Fundamental Investors®
Investment portfolio
September 30, 2024unaudited
Common stocks 97.33% Information technology 25.12% | Shares | Value (000) | |
Broadcom, Inc. | 54,854,089 | $9,462,330 | |
Microsoft Corp. | 18,070,340 | 7,775,667 | |
Taiwan Semiconductor Manufacturing Co., Ltd. | 67,402,000 | 2,057,761 | |
Taiwan Semiconductor Manufacturing Co., Ltd. (ADR) | 6,159,802 | 1,069,773 | |
Apple, Inc. | 9,611,779 | 2,239,545 | |
NVIDIA Corp. | 18,125,413 | 2,201,150 | |
Micron Technology, Inc. | 13,818,759 | 1,433,143 | |
Salesforce, Inc. | 5,052,543 | 1,382,932 | |
MicroStrategy, Inc., Class A1,2 | 6,279,082 | 1,058,653 | |
Shopify, Inc., Class A, subordinate voting shares1 | 11,797,831 | 945,478 | |
Applied Materials, Inc. | 4,540,509 | 917,410 | |
ASML Holding NV (ADR) | 611,004 | 509,119 | |
ASML Holding NV | 451,033 | 376,004 | |
SK hynix, Inc. | 6,537,375 | 880,640 | |
Arista Networks, Inc.1 | 1,528,870 | 586,811 | |
Motorola Solutions, Inc. | 898,289 | 403,898 | |
Dell Technologies, Inc., Class C | 2,955,691 | 350,368 | |
KLA Corp. | 416,357 | 322,431 | |
SAP SE | 1,410,046 | 320,308 | |
Keysight Technologies, Inc.1 | 1,934,546 | 307,457 | |
ServiceNow, Inc.1 | 319,938 | 286,149 | |
Cloudflare, Inc., Class A1 | 3,063,607 | 247,815 | |
Roper Technologies, Inc. | 378,393 | 210,553 | |
CDW Corp. | 599,510 | 135,669 | |
Capgemini SE | 395,631 | 85,701 | |
Samsung Electronics Co., Ltd. | 706,742 | 33,496 | |
Crane NXT, Co. | 350,188 | 19,646 | |
35,619,907 | |||
Industrials 13.82% | |||
TransDigm Group, Inc. | 2,800,676 | 3,996,929 | |
Carrier Global Corp. | 16,011,606 | 1,288,774 | |
General Electric Co. | 6,220,227 | 1,173,010 | |
RTX Corp. | 9,259,868 | 1,121,926 | |
ITT, Inc.3 | 5,551,335 | 829,980 | |
Regal Rexnord Corp.3 | 4,295,536 | 712,543 | |
Ingersoll-Rand, Inc. | 7,134,334 | 700,306 | |
United Rentals, Inc. | 856,311 | 693,381 | |
Ryanair Holdings PLC (ADR) | 14,489,045 | 654,615 | |
Equifax, Inc. | 2,124,480 | 624,300 | |
Quanta Services, Inc. | 2,022,761 | 603,086 | |
Dayforce, Inc.1,3 | 9,221,946 | 564,844 | |
Airbus SE, non-registered shares | 3,558,036 | 520,992 | |
Boeing Co.1 | 3,056,027 | 464,638 | |
Rolls-Royce Holdings PLC1 | 59,646,403 | 421,241 | |
Caterpillar, Inc. | 1,043,777 | 408,242 | |
Fundamental Investors — Page 1 of 9
unaudited
Common stocks (continued) Industrials (continued) | Shares | Value (000) | |
DSV A/S | 1,849,524 | $383,809 | |
Paychex, Inc. | 2,698,860 | 362,160 | |
Northrop Grumman Corp. | 676,459 | 357,218 | |
Union Pacific Corp. | 1,434,191 | 353,499 | |
Schneider Electric SE | 1,299,528 | 343,806 | |
Lifco AB, Class B | 8,992,645 | 296,105 | |
GE Vernova, Inc.1 | 1,119,331 | 285,407 | |
Waste Management, Inc. | 1,113,089 | 231,077 | |
United Airlines Holdings, Inc.1 | 3,992,493 | 227,812 | |
Waste Connections, Inc. | 1,218,770 | 217,940 | |
AMETEK, Inc. | 1,194,052 | 205,031 | |
Comfort Systems USA, Inc. | 453,093 | 176,865 | |
Crane Co. | 1,097,322 | 173,684 | |
Safran SA | 713,020 | 168,238 | |
Eaton Corp. PLC | 505,087 | 167,406 | |
Deere & Co. | 399,673 | 166,796 | |
XPO, Inc.1 | 1,356,729 | 145,862 | |
FedEx Corp. | 484,357 | 132,559 | |
TransUnion | 1,243,526 | 130,197 | |
Lennox International, Inc. | 174,783 | 105,620 | |
Dun & Bradstreet Holdings, Inc. | 8,403,539 | 96,725 | |
SS&C Technologies Holdings, Inc. | 1,060,006 | 78,663 | |
Concentrix Corp. | 324,024 | 16,606 | |
19,601,892 | |||
Health care 12.33% | |||
UnitedHealth Group, Inc. | 5,074,792 | 2,967,129 | |
Novo Nordisk AS, Class B | 18,479,895 | 2,200,461 | |
Eli Lilly and Co. | 2,274,075 | 2,014,694 | |
Thermo Fisher Scientific, Inc. | 1,840,337 | 1,138,377 | |
AstraZeneca PLC | 6,909,206 | 1,076,211 | |
Centene Corp.1 | 9,968,449 | 750,425 | |
Vertex Pharmaceuticals, Inc.1 | 1,487,580 | 691,844 | |
Molina Healthcare, Inc.1 | 1,686,307 | 581,034 | |
Bristol-Myers Squibb Co. | 10,593,542 | 548,110 | |
Alnylam Pharmaceuticals, Inc.1 | 1,882,997 | 517,881 | |
Abbott Laboratories | 4,376,567 | 498,972 | |
Regeneron Pharmaceuticals, Inc.1 | 439,611 | 462,137 | |
Gilead Sciences, Inc. | 4,924,139 | 412,840 | |
AbbVie, Inc. | 1,649,807 | 325,804 | |
CVS Health Corp. | 4,931,310 | 310,081 | |
Amgen, Inc. | 955,556 | 307,890 | |
Illumina, Inc.1 | 2,108,643 | 274,988 | |
Danaher Corp. | 941,418 | 261,733 | |
Elevance Health, Inc. | 498,022 | 258,971 | |
Exact Sciences Corp.1 | 3,498,731 | 238,334 | |
Cooper Companies, Inc.1 | 2,083,632 | 229,908 | |
Mettler-Toledo International, Inc.1 | 137,396 | 206,053 | |
Jazz Pharmaceuticals PLC1 | 1,799,347 | 200,465 | |
Johnson & Johnson | 1,216,962 | 197,221 | |
EssilorLuxottica SA | 740,953 | 175,576 | |
Rede D’Or Sao Luiz SA | 27,494,218 | 156,102 | |
Medpace Holdings, Inc.1 | 432,367 | 144,324 | |
Sarepta Therapeutics, Inc.1 | 1,071,372 | 133,804 | |
agilon health, Inc.1,3 | 22,373,450 | 87,928 | |
Fundamental Investors — Page 2 of 9
unaudited
Common stocks (continued) Health care (continued) | Shares | Value (000) | |
Humana, Inc. | 232,971 | $73,791 | |
McKesson Corp. | 99,549 | 49,219 | |
17,492,307 | |||
Financials 11.79% | |||
Visa, Inc., Class A | 7,057,886 | 1,940,566 | |
Apollo Asset Management, Inc. | 10,916,807 | 1,363,618 | |
Fiserv, Inc.1 | 6,525,890 | 1,172,376 | |
JPMorgan Chase & Co. | 4,826,737 | 1,017,766 | |
Blackstone, Inc. | 6,250,264 | 957,103 | |
Mastercard, Inc., Class A | 1,643,490 | 811,555 | |
KKR & Co., Inc. | 5,239,225 | 684,138 | |
HDFC Bank, Ltd. | 20,124,000 | 416,541 | |
HDFC Bank, Ltd. (ADR) | 4,040,757 | 252,790 | |
Truist Financial Corp. | 14,076,786 | 602,064 | |
Brookfield Corp., Class A | 11,303,707 | 600,792 | |
Aon PLC, Class A | 1,714,929 | 593,348 | |
Marsh & McLennan Companies, Inc. | 2,459,165 | 548,615 | |
Blue Owl Capital, Inc., Class A | 25,752,260 | 498,564 | |
Intercontinental Exchange, Inc. | 2,985,808 | 479,640 | |
Goldman Sachs Group, Inc. | 928,395 | 459,658 | |
Progressive Corp. | 1,576,955 | 400,168 | |
Discover Financial Services | 2,704,490 | 379,413 | |
OneMain Holdings, Inc.3 | 7,780,816 | 366,243 | |
Arthur J. Gallagher & Co. | 1,188,770 | 334,484 | |
Synchrony Financial | 6,664,642 | 332,432 | |
Ares Management Corp., Class A | 1,711,248 | 266,681 | |
BlackRock, Inc. | 273,206 | 259,412 | |
RenaissanceRe Holdings, Ltd. | 948,000 | 258,235 | |
Wells Fargo & Co. | 3,713,472 | 209,774 | |
Bank of America Corp. | 5,036,204 | 199,837 | |
Brown & Brown, Inc. | 1,750,000 | 181,300 | |
Chubb, Ltd. | 609,473 | 175,766 | |
CME Group, Inc., Class A | 741,309 | 163,570 | |
S&P Global, Inc. | 304,576 | 157,350 | |
Arch Capital Group, Ltd.1 | 1,128,438 | 126,250 | |
Capital One Financial Corp. | 834,317 | 124,922 | |
Citizens Financial Group, Inc. | 2,954,728 | 121,351 | |
Edenred SA | 2,185,976 | 82,924 | |
Morgan Stanley | 685,064 | 71,411 | |
Fidelity National Information Services, Inc. | 772,080 | 64,662 | |
Charles Schwab Corp. (The) | 401,832 | 26,043 | |
Checkout Payments Group, Ltd., Class B1,4,5 | 159,760 | 14,354 | |
16,715,716 | |||
Consumer discretionary 8.79% | |||
Amazon.com, Inc.1 | 19,719,544 | 3,674,343 | |
Restaurant Brands International, Inc. | 13,668,823 | 985,796 | |
Coupang, Inc., Class A1 | 35,955,395 | 882,705 | |
Home Depot, Inc. | 1,813,725 | 734,921 | |
Starbucks Corp. | 6,798,866 | 662,821 | |
Booking Holdings, Inc. | 152,477 | 642,251 | |
Evolution AB | 5,861,826 | 576,132 | |
MercadoLibre, Inc.1 | 245,539 | 503,836 | |
YUM! Brands, Inc. | 2,885,862 | 403,184 | |
Fundamental Investors — Page 3 of 9
unaudited
Common stocks (continued) Consumer discretionary (continued) | Shares | Value (000) | |
Tesla, Inc.1 | 1,242,844 | $325,165 | |
D.R. Horton, Inc. | 1,655,119 | 315,747 | |
Royal Caribbean Cruises, Ltd. | 1,678,100 | 297,628 | |
Chipotle Mexican Grill, Inc.1 | 5,114,653 | 294,706 | |
Amadeus IT Group SA, Class A, non-registered shares | 4,019,909 | 290,149 | |
Hilton Worldwide Holdings, Inc. | 1,188,384 | 273,923 | |
NIKE, Inc., Class B | 3,007,100 | 265,828 | |
Flutter Entertainment PLC1 | 999,183 | 237,086 | |
Caesars Entertainment, Inc.1 | 3,998,587 | 166,901 | |
Norwegian Cruise Line Holdings, Ltd.1 | 8,127,982 | 166,705 | |
Darden Restaurants, Inc. | 920,025 | 151,004 | |
Burlington Stores, Inc.1 | 565,434 | 148,981 | |
LVMH Moët Hennessy-Louis Vuitton SE | 132,499 | 101,761 | |
B&M European Value Retail SA | 16,103,562 | 89,440 | |
General Motors Co. | 1,491,677 | 66,887 | |
Domino’s Pizza, Inc. | 139,681 | 60,082 | |
Tractor Supply Co. | 185,136 | 53,862 | |
Mattel, Inc.1 | 1,758,895 | 33,507 | |
Ferrari NV (EUR denominated) | 58,434 | 27,371 | |
Churchill Downs, Inc. | 177,206 | 23,960 | |
Trainline PLC1 | 2,474,648 | 10,955 | |
12,467,637 | |||
Communication services 7.82% | |||
Meta Platforms, Inc., Class A | 7,000,979 | 4,007,640 | |
Alphabet, Inc., Class C | 20,757,001 | 3,470,363 | |
Alphabet, Inc., Class A | 2,602,035 | 431,547 | |
Netflix, Inc.1 | 1,066,118 | 756,166 | |
Comcast Corp., Class A | 17,800,108 | 743,510 | |
Publicis Groupe SA | 5,814,524 | 636,294 | |
Charter Communications, Inc., Class A1 | 1,079,007 | 349,685 | |
Warner Music Group Corp., Class A | 6,641,490 | 207,879 | |
AT&T, Inc. | 6,705,363 | 147,518 | |
Electronic Arts, Inc. | 968,670 | 138,946 | |
Take-Two Interactive Software, Inc.1 | 722,759 | 111,095 | |
T-Mobile US, Inc. | 449,016 | 92,659 | |
11,093,302 | |||
Consumer staples 6.88% | |||
Philip Morris International, Inc. | 36,310,851 | 4,408,137 | |
British American Tobacco PLC | 31,965,790 | 1,165,693 | |
British American Tobacco PLC (ADR) | 550,310 | 20,130 | |
Performance Food Group Co.1,3 | 10,042,012 | 786,992 | |
Keurig Dr Pepper, Inc. | 16,648,339 | 623,980 | |
Altria Group, Inc. | 11,825,252 | 603,561 | |
Nestlé SA | 4,392,689 | 442,708 | |
Bunge Global SA | 2,772,804 | 267,964 | |
Church & Dwight Co., Inc. | 2,553,711 | 267,425 | |
Dollar General Corp. | 2,856,297 | 241,557 | |
Imperial Brands PLC | 6,527,756 | 189,869 | |
Constellation Brands, Inc., Class A | 719,158 | 185,320 | |
Target Corp. | 1,115,454 | 173,855 | |
Procter & Gamble Co. | 863,653 | 149,585 | |
Mondelez International, Inc., Class A | 1,916,263 | 141,171 | |
Fundamental Investors — Page 4 of 9
unaudited
Common stocks (continued) Consumer staples (continued) | Shares | Value (000) | |
Danone SA | 698,585 | $50,869 | |
Monster Beverage Corp.1 | 622,989 | 32,501 | |
9,751,317 | |||
Energy 3.15% | |||
Canadian Natural Resources, Ltd. (CAD denominated) | 36,984,162 | 1,228,111 | |
EOG Resources, Inc. | 6,063,089 | 745,336 | |
ConocoPhillips | 4,982,266 | 524,533 | |
Cenovus Energy, Inc. (CAD denominated) | 29,921,394 | 500,441 | |
Exxon Mobil Corp. | 4,268,197 | 500,318 | |
Schlumberger NV | 7,039,899 | 295,324 | |
EQT Corp. | 5,267,114 | 192,987 | |
Chevron Corp. | 1,308,883 | 192,759 | |
Halliburton Co. | 5,303,900 | 154,078 | |
TotalEnergies SE | 1,154,888 | 74,855 | |
TC Energy Corp. (CAD denominated)2 | 1,118,234 | 53,156 | |
4,461,898 | |||
Materials 3.01% | |||
Linde PLC | 1,454,322 | 693,508 | |
Wheaton Precious Metals Corp. | 10,001,744 | 610,906 | |
Grupo México, SAB de CV, Series B | 106,915,100 | 596,042 | |
Glencore PLC | 79,989,485 | 458,062 | |
Freeport-McMoRan, Inc. | 6,848,259 | 341,865 | |
Celanese Corp. | 1,890,367 | 257,014 | |
Royal Gold, Inc. | 1,803,498 | 253,031 | |
LyondellBasell Industries NV | 2,375,139 | 227,776 | |
Vale SA, ordinary nominative shares | 17,717,000 | 206,547 | |
Westlake Corp. | 1,271,539 | 191,100 | |
First Quantum Minerals, Ltd.1 | 12,420,399 | 169,346 | |
Lundin Mining Corp. | 12,929,703 | 135,468 | |
Mosaic Co. | 5,050,591 | 135,255 | |
4,275,920 | |||
Utilities 2.99% | |||
Constellation Energy Corp. | 5,904,850 | 1,535,379 | |
FirstEnergy Corp. | 20,635,816 | 915,198 | |
PG&E Corp. | 19,403,587 | 383,609 | |
CenterPoint Energy, Inc. | 12,253,505 | 360,498 | |
AES Corp. | 16,468,007 | 330,348 | |
Brookfield Infrastructure Partners, LP | 7,000,000 | 245,695 | |
Southern Co. (The) | 2,668,351 | 240,632 | |
Edison International | 2,685,908 | 233,916 | |
4,245,275 | |||
Real estate 1.63% | |||
Welltower, Inc. REIT | 5,468,241 | 700,099 | |
Extra Space Storage, Inc. REIT | 3,134,149 | 564,742 | |
VICI Properties, Inc. REIT | 14,547,070 | 484,563 | |
Rexford Industrial Realty, Inc. REIT | 5,818,242 | 292,716 | |
Mid-America Apartment Communities, Inc. REIT | 1,205,887 | 191,615 | |
Crown Castle, Inc. REIT | 681,443 | 80,840 | |
2,314,575 | |||
Total common stocks (cost: $71,047,332,000) | 138,039,746 | ||
Fundamental Investors — Page 5 of 9
unaudited
Short-term securities 2.73% Money market investments 2.69% | Shares | Value (000) | |
Capital Group Central Cash Fund 5.09%3,6 | 38,182,228 | $3,818,986 | |
Money market investments purchased with collateral from securities on loan 0.04% | |||
State Street Institutional U.S. Government Money Market Fund, Institutional Class 4.91%6,7 | 52,441,672 | 52,442 | |
Total short-term securities (cost: $3,870,715,000) | 3,871,428 | ||
Total investment securities 100.06% (cost: $74,918,047,000) | 141,911,174 | ||
Other assets less liabilities (0.06)% | (85,607 ) | ||
Net assets 100.00% | $141,825,567 | ||
Investments in affiliates3
Value at 1/1/2024 (000) | Additions (000) | Reductions (000) | Net realized gain (loss) (000) | Net unrealized appreciation (depreciation) (000) | Value at 9/30/2024 (000) | Dividend or interest income (000) | |
Common stocks 2.36% | |||||||
Industrials 1.49% | |||||||
ITT, Inc. | $663,488 | $— | $1,192 | $413 | $167,271 | $829,980 | $5,316 |
Regal Rexnord Corp. | 587,426 | 48,959 | 983 | 513 | 76,628 | 712,543 | 4,472 |
Dayforce, Inc.1,8 | 436,832 | 178,079 | 856 | 179 | (49,390 ) | 564,844 | — |
2,107,367 | |||||||
Health care 0.06% | |||||||
agilon health, Inc.1 | 179,784 | 53,341 | 180 | (100 ) | (144,917 ) | 87,928 | — |
Financials 0.26% | |||||||
OneMain Holdings, Inc. | 340,119 | 43,513 | 618 | 36 | (16,807 ) | 366,243 | 23,978 |
Consumer discretionary 0.00% | |||||||
Trainline PLC1,9 | 127,577 | — | 119,338 | (13,620 ) | 16,336 | — | — |
Consumer staples 0.55% | |||||||
Performance Food Group Co.1 | 695,561 | — | 1,180 | 286 | 92,325 | 786,992 | — |
Materials 0.00% | |||||||
Mosaic Co.9 | 585,581 | — | 348,749 | (226,966 ) | 125,389 | — | 4,273 |
Utilities 0.00% | |||||||
AES Corp.9 | 719,867 | 84,818 | 395,009 | (58,350 ) | (20,978 ) | — | 12,864 |
Total common stocks | 3,348,530 | ||||||
Convertible stocks 0.00% | |||||||
Utilities 0.00% | |||||||
AES Corp., convertible preferred units, 6.875% 2/15/202410 | 48,695 | — | 63,988 | (17 ) | 15,310 | — | 1,099 |
Short-term securities 2.69% | |||||||
Money market investments 2.69% | |||||||
Capital Group Central Cash Fund 5.09%6 | 2,550,860 | 13,964,027 | 12,696,658 | (85 ) | 842 | 3,818,986 | 146,655 |
Money market investments purchased with collateral from securities on loan 0.00% | |||||||
Capital Group Central Cash Fund 5.09%6 | 18,867 | 18,867 11 | — | — 12 | |||
Total short-term securities | 3,818,986 | ||||||
Total 5.05% | $(297,711 ) | $262,009 | $7,167,516 | $198,657 | |||
Fundamental Investors — Page 6 of 9
unaudited
Restricted securities5
Acquisition date(s) | Cost (000) | Value (000) | Percent of net assets | |
Checkout Payments Group, Ltd., Class B1,4 | 1/11/2022 | $49,613 | $14,354 | .01 % |
1 | Security did not produce income during the last 12 months. |
2 | All or a portion of this security was on loan. The total value of all such securities was $55,584,000, which represented .04% of the net assets of the fund. |
3 | Affiliate of the fund or part of the same “group of investment companies“ as the fund, as defined under the Investment Company Act of 1940, as amended. |
4 | Value determined using significant unobservable inputs. |
5 | Restricted security, other than Rule 144A securities or commercial paper issued pursuant to Section 4(a)(2) of the Securities Act of 1933. The total value of all such restricted securities was $14,354,000, which represented .01% of the net assets of the fund. |
6 | Rate represents the seven-day yield at 9/30/2024. |
7 | Security purchased with cash collateral from securities on loan. |
8 | This security changed its name during the reporting period. |
9 | Affiliated issuer during the reporting period but no longer an affiliate at 9/30/2024. Refer to the investment portfolio for the security value at 9/30/2024. |
10 | Affiliated issuer during the reporting period but no longer held at 9/30/2024. |
11 | Represents net activity. |
12 | Dividend income is included with securities lending income and is not shown in this table. |
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. Assets and liabilities, including investment securities, denominated in currencies other than U.S. dollars are translated into U.S. dollars at the exchange rates supplied by one or more pricing vendors on the valuation date.
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.
Equity securities, including depositary receipts, are generally valued at the official closing price of, or the last reported sale price on, the exchange or market on which such securities are traded, as of the close of business on the day the securities are being valued or, lacking any sales, at the last available bid price. Prices for each security are taken from the principal exchange or market on which the security trades.
Fixed-income securities, including short-term securities, are generally valued at evaluated prices obtained from third-party 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 |
Fundamental Investors — Page 7 of 9
unaudited
Securities with both fixed-income and equity characteristics, or equity securities traded principally among fixed-income dealers, are generally valued in the manner described for either equity or fixed-income securities, depending on which method is deemed most appropriate by the fund’s investment adviser. 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.
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 the fund’s investment adviser and approved by the 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, restrictions on resale of the security, relevant financial or business developments of the issuer, actively traded similar or related securities, dealer or broker quotes, 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 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 designated 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 “Committee”) to administer, implement and oversee the fair valuation process and to make fair value decisions. The Committee regularly reviews its own fair value decisions, as well as decisions made under its standing instructions to the investment adviser’s valuation team. The Committee reviews changes in fair value measurements from period to period, pricing vendor information and market data, and may, as deemed appropriate, update the fair valuation guidelines to better reflect the results of back testing and address new or evolving issues. 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. The Committee reports 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.
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 table presents the fund’s valuation levels as of September 30, 2024 (dollars in thousands):
Investment securities | ||||
Level 1 | Level 2 | Level 3 | Total | |
Assets: | ||||
Common stocks: | ||||
Information technology | $31,865,997 | $3,753,910 | $— | $35,619,907 |
Industrials | 17,467,701 | 2,134,191 | — | 19,601,892 |
Health care | 14,040,059 | 3,452,248 | — | 17,492,307 |
Financials | 16,201,897 | 499,465 | 14,354 | 16,715,716 |
Consumer discretionary | 11,371,829 | 1,095,808 | — | 12,467,637 |
Communication services | 10,457,008 | 636,294 | — | 11,093,302 |
Consumer staples | 7,902,178 | 1,849,139 | — | 9,751,317 |
Energy | 4,387,043 | 74,855 | — | 4,461,898 |
Materials | 3,817,858 | 458,062 | — | 4,275,920 |
Utilities | 4,245,275 | — | — | 4,245,275 |
Real estate | 2,314,575 | — | — | 2,314,575 |
Short-term securities | 3,871,428 | — | — | 3,871,428 |
Total | $127,942,848 | $13,953,972 | $14,354 | $141,911,174 |
Fundamental Investors — Page 8 of 9
unaudited
Key to abbreviation(s) |
ADR = American Depositary Receipts |
CAD = Canadian dollars |
EUR = Euros |
REIT = Real Estate Investment Trust |
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.
Capital Client Group, Inc., member FINRA.
© 2024 Capital Group. All rights reserved.
MFGEFP3-010-1124
Fundamental Investors — Page 9 of 9