American Funds Inflation Linked Bond Fund®
Investment portfolio
February 28, 2022
unaudited
Bonds, notes & other debt instruments 96.65% U.S. Treasury bonds & notes 85.16% U.S. Treasury inflation-protected securities 84.80% | Principal amount (000) | Value (000) | |
U.S. Treasury Inflation-Protected Security 0.125% 20221 | $19,275 | $19,889 | |
U.S. Treasury Inflation-Protected Security 0.125% 20231 | 36,171 | 37,581 | |
U.S. Treasury Inflation-Protected Security 0.375% 20231 | 32,343 | 34,209 | |
U.S. Treasury Inflation-Protected Security 0.125% 20241 | 83,944 | 89,359 | |
U.S. Treasury Inflation-Protected Security 0.125% 20241,2 | 35,856 | 38,155 | |
U.S. Treasury Inflation-Protected Security 0.50% 20241,2 | 296,778 | 315,883 | |
U.S. Treasury Inflation-Protected Security 0.625% 20241 | 114,696 | 121,989 | |
U.S. Treasury Inflation-Protected Security 0.125% 20251 | 454,558 | 483,368 | |
U.S. Treasury Inflation-Protected Security 0.125% 20251 | 91,968 | 98,339 | |
U.S. Treasury Inflation-Protected Security 0.25% 20251 | 135,235 | 144,225 | |
U.S. Treasury Inflation-Protected Security 0.375% 20251,2 | 291,929 | 314,859 | |
U.S. Treasury Inflation-Protected Security 2.375% 20251 | 34,681 | 39,221 | |
U.S. Treasury Inflation-Protected Security 0.125% 20261 | 1,366,174 | 1,467,941 | |
U.S. Treasury Inflation-Protected Security 0.125% 20261 | 715,824 | 763,893 | |
U.S. Treasury Inflation-Protected Security 0.125% 20261 | 222,133 | 238,594 | |
U.S. Treasury Inflation-Protected Security 0.625% 20261 | 192,995 | 209,760 | |
U.S. Treasury Inflation-Protected Security 2.00% 20261,2 | 146,073 | 167,012 | |
U.S. Treasury Inflation-Protected Security 0.375% 20271 | 345,753 | 375,443 | |
U.S. Treasury Inflation-Protected Security 0.375% 20271 | 206,271 | 225,474 | |
U.S. Treasury Inflation-Protected Security 2.375% 20271,2 | 210,394 | 250,157 | |
U.S. Treasury Inflation-Protected Security 0.50% 20281 | 259,259 | 285,022 | |
U.S. Treasury Inflation-Protected Security 1.75% 20281 | 81,171 | 95,545 | |
U.S. Treasury Inflation-Protected Security 0.25% 20291,2 | 239,981 | 263,322 | |
U.S. Treasury Inflation-Protected Security 0.875% 20291 | 75,516 | 85,935 | |
U.S. Treasury Inflation-Protected Security 2.50% 20291 | 2,597 | 3,255 | |
U.S. Treasury Inflation-Protected Security 0.125% 20301,2 | 732,833 | 802,197 | |
U.S. Treasury Inflation-Protected Security 0.125% 20301 | 587,866 | 638,930 | |
U.S. Treasury Inflation-Protected Security 0.125% 20311,2 | 1,185,481 | 1,297,680 | |
U.S. Treasury Inflation-Protected Security 0.125% 20311 | 208,022 | 228,800 | |
U.S. Treasury Inflation-Protected Security 0.125% 20321 | 522,943 | 574,238 | |
U.S. Treasury Inflation-Protected Security 2.125% 20401 | 58,040 | 85,032 | |
U.S. Treasury Inflation-Protected Security 2.125% 20411 | 55,375 | 81,560 | |
U.S. Treasury Inflation-Protected Security 0.75% 20421 | 61,686 | 73,783 | |
U.S. Treasury Inflation-Protected Security 0.625% 20431 | 165,024 | 193,618 | |
U.S. Treasury Inflation-Protected Security 1.375% 20441 | 77,869 | 104,869 | |
U.S. Treasury Inflation-Protected Security 0.75% 20451 | 132,590 | 159,837 | |
U.S. Treasury Inflation-Protected Security 1.00% 20461 | 113,941 | 145,328 | |
U.S. Treasury Inflation-Protected Security 0.875% 20471 | 167,800 | 210,657 | |
U.S. Treasury Inflation-Protected Security 1.00% 20481 | 170,363 | 221,533 | |
U.S. Treasury Inflation-Protected Security 1.00% 20491 | 51,625 | 67,789 | |
U.S. Treasury Inflation-Protected Security 0.25% 20501 | 191,128 | 211,533 | |
U.S. Treasury Inflation-Protected Security 0.125% 20511,2 | 717,718 | 775,166 | |
12,040,980 |
American Funds Inflation Linked Bond Fund — Page 1 of 13
unaudited
Bonds, notes & other debt instruments (continued) U.S. Treasury bonds & notes (continued) U.S. Treasury 0.36% | Principal amount (000) | Value (000) | |
U.S. Treasury 4.375% 2039 | $25,655 | $34,257 | |
U.S. Treasury 1.875% 2051 | 18,135 | 16,932 | |
U.S. Treasury 2.00% 2051 | 1 | 1 | |
51,190 | |||
Total U.S. Treasury bonds & notes | 12,092,170 | ||
Bonds & notes of governments & government agencies outside the U.S. 4.69% | |||
China (People’s Republic of), Series INBK, 2.85% 2027 | CNY73,280 | 11,719 | |
China (People’s Republic of), Series INBK, 3.28% 2027 | 256,090 | 41,880 | |
China (People’s Republic of), Series INBK, 2.68% 2030 | 657,940 | 102,659 | |
China (People’s Republic of), Series INBK, 3.27% 2030 | 164,690 | 26,992 | |
China (People’s Republic of), Series INBK, 3.81% 2050 | 214,370 | 36,466 | |
China (People’s Republic of), Series INBK, 3.72% 2051 | 341,980 | 57,263 | |
China Development Bank Corp., Series 2004, 3.43% 2027 | 66,990 | 10,902 | |
China Development Bank Corp., Series 1805, 4.04% 2028 | 267,870 | 44,937 | |
China Development Bank Corp., Series 1805, 4.88% 2028 | 146,140 | 25,567 | |
Colombia (Republic of) 5.00% 2045 | $600 | 502 | |
Hungary (Republic of) 2.125% 20313 | 13,860 | 12,517 | |
Hungary (Republic of) 3.125% 20513 | 17,300 | 14,307 | |
Italy (Republic of) 0.10% 20231 | €64,445 | 75,997 | |
Japan, Series 18, 0.10% 20241 | ¥2,255,350 | 19,990 | |
Japan, Series 20, 0.10% 20251 | 4,343,500 | 38,752 | |
Japan, Series 24, 0.10% 20291 | 105,866 | 961 | |
Peru (Republic of) 2.392% 2026 | $2,730 | 2,680 | |
PETRONAS Capital, Ltd. 3.50% 20303 | 5,490 | 5,632 | |
PETRONAS Capital, Ltd. 4.55% 20503 | 5,775 | 6,519 | |
Philippines (Republic of) 1.648% 2031 | 18,830 | 16,677 | |
Philippines (Republic of) 2.65% 2045 | 18,235 | 14,882 | |
Spain (Kingdom of) 1.25% 2030 | €20,861 | 24,053 | |
United Kingdom 0.125% 20411 | £9,121 | 19,625 | |
United Mexican States, Series M20, 10.00% 2024 | MXN110,000 | 5,662 | |
United Mexican States, Series M, 5.75% 2026 | 521,500 | 23,673 | |
United Mexican States, Series M, 7.50% 2027 | 110,000 | 5,302 | |
United Mexican States, Series M, 8.00% 2047 | 418,544 | 20,031 | |
666,147 | |||
Corporate bonds, notes & loans 3.46% Energy 0.81% | |||
Energy Transfer Partners LP 6.00% 2048 | $9,257 | 10,409 | |
Equinor ASA 3.625% 2028 | 13,165 | 13,923 | |
MPLX LP 4.00% 2028 | 2,430 | 2,537 | |
MPLX LP 4.70% 2048 | 10,000 | 10,353 | |
ONEOK, Inc. 6.35% 2031 | 7,508 | 8,917 | |
ONEOK, Inc. 7.15% 2051 | 2,782 | 3,691 | |
Petróleos Mexicanos 7.47% 2026 | MXN30 | 1 | |
Qatar Petroleum 2.25% 20313 | $17,300 | 16,327 | |
Qatar Petroleum 3.125% 20413 | 13,495 | 12,720 | |
Qatar Petroleum 3.30% 20513 | 12,200 | 11,510 | |
Sabine Pass Liquefaction, LLC 4.50% 2030 | 8,109 | 8,755 | |
TransCanada PipeLines, Ltd. 4.10% 2030 | 6,315 | 6,676 | |
Williams Companies, Inc. 3.50% 2030 | 8,448 | 8,595 | |
Williams Companies, Inc. 2.60% 2031 | 1,450 | 1,371 | |
115,785 |
American Funds Inflation Linked Bond Fund — Page 2 of 13
unaudited
Bonds, notes & other debt instruments (continued) Corporate bonds, notes & loans (continued) Consumer discretionary 0.80% | Principal amount (000) | Value (000) | |
Alibaba Group Holding, Ltd. 3.15% 2051 | $7,440 | $5,984 | |
Amazon.com, Inc. 3.10% 2051 | 40,000 | 38,739 | |
Boston University 4.061% 2048 | 2,075 | 2,325 | |
Duke University 2.832% 2055 | 5,000 | 4,588 | |
Home Depot, Inc. 2.95% 2029 | 8,408 | 8,609 | |
Home Depot, Inc. 4.50% 2048 | 1,240 | 1,441 | |
Massachusetts Institute of Technology 2.294% 2051 | 22,000 | 18,534 | |
Stellantis Finance US, Inc. 1.711% 20273 | 8,525 | 8,114 | |
Stellantis Finance US, Inc. 2.691% 20313 | 7,425 | 6,883 | |
The Board of Trustees of The Leland Stanford Junior University 1.289% 2027 | 4,950 | 4,742 | |
Yale University 1.482% 2030 | 15,000 | 13,955 | |
113,914 | |||
Utilities 0.48% | |||
Consumers Energy Co. 4.05% 2048 | 8,570 | 9,288 | |
Duke Energy Corp. 0.90% 2025 | 6,850 | 6,504 | |
Entergy Corp. 2.80% 2030 | 4,425 | 4,256 | |
Entergy Corp. 3.75% 2050 | 4,700 | 4,549 | |
Exelon Corp. 4.05% 2030 | 4,725 | 5,021 | |
Exelon Corp. 4.70% 2050 | 1,300 | 1,477 | |
Mississippi Power Co. 4.25% 2042 | 1,660 | 1,725 | |
Public Service Electric and Gas Co. 2.05% 2050 | 5,365 | 4,097 | |
Public Service Enterprise Group, Inc. 3.20% 2049 | 8,250 | 7,910 | |
Tampa Electric Co. 4.45% 2049 | 8,070 | 9,333 | |
Virginia Electric and Power Co. 3.80% 2028 | 7,925 | 8,431 | |
Virginia Electric and Power Co. 2.875% 2029 | 2,800 | 2,818 | |
Wisconsin Electric Power Co. 4.30% 2048 | 2,600 | 2,900 | |
68,309 | |||
Information technology 0.46% | |||
Apple, Inc. 2.40% 2050 | 30,000 | 25,185 | |
Broadcom, Inc. 3.187% 20363 | 17,063 | 15,864 | |
Global Payments, Inc. 2.90% 2030 | 6,972 | 6,713 | |
PayPal Holdings, Inc. 1.65% 2025 | 11,647 | 11,418 | |
PayPal Holdings, Inc. 3.25% 2050 | 6,210 | 5,836 | |
65,016 | |||
Health care 0.27% | |||
Becton, Dickinson and Company 3.70% 2027 | 7,700 | 8,078 | |
Sharp HealthCare 2.68% 2050 | 17,500 | 15,395 | |
Summa Health 3.511% 2051 | 9,945 | 9,967 | |
Trinity Health Corp. 2.632% 2040 | 5,000 | 4,563 | |
38,003 | |||
Consumer staples 0.26% | |||
Anheuser-Busch InBev NV 3.50% 2030 | 7,500 | 7,842 | |
Anheuser-Busch InBev NV 4.60% 2048 | 8,519 | 9,359 | |
Anheuser-Busch InBev NV 4.50% 2050 | 1,481 | 1,633 | |
Conagra Brands, Inc. 4.85% 2028 | 6,400 | 7,053 | |
Keurig Dr Pepper, Inc. 4.057% 2023 | 5,354 | 5,498 | |
Keurig Dr Pepper, Inc. 5.085% 2048 | 4,291 | 5,017 | |
36,402 |
American Funds Inflation Linked Bond Fund — Page 3 of 13
unaudited
Bonds, notes & other debt instruments (continued) Corporate bonds, notes & loans (continued) Communication services 0.15% | Principal amount (000) | Value (000) | |
SBA Tower Trust 1.631% 20263 | $22,469 | $21,618 | |
Financials 0.09% | |||
Morgan Stanley 2.239% 2032 (USD-SOFR + 1.178% on 7/21/2031)4 | 14,149 | 13,037 | |
Materials 0.07% | |||
Air Products and Chemicals, Inc. 1.50% 2025 | 6,427 | 6,296 | |
Air Products and Chemicals, Inc. 2.05% 2030 | 3,284 | 3,143 | |
9,439 | |||
Real estate 0.05% | |||
American Campus Communities, Inc. 3.875% 2031 | 2,892 | 3,037 | |
Corporacion Inmobiliaria Vesta, SAB de CV 3.625% 20313 | 4,080 | 3,762 | |
6,799 | |||
Industrials 0.02% | |||
United Technologies Corp. 4.125% 2028 | 3,265 | 3,532 | |
Total corporate bonds, notes & loans | 491,854 | ||
Asset-backed obligations 1.77% | |||
Allegro CLO, Ltd., Series 2016-1A, Class AR2, (3-month USD-LIBOR + 0.95%) 1.191% 20303,5,6 | 3,208 | 3,206 | |
Allegro CLO, Ltd., Series 2017-1A, Class AR, (3-month USD-LIBOR + 0.95%) 1.191% 20303,5,6 | 2,112 | 2,101 | |
Ares CLO, Ltd., Series 2017-42A, Class AR, (3-month USD-LIBOR + 0.92%) 1.179% 20283,5,6 | 4,149 | 4,145 | |
Ballyrock CLO, Ltd., Series 2019-2A, Class A1AR, (3-month USD-LIBOR + 1.00%) 1.48% 20303,5,6 | 5,500 | 5,489 | |
Bankers Healthcare Group Securitization Trust, Series 2020-A, Class A, 2.56% 20313,5 | 1,613 | 1,620 | |
Cent CLO, Ltd., Series 2014-21A, Class AR, (3-month USD-LIBOR + 0.97%) 1.238% 20303,5,6 | 6,705 | 6,643 | |
CF Hippolyta LLC, Series 2020-1, Class A1, 1.69% 20603,5 | 4,782 | 4,627 | |
CF Hippolyta LLC, Series 2020-1, Class A2, 1.99% 20603,5 | 775 | 734 | |
Dryden Senior Loan Fund, CLO, Series 2017-47A, Class A1R, (3-month USD-LIBOR + 0.98%) 1.221% 20283,5,6 | 7,090 | 7,079 | |
FirstKey Homes Trust, Series 2020-SFR2, Class A, 1.266% 20373,5 | 6,572 | 6,269 | |
Global SC Finance V SRL, Series 2020-1A, Class A, 2.17% 20403,5 | 25,655 | 25,095 | |
Global SC Finance V SRL, Series 2020-1A, Class B, 3.55% 20403,5 | 3,519 | 3,523 | |
Global SC Finance VII SRL, Series 2020-2A, Class A, 2.26% 20403,5 | 21,445 | 21,031 | |
Hertz Vehicle Financing III, LLC, Series 2021-A, Class B, 3.65% 20233,5,7,8 | 17,780 | 17,536 | |
Hertz Vehicle Financing III, LLC, Series 2021-1A, Class A, 1.21% 20253,5 | 8,127 | 7,904 | |
Hertz Vehicle Financing III, LLC, Series 2021-1A, Class B, 1.56% 20253,5 | 5,490 | 5,334 | |
Hertz Vehicle Financing III, LLC, Series 2021-1A, Class C, 2.05% 20253,5 | 779 | 752 | |
Hertz Vehicle Financing III, LLC, Series 2021-2A, Class A, 1.68% 20273,5 | 8,811 | 8,465 | |
Hertz Vehicle Financing III, LLC, Series 2021-2A, Class B, 2.12% 20273,5 | 5,925 | 5,749 | |
Hertz Vehicle Financing III, LLC, Series 2021-2A, Class C, 2.52% 20273,5 | 826 | 795 | |
Longfellow Place CLO, Ltd., Series 2013-1A, Class AR3, (3-month USD-LIBOR + 1.00%) 1.241% 20293,5,6 | 2,587 | 2,587 | |
Madison Park Funding, Ltd., CLO, Series 2015-17A, Class AR2, (3-month USD-LIBOR + 1.00%) 1.255% 20303,5,6 | 7,175 | 7,146 | |
Marathon CLO, Ltd., Series 2017-9A, Class A1AR, (3-month USD-LIBOR + 1.15%) 1.391% 20293,5,6 | 4,411 | 4,415 |
American Funds Inflation Linked Bond Fund — Page 4 of 13
unaudited
Bonds, notes & other debt instruments (continued) Asset-backed obligations (continued) | Principal amount (000) | Value (000) | |
Navient Student Loan Trust, Series 2021-C, Class A, 1.06% 20693,5 | $7,875 | $7,633 | |
Nelnet Student Loan Trust, Series 2021-A, Class APT1, 1.36% 20623,5 | 11,757 | 11,288 | |
Newark BSL CLO 2, Ltd., Series 2017-1A, Class A1R, (3-month USD-LIBOR + 0.97%) 1.228% 20303,5,6 | 2,296 | 2,293 | |
Palmer Square Loan Funding, CLO, Series 2020-4, Class A1, (3-month USD-LIBOR + 1.00%) 1.498% 20283,5,6 | 13,276 | 13,232 | |
Palmer Square Loan Funding, CLO, Series 2021-1, Class A1, (3-month USD-LIBOR + 0.90%) 1.154% 20293,5,6 | 5,332 | 5,329 | |
Race Point CLO, Ltd., Series 2015-9A, Class A1A2, (3-month USD-LIBOR + 0.94%) 1.181% 20303,5,6 | 5,997 | 5,993 | |
Santander Consumer Auto Receivables Trust, Series 2020-A, Class B, 2.26% 20253,5 | 6,250 | 6,287 | |
Sound Point CLO, Ltd., Series 2015-1RA, Class AR, (3-month USD-LIBOR + 1.08%) 1.321% 20303,5,6 | 4,485 | 4,479 | |
SuttonPark Structured Settlements, Series 2021-1, Class A, 1.95% 20753,5 | 19,838 | 19,271 | |
TAL Advantage V LLC, Series 2020-1A, Class A, 2.05% 20453,5 | 8,866 | 8,601 | |
Textainer Marine Containers, Ltd., Series 2020-2A, Class B, 3.34% 20453,5 | 6,427 | 6,384 | |
Triton Container Finance VIII LLC, Series 2020-1, Class A, 2.11% 20453,5 | 3,043 | 2,953 | |
Triton Container Finance VIII LLC, Series 2020-1, Class B, 3.74% 20453,5 | 5,458 | 5,459 | |
251,447 | |||
Mortgage-backed obligations 0.86% Collateralized mortgage-backed obligations (privately originated) 0.70% | |||
Arroyo Mortgage Trust, Series 2022-1, Class A1A, 2.495% 20563,5 | 3,797 | 3,794 | |
Legacy Mortgage Asset Trust, Series 2019-GS5, Class A1, 3.20% 20593,5,6 | 6,527 | 6,537 | |
Mello Warehouse Securitization Trust, Series 2020-2, Class A, (1-month USD-LIBOR + 0.80%) 0.987% 20533,5,6 | 18,650 | 18,551 | |
Mello Warehouse Securitization Trust, Series 2020-1, Class A, (1-month USD-LIBOR + 0.90%) 1.087% 20533,5,6 | 7,191 | 7,187 | |
Mello Warehouse Securitization Trust, Series 2021-3, Class A, (1-month USD-LIBOR + 0.85%) 1.037% 20553,5,6 | 12,120 | 12,047 | |
MRA Issuance Trust, Series 2020-10, Class A3, (1-month USD-LIBOR + 1.30%) 1.406% 20223,5,6 | 11,407 | 11,459 | |
Provident Funding Mortgage Warehouse Securitization Trust, Series 2021-1, Class A, (1-month USD-LIBOR + 0.70%) 0.887% 20553,5,6 | 17,076 | 16,934 | |
Towd Point Mortgage Trust, Series 2016-5, Class A1, 2.50% 20563,5,6 | 1,749 | 1,758 | |
Towd Point Mortgage Trust, Series 2020-4, Class A1, 1.75% 20603,5 | 21,800 | 21,434 | |
99,701 | |||
Commercial mortgage-backed securities 0.16% | |||
LUXE Commercial Mortgage Trust, Series 2021-TRIP, Class B, (1-month USD-LIBOR + 1.40%) 1.591% 20383,5,6 | 19,041 | 18,812 | |
Morgan Stanley Bank of America Merrill Lynch Trust, Series 2013-C9, Class A4, 3.102% 20465 | 3,000 | 3,019 | |
21,831 | |||
Total mortgage-backed obligations | 121,532 | ||
Municipals 0.71% California 0.18% | |||
Regents of the University of California, General Rev. Bonds, Series 2020-BG, 0.883% 2025 | 7,500 | 7,275 | |
Regents of the University of California, General Rev. Bonds, Series 2020-BG, 1.316% 2027 | 9,200 | 8,858 | |
Regents of the University of California, General Rev. Bonds, Series 2020-BG, 1.614% 2030 | 10,100 | 9,377 | |
25,510 |
American Funds Inflation Linked Bond Fund — Page 5 of 13
unaudited
Bonds, notes & other debt instruments (continued) Municipals (continued) Florida 0.25% | Principal amount (000) | Value (000) | |
Board of Administration Fin. Corp., Rev. Bonds, Series 2020-A, 1.258% 2025 | $18,085 | $17,707 | |
Board of Administration Fin. Corp., Rev. Bonds, Series 2020-A, 2.154% 2030 | 17,885 | 17,372 | |
35,079 | |||
Illinois 0.04% | |||
G.O. Bonds, Pension Funding, Series 2003, 4.95% 2023 | 631 | 648 | |
Metropolitan Pier and Exposition Auth., McCormick Place Expansion Project Rev. Ref. Bonds, Series 2020-C, 3.955% 2026 | 5,000 | 5,178 | |
5,826 | |||
Michigan 0.06% | |||
Building Auth., Rev. Ref. Bonds (Facs. Program), Series 2020-II, 2.705% 2040 | 9,715 | 9,223 | |
Ohio 0.18% | |||
Cleveland-Cuyahoga Port Auth., Federal Lease Rev. Bonds (VA Cleveland Health Care Center Project), Series 2021, 4.425% 2031 | 24,540 | 25,336 | |
Total municipals | 100,974 | ||
Total bonds, notes & other debt instruments (cost: $13,139,237,000) | 13,724,124 | ||
Short-term securities 3.60% Money market investments 1.86% | Shares | ||
Capital Group Central Cash Fund 0.15%9,10 | 2,634,622 | 263,462 | |
U.S. Treasury bills 1.74% | Weighted average yield at acquisition | Principal amount (000) | |
U.S. Treasury 2/23/20232 | 1.111% | $250,000 | 247,557 |
Total short-term securities (cost: $510,683,000) | 511,019 | ||
Total investment securities 100.25% (cost: $13,649,920,000) | 14,235,143 | ||
Other assets less liabilities (0.25)% | (34,939) | ||
Net assets 100.00% | $14,200,204 |
Futures contracts
Contracts | Type | Number of contracts | Expiration | Notional amount (000) | Value and unrealized appreciation (depreciation) at 2/28/2022 (000) |
30 Day Federal Funds Futures | Long | 19,044 | May 2022 | $7,907,860 | $7,821 |
30 Day Federal Funds Futures | Long | 7,890 | June 2022 | 3,268,036 | 769 |
30 Day Federal Funds Futures | Long | 1,743 | August 2022 | 720,062 | (213) |
90 Day Euro Dollar Futures | Long | 6,388 | December 2022 | 1,569,452 | (12,513) |
90 Day Euro Dollar Futures | Long | 15,736 | September 2023 | 3,850,009 | (50,079) |
90 Day Euro Dollar Futures | Short | 27,459 | December 2023 | (6,717,501) | 79,387 |
90 Day Euro Dollar Futures | Short | 9,087 | December 2024 | (2,226,088) | 8,614 |
2 Year U.S. Treasury Note Futures | Short | 10,303 | June 2022 | (2,217,479) | (6,591) |
5 Year U.S. Treasury Note Futures | Short | 17,062 | June 2022 | (2,018,115) | (12,422) |
American Funds Inflation Linked Bond Fund — Page 6 of 13
unaudited
Futures contracts (continued)
Contracts | Type | Number of contracts | Expiration | Notional amount (000) | Value and unrealized appreciation (depreciation) at 2/28/2022 (000) |
10 Year Euro-Bund Futures | Long | 330 | March 2022 | $61,807 | $(2,838) |
10 Year Japanese Government Bond Futures | Short | 744 | March 2022 | (973,966) | (2,457) |
10 Year U.S. Treasury Note Futures | Short | 812 | June 2022 | (103,479) | (568) |
10 Year Ultra U.S. Treasury Note Futures | Short | 6,719 | June 2022 | (949,584) | (9,204) |
20 Year U.S. Treasury Bond Futures | Long | 3,617 | June 2022 | 566,739 | 8,065 |
30 Year Euro-Buxl Futures | Long | 688 | March 2022 | 152,572 | (15,406) |
30 Year Ultra U.S. Treasury Bond Futures | Short | 2,594 | June 2022 | (482,322) | (3,036) |
$(10,671) |
Forward currency contracts
Contract amount | Counterparty | Settlement date | Unrealized (depreciation) appreciation at 2/28/2022 (000) | |||
Currency purchased (000) | Currency sold (000) | |||||
JPY | 16,117,000 | USD | 140,399 | Morgan Stanley | 3/3/2022 | $(202) |
JPY | 12,116,600 | USD | 105,743 | Morgan Stanley | 3/3/2022 | (343) |
JPY | 1,992,700 | EUR | 15,183 | Standard Chartered Bank | 3/7/2022 | 306 |
JPY | 14,165,580 | USD | 123,323 | JPMorgan Chase | 3/7/2022 | (92) |
USD | 22,074 | CLP | 17,867,000 | Barclays Bank PLC | 3/7/2022 | (263) |
NOK | 780,420 | USD | 89,215 | Bank of New York Mellon | 3/7/2022 | (692) |
USD | 134,981 | GBP | 99,625 | Goldman Sachs | 3/10/2022 | 1,322 |
USD | 134,973 | GBP | 99,625 | Bank of America | 3/10/2022 | 1,314 |
EUR | 19,428 | MXN | 460,000 | Morgan Stanley | 3/10/2022 | (629) |
USD | 198,323 | CNH | 1,266,412 | Citibank | 3/10/2022 | (2,034) |
USD | 31,983 | EUR | 27,953 | Goldman Sachs | 3/11/2022 | 626 |
USD | 27,188 | KRW | 32,489,550 | BNP Paribas | 3/14/2022 | 178 |
CAD | 20,019 | USD | 15,779 | Citibank | 3/14/2022 | 16 |
USD | 8,559 | MXN | 175,733 | Citibank | 3/14/2022 | —11 |
USD | 27,834 | MXN | 571,500 | Citibank | 3/14/2022 | (1) |
USD | 46,978 | CAD | 59,602 | Citibank | 3/14/2022 | (48) |
USD | 100,779 | NZD | 151,300 | Morgan Stanley | 3/14/2022 | (1,572) |
RUB | 631,000 | USD | 8,341 | Goldman Sachs | 3/14/2022 | (2,516) |
RUB | 6,010,000 | USD | 79,434 | Citibank | 3/14/2022 | (23,958) |
USD | 134,732 | PHP | 6,927,900 | Citibank | 3/18/2022 | (382) |
USD | 112,136 | IDR | 1,611,400,000 | Citibank | 3/22/2022 | 215 |
USD | 71,598 | EUR | 63,093 | Standard Chartered Bank | 3/24/2022 | 779 |
USD | 19,447 | GBP | 14,357 | UBS AG | 3/24/2022 | 182 |
USD | 10,717 | SEK | 100,000 | Bank of America | 3/24/2022 | 153 |
USD | 711 | GBP | 525 | UBS AG | 3/24/2022 | 7 |
EUR | 465 | USD | 528 | Standard Chartered Bank | 3/24/2022 | (6) |
USD | 161,537 | AUD | 223,900 | Morgan Stanley | 3/24/2022 | (1,149) |
COP | 570,316,095 | USD | 144,516 | Morgan Stanley | 3/25/2022 | (52) |
$(28,841) |
American Funds Inflation Linked Bond Fund — Page 7 of 13
unaudited
Swap contracts
Interest rate swaps
Centrally cleared interest rate swaps
Receive | Pay | Expiration date | Notional amount (000) | Value at 2/28/2022 (000) | Upfront premium paid (received) (000) | Unrealized appreciation (depreciation) at 2/28/2022 (000) | |||
Rate | Payment frequency | Rate | Payment frequency | ||||||
0.775% | Annual | U.S. EFFR | Annual | 6/15/2022 | $36,945,335 | $5,600 | $—11 | $5,600 | |
1.5675% | Semi-annual | 3-month USD-LIBOR | Quarterly | 8/17/2023 | 270,000 | 577 | — | 577 | |
1.2475% | Semi-annual | 3-month NZD-BBR-FRA | Quarterly | 8/20/2023 | NZ$34,659 | (431) | — | (431) | |
1.234974% | Semi-annual | 3-month NZD-BBR-FRA | Quarterly | 8/20/2023 | 295,353 | (3,705) | — | (3,705) | |
1.2375% | Semi-annual | 3-month NZD-BBR-FRA | Quarterly | 8/26/2023 | 108,854 | (1,395) | — | (1,395) | |
1.264% | Semi-annual | 3-month NZD-BBR-FRA | Quarterly | 8/27/2023 | 272,097 | (3,416) | — | (3,416) | |
1.26% | Semi-annual | 3-month NZD-BBR-FRA | Quarterly | 8/30/2023 | 44,882 | (568) | — | (568) | |
1.28% | Semi-annual | 3-month NZD-BBR-FRA | Quarterly | 8/31/2023 | 44,882 | (561) | — | (561) | |
1.30% | Semi-annual | 3-month NZD-BBR-FRA | Quarterly | 9/3/2023 | 49,273 | (613) | — | (613) | |
2.26% | Semi-annual | 3-month NZD-BBR-FRA | Quarterly | 11/2/2023 | 346,075 | (1,358) | — | (1,358) | |
2.215% | Semi-annual | 3-month NZD-BBR-FRA | Quarterly | 11/3/2023 | 691,568 | (3,052) | — | (3,052) | |
0.207% | Annual | U.S. EFFR | Annual | 2/26/2024 | $2,517,000 | (56,076) | —11 | (56,076) | |
U.S. EFFR | Annual | 0.11% | Annual | 5/18/2024 | 978,900 | 17,624 | — | 17,624 | |
6.23% | 28-Day | 28-day MXN-TIIE | 28-Day | 3/28/2025 | MXN1,280,750 | (2,900) | — | (2,900) | |
U.S. EFFR | Annual | 0.126% | Annual | 6/25/2025 | $148,300 | 6,844 | — | 6,844 | |
U.S. EFFR | Annual | 0.1275% | Annual | 6/25/2025 | 148,300 | 6,836 | — | 6,836 | |
U.S. EFFR | Annual | 0.106% | Annual | 6/30/2025 | 165,539 | 7,780 | — | 7,780 | |
3-month USD-LIBOR | Quarterly | 1.867% | Semi-annual | 7/11/2025 | 274,100 | 288 | — | 288 | |
(0.445)% | Annual | 6-month EURIBOR | Semi-annual | 12/3/2025 | €344,500 | (12,330) | — | (12,330) | |
(0.452)% | Annual | 6-month EURIBOR | Semi-annual | 12/3/2025 | 344,500 | (12,431) | — | (12,431) | |
3-month SEK-STIBOR | At maturity | 0.154% | At maturity | 2/5/2026 | SKr724,100 | 2,634 | — | 2,634 | |
3-month SEK-STIBOR | Quarterly | 0.159% | Annual | 2/8/2026 | 726,200 | 2,630 | — | 2,630 | |
3-month SEK-STIBOR | Quarterly | 0.1625% | Annual | 2/8/2026 | 722,800 | 2,608 | — | 2,608 | |
3-month SEK-STIBOR | Quarterly | 0.175% | Annual | 2/9/2026 | 1,134,200 | 4,040 | —11 | 4,040 | |
3-month SEK-STIBOR | Quarterly | 0.179% | Annual | 2/9/2026 | 567,200 | 2,011 | — | 2,011 | |
3-month SEK-STIBOR | Quarterly | 0.185% | Annual | 2/11/2026 | 568,700 | 2,008 | — | 2,008 | |
3-month SEK-STIBOR | Quarterly | 0.189% | Annual | 2/11/2026 | 568,800 | 1,999 | — | 1,999 | |
5.39% | 28-Day | 28-day MXN-TIIE | 28-Day | 3/6/2026 | MXN300,000 | (1,250) | — | (1,250) | |
5.395% | 28-Day | 28-day MXN-TIIE | 28-Day | 3/6/2026 | 1,000,000 | (4,159) | — | (4,159) | |
5.43% | 28-Day | 28-day MXN-TIIE | 28-Day | 3/10/2026 | 540,000 | (2,222) | — | (2,222) | |
5.455% | 28-Day | 28-day MXN-TIIE | 28-Day | 3/11/2026 | 202,000 | (823) | — | (823) | |
5.4167% | 28-Day | 28-day MXN-TIIE | 28-Day | 3/11/2026 | 620,000 | (2,566) | — | (2,566) | |
5.55% | 28-Day | 28-day MXN-TIIE | 28-Day | 3/12/2026 | 200,000 | (783) | — | (783) | |
5.50% | 28-Day | 28-day MXN-TIIE | 28-Day | 3/12/2026 | 260,000 | (1,040) | — | (1,040) | |
5.6275% | 28-Day | 28-day MXN-TIIE | 28-Day | 3/12/2026 | 405,000 | (1,532) | — | (1,532) | |
5.63% | 28-Day | 28-day MXN-TIIE | 28-Day | 3/13/2026 | 205,000 | (775) | — | (775) | |
5.62% | 28-Day | 28-day MXN-TIIE | 28-Day | 3/13/2026 | 305,000 | (1,158) | — | (1,158) | |
5.6412% | 28-Day | 28-day MXN-TIIE | 28-Day | 3/13/2026 | 463,000 | (1,741) | — | (1,741) | |
6.20% | 28-Day | 28-day MXN-TIIE | 28-Day | 3/19/2026 | 182,000 | (512) | — | (512) | |
6.105% | 28-Day | 28-day MXN-TIIE | 28-Day | 3/19/2026 | 176,000 | (524) | — | (524) | |
6.17% | 28-Day | 28-day MXN-TIIE | 28-Day | 3/19/2026 | 184,000 | (527) | — | (527) | |
6.05% | 28-Day | 28-day MXN-TIIE | 28-Day | 3/19/2026 | 184,000 | (565) | — | (565) | |
6.08% | 28-Day | 28-day MXN-TIIE | 28-Day | 3/19/2026 | 188,000 | (567) | — | (567) | |
6.03% | 28-Day | 28-day MXN-TIIE | 28-Day | 3/19/2026 | 840,000 | (2,607) | — | (2,607) | |
6.08% | 28-Day | 28-day MXN-TIIE | 28-Day | 3/20/2026 | 182,300 | (551) | — | (551) | |
5.815% | 28-Day | 28-day MXN-TIIE | 28-Day | 4/9/2026 | 455,000 | (1,598) | — | (1,598) | |
5.82% | 28-Day | 28-day MXN-TIIE | 28-Day | 4/9/2026 | 1,355,000 | (4,748) | — | (4,748) | |
5.73% | 28-Day | 28-day MXN-TIIE | 28-Day | 4/10/2026 | 666,700 | (2,441) | — | (2,441) |
American Funds Inflation Linked Bond Fund — Page 8 of 13
unaudited
Swap contracts (continued)
Interest rate swaps (continued)
Receive | Pay | Expiration date | Notional amount (000) | Value at 2/28/2022 (000) | Upfront premium paid (received) (000) | Unrealized appreciation (depreciation) at 2/28/2022 (000) | |||
Rate | Payment frequency | Rate | Payment frequency | ||||||
5.734% | 28-Day | 28-day MXN-TIIE | 28-Day | 4/10/2026 | MXN1,125,000 | $(4,112) | $— | $(4,112) | |
6.35% | 28-Day | 28-day MXN-TIIE | 28-Day | 6/12/2026 | 269,000 | (717) | — | (717) | |
6.3967% | 28-Day | 28-day MXN-TIIE | 28-Day | 6/15/2026 | 272,000 | (703) | — | (703) | |
6.435% | 28-Day | 28-day MXN-TIIE | 28-Day | 6/15/2026 | 365,000 | (918) | — | (918) | |
6.42% | 28-Day | 28-day MXN-TIIE | 28-Day | 6/15/2026 | 542,000 | (1,378) | — | (1,378) | |
6.49% | 28-Day | 28-day MXN-TIIE | 28-Day | 6/16/2026 | 181,000 | (438) | — | (438) | |
6.50% | 28-Day | 28-day MXN-TIIE | 28-Day | 6/17/2026 | 131,300 | (315) | — | (315) | |
6.5375% | 28-Day | 28-day MXN-TIIE | 28-Day | 6/17/2026 | 136,000 | (317) | — | (317) | |
6.47% | 28-Day | 28-day MXN-TIIE | 28-Day | 6/17/2026 | 134,200 | (329) | — | (329) | |
6.55% | 28-Day | 28-day MXN-TIIE | 28-Day | 6/17/2026 | 410,000 | (947) | — | (947) | |
6.55% | 28-Day | 28-day MXN-TIIE | 28-Day | 6/18/2026 | 132,700 | (307) | — | (307) | |
6.50% | 28-Day | 28-day MXN-TIIE | 28-Day | 6/18/2026 | 262,700 | (631) | — | (631) | |
6.71% | 28-Day | 28-day MXN-TIIE | 28-Day | 6/19/2026 | 178,800 | (362) | — | (362) | |
6.65% | 28-Day | 28-day MXN-TIIE | 28-Day | 6/19/2026 | 178,800 | (381) | — | (381) | |
6.715% | 28-Day | 28-day MXN-TIIE | 28-Day | 6/19/2026 | 267,200 | (538) | — | (538) | |
6.69% | 28-Day | 28-day MXN-TIIE | 28-Day | 6/19/2026 | 357,500 | (736) | — | (736) | |
6.59% | 28-Day | 28-day MXN-TIIE | 28-Day | 6/25/2026 | 87,000 | (195) | — | (195) | |
6.58% | 28-Day | 28-day MXN-TIIE | 28-Day | 6/25/2026 | 93,400 | (211) | — | (211) | |
6.585% | 28-Day | 28-day MXN-TIIE | 28-Day | 6/25/2026 | 114,200 | (257) | — | (257) | |
6.64% | 28-Day | 28-day MXN-TIIE | 28-Day | 6/25/2026 | 140,500 | (302) | — | (302) | |
6.6175% | 28-Day | 28-day MXN-TIIE | 28-Day | 6/25/2026 | 372,600 | (817) | — | (817) | |
6.633% | 28-Day | 28-day MXN-TIIE | 28-Day | 6/25/2026 | 387,400 | (838) | — | (838) | |
6.63% | 28-Day | 28-day MXN-TIIE | 28-Day | 6/26/2026 | 397,000 | (862) | — | (862) | |
7.135% | 28-Day | 28-day MXN-TIIE | 28-Day | 9/25/2026 | 463,300 | (608) | — | (608) | |
7.10% | 28-Day | 28-day MXN-TIIE | 28-Day | 9/25/2026 | 648,700 | (895) | — | (895) | |
7.065% | 28-Day | 28-day MXN-TIIE | 28-Day | 9/28/2026 | 370,618 | (537) | — | (537) | |
7.19% | 28-Day | 28-day MXN-TIIE | 28-Day | 9/29/2026 | 185,400 | (224) | — | (224) | |
7.3023% | 28-Day | 28-day MXN-TIIE | 28-Day | 9/30/2026 | 241,300 | (240) | — | (240) | |
7.28% | 28-Day | 28-day MXN-TIIE | 28-Day | 9/30/2026 | 370,600 | (385) | — | (385) | |
TONAR | Annual | (0.01246731)% | Annual | 10/1/2026 | ¥3,447,100 | 98 | (9) | 107 | |
7.30% | 28-Day | 28-day MXN-TIIE | 28-Day | 10/1/2026 | MXN92,652 | (93) | — | (93) | |
7.24% | 28-Day | 28-day MXN-TIIE | 28-Day | 10/2/2026 | 77,830 | (87) | — | (87) | |
7.52% | 28-Day | 28-day MXN-TIIE | 28-Day | 10/19/2026 | 92,700 | (54) | — | (54) | |
7.55% | 28-Day | 28-day MXN-TIIE | 28-Day | 10/23/2026 | 276,000 | (146) | — | (146) | |
7.64% | 28-Day | 28-day MXN-TIIE | 28-Day | 10/28/2026 | 191,100 | (68) | — | (68) | |
7.39% | 28-Day | 28-day MXN-TIIE | 28-Day | 10/30/2026 | 187,200 | (157) | — | (157) | |
7.335% | 28-Day | 28-day MXN-TIIE | 28-Day | 11/6/2026 | 277,900 | (263) | — | (263) | |
7.20% | 28-Day | 28-day MXN-TIIE | 28-Day | 11/6/2026 | 374,500 | (453) | — | (453) | |
7.335% | 28-Day | 28-day MXN-TIIE | 28-Day | 11/26/2026 | 305,229 | (292) | — | (292) | |
3-month USD-LIBOR | Quarterly | 0.64% | Semi-annual | 3/30/2027 | $127,000 | 7,274 | — | 7,274 | |
U.S. EFFR | Annual | 2.045% | Annual | 11/2/2027 | 33,700 | (845) | — | (845) | |
2.91% | Semi-annual | 3-month USD-LIBOR | Quarterly | 2/1/2028 | 70,300 | 3,083 | — | 3,083 | |
2.908% | Semi-annual | 3-month USD-LIBOR | Quarterly | 2/1/2028 | 70,300 | 3,077 | — | 3,077 | |
2.925% | Semi-annual | 3-month USD-LIBOR | Quarterly | 2/1/2028 | 56,200 | 2,505 | — | 2,505 | |
2.92% | Semi-annual | 3-month USD-LIBOR | Quarterly | 2/2/2028 | 53,200 | 2,358 | — | 2,358 | |
28-day MXN-TIIE | 28-Day | 6.95% | 28-Day | 3/22/2030 | MXN775,250 | 2,074 | — | 2,074 | |
U.S. EFFR | Annual | 0.666% | Annual | 11/19/2030 | $118,200 | 9,418 | — | 9,418 | |
3-month USD-LIBOR | Quarterly | 1.83% | Semi-annual | 8/17/2031 | 58,000 | 434 | — | 434 | |
3-month USD-LIBOR | Quarterly | 2.986% | Semi-annual | 2/1/2038 | 33,900 | (2,380) | — | (2,380) | |
3-month USD-LIBOR | Quarterly | 2.9625% | Semi-annual | 2/1/2038 | 42,100 | (2,874) | — | (2,874) |
American Funds Inflation Linked Bond Fund — Page 9 of 13
unaudited
Swap contracts (continued)
Interest rate swaps (continued)
Receive | Pay | Expiration date | Notional amount (000) | Value at 2/28/2022 (000) | Upfront premium paid (received) (000) | Unrealized appreciation (depreciation) at 2/28/2022 (000) | |||
Rate | Payment frequency | Rate | Payment frequency | ||||||
3-month USD-LIBOR | Quarterly | 2.963% | Semi-annual | 2/1/2038 | $42,200 | $(2,883) | $— | $(2,883) | |
3-month USD-LIBOR | Quarterly | 2.967% | Semi-annual | 2/2/2038 | 32,800 | (2,251) | — | (2,251) | |
U.S. EFFR | Annual | 0.6193% | Annual | 4/6/2050 | 30,300 | 7,388 | — | 7,388 | |
U.S. EFFR | Annual | 0.60602% | Annual | 4/6/2050 | 13,870 | 3,423 | — | 3,423 | |
U.S. EFFR | Annual | 0.616917% | Annual | 4/6/2050 | 12,500 | 3,054 | — | 3,054 | |
6-month EURIBOR | Semi-annual | 0.0897% | Annual | 6/4/2050 | €22,000 | 4,739 | — | 4,739 | |
1.1295% | Semi-annual | 3-month USD-LIBOR | Quarterly | 10/19/2050 | $27,400 | (5,273) | — | (5,273) | |
6-month EURIBOR | Semi-annual | 0.0175% | Annual | 12/3/2050 | €51,650 | 12,271 | — | 12,271 | |
6-month EURIBOR | Semi-annual | 0.071% | Annual | 1/14/2051 | 51,920 | 11,544 | — | 11,544 | |
6-month EURIBOR | Semi-annual | 0.068% | Annual | 1/15/2051 | 56,080 | 12,515 | — | 12,515 | |
$(20,410) | $(9) | $(20,401) |
Credit default swaps
Centrally cleared credit default swaps on credit indices — buy protection
Reference index | Financing rate paid | Payment frequency | Expiration date | Notional amount (000) | Value at 2/28/2022 (000) | Upfront premium received (000) | Unrealized appreciation at 2/28/2022 (000) |
CDX.NA.IG.37 | 1.00% | Quarterly | 12/20/2026 | $5,643,940 | $(82,780) | $(134,408) | $51,628 |
Investments in affiliates10
Value of affiliate at 12/1/2021 (000) | Additions (000) | Reductions (000) | Net realized gain (000) | Net unrealized appreciation (000) | Value of affiliate at 2/28/2022 (000) | Dividend income (000) | |
Short-term securities 1.86% | |||||||
Money market investments 1.86% | |||||||
Capital Group Central Cash Fund 0.15%9 | $23,263 | $2,350,331 | $2,110,167 | $34 | $1 | $263,462 | $82 |
1 | Index-linked bond whose principal amount moves with a government price index. |
2 | All or a portion of this security was pledged as collateral. The total value of pledged collateral was $269,600,000, which represented 1.90% of the net assets of the fund. |
3 | Acquired in a transaction exempt from registration under Rule 144A of the Securities Act of 1933. May be resold in the U.S. in transactions exempt from registration, normally to qualified institutional buyers. The total value of all such securities was $505,733,000, which represented 3.56% of the net assets of the fund. |
4 | Step bond; coupon rate may change at a later date. |
5 | Principal payments may be made periodically. Therefore, the effective maturity date may be earlier than the stated maturity date. |
6 | Coupon rate may change periodically. Reference rate and spread are as of the most recent information available. Some coupon rates are determined by the issuer or agent based on current market conditions; therefore, the reference rate and spread are not available. |
7 | Valued under fair value procedures adopted by authority of the board of trustees. The total value of the security was $17,536,000, which represented .12% of the net assets of the fund. |
8 | Value determined using significant unobservable inputs. |
9 | Rate represents the seven-day yield at 2/28/2022. |
10 | Part of the same “group of investment companies“ as the fund as defined under the Investment Company Act of 1940, as amended. |
11 | Amount less than one thousand. |
American Funds Inflation Linked Bond Fund — Page 10 of 13
unaudited
Valuation disclosures
Capital Research and Management Company (“CRMC”), the fund’s investment adviser, values the fund’s investments at fair value as defined by accounting principles generally accepted in the United States of America. The net asset value per share is calculated once daily as of the close of regular trading on the New York Stock Exchange, normally 4 p.m. New York time, each day the New York Stock Exchange is open. Security transactions are recorded by the fund as of the date the trades are executed with brokers.
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. Vendors value such securities based on one or more of the inputs described in the following table. The table provides examples of inputs that are commonly relevant for valuing particular classes of fixed-income securities in which the fund is authorized to invest. However, these classifications are not exclusive, and any of the inputs may be used to value any other class of fixed-income security.
Fixed-income class | Examples of standard inputs |
All | Benchmark yields, transactions, bids, offers, quotations from dealers and trading systems, new issues, spreads and other relationships observed in the markets among comparable securities; and proprietary pricing models such as yield measures calculated using factors such as cash flows, financial or collateral performance and other reference data (collectively referred to as “standard inputs”) |
Corporate bonds, notes & loans; convertible securities | Standard inputs and underlying equity of the issuer |
Bonds & notes of governments & government agencies | Standard inputs and interest rate volatilities |
Mortgage-backed; asset-backed obligations | Standard inputs and cash flows, prepayment information, default rates, delinquency and loss assumptions, collateral characteristics, credit enhancements and specific deal information |
Municipal securities | Standard inputs and, for certain distressed securities, cash flows or liquidation values using a net present value calculation based on inputs that include, but are not limited to, financial statements and debt contracts |
When the fund’s investment adviser deems it appropriate to do so (such as when vendor prices are unavailable or deemed to be not 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. The Capital Group Central Cash Fund (“CCF”), a fund within the Capital Group Central Fund Series (“Central Funds“), is valued based upon a floating net asset value, which fluctuates with changes in the value of CCF’s portfolio securities. The underlying securities are valued based on the policies and procedures in CCF’s statement of additional information.
Exchange-traded futures are generally valued at the official settlement price of the exchange or market on which such instruments are traded, as of the close of business on the day the futures are being valued. The average month-end notional amount of futures contracts while held was $25,768,040,000. Forward currency contracts are valued based on the spot and forward exchange rates obtained from one or more pricing vendors. The average month-end notional amount of open forward currency contracts while held was $2,058,460,000. Interest rate swaps and credit default swaps are generally valued by pricing vendors based on market inputs that include the index and term of index, reset frequency, payer/receiver, currency and pay frequency. The average month-end notional amounts of interest rate swaps and credit default swaps while held were $13,686,516,000 and $4,528,839,000, respectively.
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 U.S. Securities and Exchange Commission 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
American Funds Inflation Linked Bond Fund — Page 11 of 13
unaudited
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. 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 facilitated by the investment adviser’s global risk management group.
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. The following tables present the fund’s valuation levels as of February 28, 2022 (dollars in thousands):
Investment securities | ||||
Level 1 | Level 2 | Level 3 | Total | |
Assets: | ||||
Bonds, notes & other debt instruments: | ||||
U.S. Treasury bonds & notes | $— | $12,092,170 | $— | $12,092,170 |
Bonds & notes of governments & government agencies outside the U.S. | — | 666,147 | — | 666,147 |
Corporate bonds, notes & loans | — | 491,854 | — | 491,854 |
Asset-backed obligations | — | 233,911 | 17,536 | 251,447 |
Mortgage-backed obligations | — | 121,532 | — | 121,532 |
Municipals | — | 100,974 | — | 100,974 |
Short-term securities | 263,462 | 247,557 | — | 511,019 |
Total | $263,462 | $13,954,145 | $17,536 | $14,235,143 |
Other investments* | ||||
Level 1 | Level 2 | Level 3 | Total | |
Assets: | ||||
Unrealized appreciation on futures contracts | $104,656 | $— | $— | $104,656 |
Unrealized appreciation on open forward currency contracts | — | 5,098 | — | 5,098 |
Unrealized appreciation on centrally cleared interest rate swaps | — | 148,743 | — | 148,743 |
Unrealized appreciation on credit default swaps | — | 51,628 | — | 51,628 |
Liabilities: | ||||
Unrealized depreciation on futures contracts | (115,327) | — | — | (115,327) |
Unrealized depreciation on open forward currency contracts | — | (33,939) | — | (33,939) |
Unrealized depreciation on centrally cleared interest rate swaps | — | (169,144) | — | (169,144) |
Total | $(10,671) | $2,386 | $— | $(8,285) |
* | Futures contracts, forward currency contracts, interest rate swaps and credit default swaps are not included in the fund’s investment portfolio. |
American Funds Inflation Linked Bond Fund — Page 12 of 13
unaudited
Key to abbreviations and symbols | |
AUD = Australian dollars | JPY/¥ = Japanese yen |
Auth. = Authority | KRW = South Korean won |
BBR = Bank Base Rate | LIBOR = London Interbank Offered Rate |
CAD = Canadian dollars | MXN = Mexican pesos |
CLO = Collateralized Loan Obligations | NOK = Norwegian kroner |
CLP = Chilean pesos | NZD/NZ$ = New Zealand dollars |
CNH/CNY = Chinese yuan renminbi | PHP = Philippine pesos |
COP = Colombian pesos | Ref. = Refunding |
EFFR = Effective Federal Funds Rate | Rev. = Revenue |
EUR/€ = Euros | RUB = Russian rubles |
EURIBOR = Euro Interbank Offered Rate | SEK/SKr = Swedish kronor |
Facs. = Facilities | SOFR = Secured Overnight Financing Rate |
Fin. = Finance | STIBOR = Stockholm Interbank Offered Rate |
FRA = Forward Rate Agreement | TIIE = Equilibrium Interbank Interest Rate |
G.O. = General Obligation | TONAR = Tokyo Overnight Average Rate |
GBP/£ = British pounds | USD/$ = U.S. dollars |
IDR = Indonesian rupiah |
Investments are not FDIC-insured, nor are they deposits of or guaranteed by a bank or any other entity, so they may lose value.
Investors should carefully consider 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 Capital Group website at capitalgroup.com.
All Capital Group trademarks mentioned are owned by The Capital Group Companies, Inc., an affiliated company or fund. All other company and product names mentioned are the property of their respective companies.
American Funds Distributors, Inc., member FINRA.
© 2022 Capital Group. All rights reserved.
MFGEFP1-060-0422O-S85321 | American Funds Inflation Linked Bond Fund — Page 13 of 13 |