board and the committee concluded that the fund’s investment results have been satisfactory for renewal of the agreement in view of the continuing low interest rate environment, and that CRMC’s record in managing the fund indicated that its continued management should benefit the fund and its shareholders.

3. Advisory fees and total expenses

The board and the committee compared the advisory fees and total expense levels of the fund to those of other relevant funds. They observed that CRMC continued to reimburse fund expenses during the period for certain share classes in order to maintain the fund’s stable net asset value. The board and the committee concluded that the fund’s cost structure was fair and reasonable in relation to the services provided, and that the fund’s shareholders receive reasonable value in return for the amounts paid to CRMC by the fund.

4. Ancillary benefits

The board and the committee considered a variety of other benefits that CRMC and its affiliates receive as a result of CRMC’s relationship with the fund and other American Funds, including fees for administrative services provided to certain share classes; fees paid to CRMC’s affiliated transfer agent; sales charges and distribution fees received and retained by the fund’s principal underwriter, an affiliate of CRMC; and possible ancillary benefits to CRMC and its institutional management affiliates in managing other investment vehicles. The board and the committee reviewed CRMC’s portfolio trading practices, noting the benefits CRMC receives from the research obtained with commissions from portfolio transactions made on behalf of the fund. The board and the committee took these ancillary benefits into account in evaluating the reasonableness of the advisory fees and other amounts paid to CRMC by the fund.

5. Adviser financial information

The board and the committee reviewed information regarding CRMC’s costs of providing services to the American Funds, including personnel, systems and resources of investment, compliance, trading, accounting and other administrative operations. They considered CRMC’s costs and related cost allocation methodology as well as its willingness to invest in technology, infrastructure and staff to maintain and expand services and capabilities, respond to industry and regulatory developments, and attract and retain qualified personnel. They noted information regarding the compensation structure for CRMC’s investment professionals. The board and the committee also compared CRMC’s profitability and compensation data to the reported results and data of several large, publicly held investment management companies. The board and the committee noted the competitiveness and cyclicality of both the mutual fund industry and the capital markets, and the importance in that environment of CRMC’s long-term profitability for maintaining its independence, company culture and management continuity. They further considered the breakpoint discounts in the fund’s advisory fee structure and CRMC’s sharing of any economies of scale, or efficiencies, through breakpoints and other fee reductions and costs voluntarily absorbed. The board and the committee concluded that the fund’s advisory fee structure reflected a reasonable sharing of benefits between CRMC and the fund’s shareholders.

American Funds U.S. Government Money Market Fund 35

Offices of the fund and of the investment adviser

Capital Research and Management Company

333 South Hope Street

Los Angeles, CA 90071-1406

6455 Irvine Center Drive

Irvine, CA 92618-4518

Transfer agent for shareholder accounts

American Funds Service Company

(Write to the address near you.)

P.O. Box 6007

Indianapolis, IN 46206-6007

P.O. Box 2280

Norfolk, VA 23501-2280

Custodian of assets

JPMorgan Chase Bank

270 Park Avenue

New York, NY 10017-2070

Counsel

Morgan, Lewis & Bockius LLP

300 South Grand Avenue, 22nd Floor

Los Angeles, CA 90071-3132

Independent registered public accounting firm

PricewaterhouseCoopers LLP

601 South Figueroa Street

Los Angeles, CA 90017-3874

Principal underwriter

American Funds Distributors, Inc.

333 South Hope Street

Los Angeles, CA 90071-1406

36 American Funds U.S. Government Money Market Fund

Investors should carefully consider investment objectives, risks, charges and expenses. This and other important information is contained in the fund prospectus and summary prospectus, which can be obtained from your financial professional and should be read carefully before investing. You may also call American Funds Service Company (AFS) at (800) 421-4225 or visit the American Funds website at americanfunds.com. Fund shares offered through American Funds Distributors, Inc.

“American Funds Proxy Voting Procedures and Principles” — which describes how we vote proxies relating to portfolio securities — is available on the American Funds website or upon request by calling AFS. The fund files its proxy voting record with the U.S. Securities and Exchange Commission (SEC) for the 12 months ended June 30 by August 31. The proxy voting record is available free of charge on the SEC website at sec.gov and on the American Funds website.

American Funds U.S. Government Money Market Fund files a complete list of its portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q. This filing is available free of charge on the SEC website. You may also review or, for a fee, copy this filing at the SEC’s Public Reference Room in Washington, D.C. Additional information regarding the operation of the Public Reference Room may be obtained by calling the SEC’s Office of Investor Education and Advocacy at (800) SEC-0330. Additionally, the list of portfolio holdings is available by calling AFS.

This report is for the information of shareholders of American Funds U.S. Government Money Market Fund, but it also may be used as sales literature when preceded or accompanied by the current prospectus or summary prospectus, which gives details about charges, expenses, investment objectives and operating policies of the fund. If used as sales material after June 30, 2018, this report must be accompanied by an American Funds statistical update for the most recently completed calendar quarter.

American Funds from Capital Group

The Capital Advantage^®

Since 1931, American Funds, part of Capital Group, has helped investors pursue long-term investment success. Our consistent approach — in combination with The Capital System^SM — has resulted in a superior long-term track record.

Aligned with investor success

We base our decisions on a long-term perspective, which we believe aligns our goals with the interests of our clients. Our portfolio managers average 27 years of investment experience, including 22 years at our company, reflecting a career commitment to our long-term approach.¹

The Capital System

The Capital System combines individual accountability with teamwork. Funds using The Capital System are divided into portions that are managed independently by investment professionals with diverse backgrounds, ages and investment approaches. An extensive global research effort is the backbone of our system.

American Funds’ superior long-term track record

Equity funds have beaten their Lipper peer indexes in 92% of 10-year periods and 99% of 20-year periods. Fixed income funds have beaten their Lipper indexes in 77% of 10-year periods and 80% of 20-year periods.² Fund management fees have been among the lowest in the industry.³

1	Portfolio manager experience as of December 31, 2017.
2	Based on Class F-2 share results for rolling periods through December 31, 2017. Periods covered are the shorter of the fund’s lifetime or since the comparable Lipper index inception date (except Capital Income Builder and SMALLCAP World Fund, for which the Lipper average was used). Expenses differ for each share class, so results will vary. Class F-2 shares were first offered on August 1, 2008. Class F-2 share results prior to the date of first sale are hypothetical based on Class A share results without a sales charge, adjusted for typical estimated expenses. Results for certain funds with an inception date after August 1, 2008, also include hypothetical returns because those funds’ Class F-2 shares sold after the funds’ date of first offering. Please see americanfunds.com for more information on specific expense adjustments and the actual dates of first sale.
3	On average, our management fees were in the lowest quintile 71% of the time, based on the 20-year period ended December 31, 2017, versus comparable Lipper categories, excluding funds of funds.

 

ITEM 2 – Code of Ethics

Not applicable for filing of semi-annual reports to shareholders.

ITEM 3 – Audit Committee Financial Expert

Not applicable for filing of semi-annual reports to shareholders.

ITEM 4 – Principal Accountant Fees and Services

Not applicable for filing of semi-annual reports to shareholders.

ITEM 5 – Audit Committee of Listed Registrants

Not applicable to this Registrant, insofar as the Registrant is not a listed issuer as defined in Rule 10A-3 under the Securities Exchange Act of 1934.

ITEM 6 – Schedule of Investments

Not applicable, insofar as the schedule is included as part of the report to shareholders filed under Item 1 of this Form.

ITEM 7 – Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies

Not applicable to this Registrant, insofar as the Registrant is not a closed-end management investment company.

ITEM 8 – Portfolio Managers of Closed-End Management Investment Companies

Not applicable to this Registrant, insofar as the Registrant is not a closed-end management investment company.

ITEM 9 – Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers

Not applicable to this Registrant, insofar as the Registrant is not a closed-end management investment company.

ITEM 10 – Submission of Matters to a Vote of Security Holders

There have been no material changes to the procedures by which shareholders may recommend nominees to the Registrant’s board of trustees since the Registrant last submitted a proxy statement to its shareholders. The procedures are as follows. The Registrant has a nominating and governance committee comprised solely of persons who are not considered ‘‘interested persons’’ of the Registrant within the meaning of the Investment Company Act of 1940, as amended. The committee periodically reviews such issues as the board’s composition, responsibilities, committees, compensation and other relevant issues, and recommends any appropriate changes to the full board of trustees. While the committee normally is able to identify from its own resources an ample number of qualified candidates, it will consider shareholder suggestions of persons to be considered as nominees to fill future vacancies on the board. Such suggestions must be sent in writing to the nominating and governance committee of the Registrant, c/o the Registrant’s Secretary, and must be accompanied by complete biographical and occupational data on the prospective nominee, along with a written consent of the prospective nominee for consideration of his or her name by the nominating and governance committee.

ITEM 11 – Controls and Procedures

(a)	The Registrant’s Principal Executive Officer and Principal Financial Officer have concluded, based on their evaluation of the Registrant’s disclosure controls and procedures (as such term is defined in Rule 30a-3 under the Investment Company Act of 1940), that such controls and procedures are adequate and reasonably designed to achieve the purposes described in paragraph (c) of such rule.
(b)	There were no changes in the Registrant’s internal controls over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) that occurred during the Registrant’s second fiscal quarter of the period covered by this report that has materially affected, or is reasonably likely to materially affect, the Registrant’s internal control over financial reporting.

ITEM 12 – Exhibits

(a)(1)	Not applicable for filing of semi-annual reports to shareholders.
(a)(2)	The certifications required by Rule 30a-2 of the Investment Company Act of 1940 and Sections 302 and 906 of the Sarbanes-Oxley Act of 2002 are attached as exhibits hereto.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

AMERICAN FUNDS U.S. GOVERNMENT MONEY MARKET FUND

By /s/ Kristine M. Nishiyama

Kristine M. Nishiyama, Vice Chairman, President and

Principal Executive Officer

Date: May 31, 2018

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the Registrant and in the capacities and on the dates indicated.

By /s/ Kristine M. Nishiyama

Kristine M. Nishiyama, Vice Chairman, President and

Principal Executive Officer

Date: May 31, 2018

By /s/ Brian C. Janssen

Brian C. Janssen, Treasurer and

Principal Financial Officer

Date: May 31, 2018