Capital World Growth and Income Fund®
Investment portfolio
February 29, 2020
unaudited
Common stocks 92.27% Financials 13.88% | Shares | Value (000) |
AIA Group Ltd.1 | 121,174,296 | $1,171,937 |
CME Group Inc., Class A | 5,849,662 | 1,163,030 |
Zurich Insurance Group AG1 | 2,609,966 | 1,015,717 |
Kotak Mahindra Bank Ltd.1 | 36,412,279 | 825,566 |
Sberbank of Russia PJSC (ADR)1 | 47,068,959 | 667,601 |
JPMorgan Chase & Co. | 4,728,789 | 549,060 |
HDFC Bank Ltd.1 | 31,461,052 | 517,433 |
HDFC Bank Ltd. (ADR) | 557,903 | 30,601 |
Ping An Insurance (Group) Co. of China, Ltd., Class H1 | 37,376,500 | 418,392 |
Ping An Insurance (Group) Co. of China, Ltd., Class A1 | 3,521,594 | 39,575 |
B3 SA - Brasil, Bolsa, Balcao | 36,747,300 | 394,434 |
Sony Financial Holdings Inc.1 | 15,267,300 | 303,919 |
Prudential PLC1 | 17,773,907 | 292,128 |
Nasdaq, Inc. | 2,475,959 | 253,910 |
Aon PLC, Class A | 1,219,793 | 253,717 |
HDFC Life Insurance Co. Ltd.1 | 33,123,474 | 251,175 |
American International Group, Inc. | 5,817,488 | 245,265 |
Barclays PLC1 | 125,205,000 | 242,321 |
M&G PLC1,2 | 92,827,318 | 238,418 |
Deutsche Boerse AG1 | 1,412,559 | 222,497 |
Chubb Ltd. | 1,368,279 | 198,441 |
London Stock Exchange Group PLC1 | 1,972,036 | 192,894 |
Discover Financial Services | 2,888,650 | 189,438 |
BNP Paribas SA1 | 3,790,625 | 185,216 |
Intercontinental Exchange, Inc. | 2,024,648 | 180,639 |
AXA SA1 | 7,696,214 | 179,157 |
Macquarie Group Ltd.1 | 2,051,760 | 177,689 |
DBS Group Holdings Ltd.1 | 10,151,419 | 177,268 |
Banco Santander, SA1 | 41,609,600 | 154,517 |
Power Corp. of Canada, subordinate voting shares | 6,498,869 | 143,655 |
Julius Baer Group Ltd.1 | 3,182,797 | 133,706 |
Hong Kong Exchanges and Clearing Ltd.1 | 3,830,000 | 126,666 |
Deutsche Bank AG1 | 14,504,866 | 126,332 |
Wells Fargo & Co. | 3,071,804 | 125,483 |
Toronto-Dominion Bank (CAD denominated) | 2,364,589 | 121,625 |
St. James’s Place PLC1 | 7,756,000 | 102,306 |
Moody’s Corp. | 375,000 | 90,011 |
Intesa Sanpaolo SpA1 | 35,788,500 | 87,151 |
BOC Hong Kong (Holdings) Ltd.1 | 24,863,000 | 85,910 |
Legal & General Group PLC1 | 25,060,000 | 84,517 |
FinecoBank SpA1 | 7,750,000 | 81,969 |
Bank Rakyat Indonesia (Persero) Tbk PT1 | 268,867,700 | 78,499 |
MarketAxess Holdings Inc. | 215,463 | 69,881 |
Société Générale1 | 2,397,225 | 68,370 |
The Blackstone Group Inc., Class A | 1,231,786 | 66,319 |
Housing Development Finance Corp. Ltd.1 | 2,105,838 | 63,782 |
Bank of Montreal | 936,947 | 63,668 |
Capital World Growth and Income Fund — Page 1 of 11
unaudited
Common stocks (continued) Financials (continued) | Shares | Value (000) |
Principal Financial Group, Inc. | 1,429,751 | $63,467 |
TMX Group Ltd. | 740,000 | 61,587 |
Ares Management Corp., Class A | 1,661,711 | 57,479 |
Standard Bank Group Ltd.1 | 5,848,178 | 56,144 |
The People’s Insurance Co. (Group) of China Ltd., Class H1 | 127,648,000 | 45,533 |
ABN AMRO Bank NV, depository receipts1 | 3,017,475 | 42,255 |
Credit Suisse Group AG1 | 3,406,407 | 38,598 |
Marsh & McLennan Companies, Inc. | 367,000 | 38,374 |
UniCredit SpA1 | 2,900,000 | 37,325 |
Hiscox Ltd.1 | 1,790,848 | 28,436 |
12,921,003 | ||
Information technology 13.80% | ||
Microsoft Corp. | 16,976,717 | 2,750,398 |
Broadcom Inc. | 8,083,703 | 2,203,779 |
Taiwan Semiconductor Manufacturing Co., Ltd.1 | 143,274,000 | 1,469,025 |
ASML Holding NV1 | 3,513,348 | 973,067 |
Mastercard Inc., Class A | 2,904,581 | 843,055 |
Samsung Electronics Co., Ltd.1 | 10,576,100 | 478,463 |
Tokyo Electron Ltd.1 | 2,237,600 | 459,936 |
Apple Inc. | 1,520,136 | 415,544 |
Accenture PLC, Class A | 1,960,659 | 354,075 |
Visa Inc., Class A | 1,698,869 | 308,786 |
Keyence Corp.1 | 819,800 | 264,487 |
Intel Corp. | 4,670,131 | 259,286 |
Adobe Inc.2 | 690,380 | 238,264 |
Jack Henry & Associates, Inc. | 1,309,772 | 198,745 |
Logitech International SA1 | 5,056,000 | 198,079 |
EPAM Systems, Inc.2 | 831,504 | 185,592 |
RingCentral, Inc., Class A2 | 652,886 | 153,918 |
ServiceNow, Inc.2 | 361,077 | 117,744 |
Amadeus IT Group SA, Class A, non-registered shares1 | 1,611,819 | 114,202 |
OBIC Co., Ltd.1 | 903,000 | 110,989 |
Sabre Corp. | 7,603,422 | 103,521 |
Temenos AG1 | 680,948 | 98,008 |
Ceridian HCM Holding Inc.2 | 1,299,567 | 91,918 |
Ingenico Group SA1 | 618,000 | 87,578 |
Capgemini SE1 | 669,883 | 73,902 |
Largan Precision Co., Ltd.1 | 517,000 | 73,351 |
Worldline SA, non-registered shares1,2 | 869,849 | 67,288 |
salesforce.com, inc.2 | 265,954 | 45,319 |
Automatic Data Processing, Inc. | 249,957 | 38,678 |
Fidelity National Information Services, Inc. | 255,093 | 35,642 |
Western Union Co. | 1,407,755 | 31,520 |
12,844,159 | ||
Health care 12.04% | ||
UnitedHealth Group Inc. | 5,882,793 | 1,499,877 |
Novartis AG1 | 13,423,393 | 1,126,884 |
Abbott Laboratories | 14,181,984 | 1,092,438 |
Amgen Inc. | 5,061,262 | 1,010,886 |
Thermo Fisher Scientific Inc. | 2,782,516 | 809,156 |
Gilead Sciences, Inc. | 10,286,955 | 713,503 |
AbbVie Inc. | 6,807,873 | 583,503 |
AstraZeneca PLC1 | 6,414,269 | 561,475 |
Capital World Growth and Income Fund — Page 2 of 11
unaudited
Common stocks (continued) Health care (continued) | Shares | Value (000) |
Stryker Corp. | 2,662,192 | $507,387 |
Pfizer Inc. | 12,804,444 | 427,924 |
Daiichi Sankyo Co., Ltd.1 | 5,774,600 | 351,519 |
Chugai Pharmaceutical Co., Ltd.1 | 2,559,358 | 276,865 |
Boston Scientific Corp.2 | 7,398,713 | 276,638 |
Centene Corp.2 | 4,257,646 | 225,740 |
Coloplast A/S, Class B1 | 1,473,781 | 199,073 |
Cigna Corp. | 948,396 | 173,500 |
Koninklijke Philips NV (EUR denominated)1 | 3,350,918 | 144,039 |
Merck & Co., Inc. | 1,753,140 | 134,220 |
Humana Inc. | 414,928 | 132,644 |
Teva Pharmaceutical Industries Ltd. (ADR)2 | 10,194,816 | 117,546 |
Alcon Inc.1,2 | 1,607,120 | 98,633 |
Johnson & Johnson | 720,000 | 96,826 |
M3, Inc.1 | 3,740,700 | 96,209 |
Illumina, Inc.2 | 355,320 | 94,398 |
Vertex Pharmaceuticals Inc.2 | 374,935 | 83,997 |
GlaxoSmithKline PLC1 | 4,095,607 | 82,532 |
Intuitive Surgical, Inc.2 | 141,400 | 75,502 |
Zoetis Inc., Class A | 541,119 | 72,093 |
Hypera SA, ordinary nominative | 7,895,000 | 60,556 |
Bluebird Bio, Inc.2 | 695,879 | 50,333 |
PerkinElmer, Inc. | 354,844 | 30,673 |
11,206,569 | ||
Consumer discretionary 10.55% | ||
Amazon.com, Inc.2 | 547,505 | 1,031,363 |
Home Depot, Inc. | 4,602,836 | 1,002,682 |
LVMH Moët Hennessy-Louis Vuitton SE1 | 2,296,200 | 947,363 |
Alibaba Group Holding Ltd. (ADR)2 | 2,417,411 | 502,821 |
Alibaba Group Holding Ltd.1,2 | 16,945,520 | 440,939 |
Ocado Group PLC1,2,3 | 41,909,205 | 579,499 |
General Motors Co. | 14,558,892 | 444,046 |
NIKE, Inc., Class B | 4,163,276 | 372,114 |
adidas AG1 | 1,002,585 | 279,339 |
Norwegian Cruise Line Holdings Ltd.2 | 7,360,719 | 274,260 |
MercadoLibre, Inc.2 | 438,838 | 270,337 |
Hyundai Motor Co.1 | 2,811,651 | 268,888 |
Marriott International, Inc., Class A | 2,143,220 | 265,759 |
Naspers Ltd., Class N1 | 1,659,829 | 262,531 |
Flutter Entertainment PLC (EUR denominated)1 | 2,406,949 | 255,679 |
McDonald’s Corp. | 999,826 | 194,136 |
Kering SA1 | 295,949 | 169,921 |
Shimano Inc.1 | 1,151,000 | 160,748 |
Domino’s Pizza, Inc. | 423,926 | 143,906 |
EssilorLuxottica1 | 1,043,218 | 143,788 |
Wynn Macau, Ltd.1 | 69,402,800 | 141,365 |
Meituan Dianping, Class B1,2 | 10,899,100 | 139,534 |
Royal Caribbean Cruises Ltd. | 1,690,000 | 135,893 |
Restaurant Brands International Inc. (CAD denominated) | 2,299,600 | 135,535 |
Petrobras Distribuidora S.A. | 22,625,300 | 132,051 |
Sony Corp.1 | 1,940,700 | 120,096 |
Taylor Wimpey PLC1 | 43,350,000 | 113,765 |
Lowe’s Companies, Inc. | 1,016,823 | 108,363 |
Moncler SpA1 | 2,570,000 | 100,444 |
Capital World Growth and Income Fund — Page 3 of 11
unaudited
Common stocks (continued) Consumer discretionary (continued) | Shares | Value (000) |
Fast Retailing Co., Ltd.1 | 163,000 | $80,324 |
Dollar Tree Stores, Inc.2 | 959,056 | 79,630 |
Industria de Diseño Textil, SA1 | 2,433,777 | 75,748 |
Nokian Renkaat Oyj1 | 2,788,000 | 72,499 |
Just Eat Takeaway (GBP denominated)1,2 | 793,132 | 69,303 |
Peugeot SA1 | 3,235,000 | 63,079 |
Ryohin Keikaku Co., Ltd.1 | 4,534,000 | 61,579 |
Compass Group PLC1 | 2,338,593 | 51,345 |
InterContinental Hotels Group PLC1 | 794,321 | 43,733 |
Las Vegas Sands Corp. | 611,894 | 35,680 |
Burberry Group PLC1 | 1,137,802 | 24,857 |
Melco Resorts & Entertainment Ltd. (ADR) | 1,430,751 | 24,809 |
9,819,751 | ||
Communication services 9.41% | ||
Netflix, Inc.2 | 4,550,372 | 1,679,224 |
Alphabet Inc., Class C2 | 743,220 | 995,417 |
Alphabet Inc., Class A2 | 493,995 | 661,583 |
Facebook, Inc., Class A2 | 8,416,568 | 1,619,937 |
Yandex NV, Class A2 | 11,143,117 | 452,522 |
Activision Blizzard, Inc. | 6,542,362 | 380,307 |
Altice USA, Inc., Class A2 | 13,036,816 | 337,132 |
Altice USA, Inc., Class B1,2 | 1,616,182 | 41,795 |
Comcast Corp., Class A | 8,501,526 | 343,717 |
SoftBank Group Corp.1 | 7,263,400 | 334,629 |
Tencent Holdings Ltd.1 | 5,696,100 | 280,962 |
NetEase, Inc. (ADR) | 734,211 | 234,000 |
LG Uplus Corp.1 | 20,883,307 | 227,980 |
ITV PLC1 | 111,869,722 | 168,978 |
Nintendo Co., Ltd.1 | 480,800 | 164,055 |
Cellnex Telecom, SA, non-registered shares1 | 3,109,128 | 152,123 |
Z Holding Corp.1 | 38,616,000 | 139,602 |
SK Telecom Co., Ltd.1 | 640,000 | 112,315 |
Daily Mail and General Trust PLC, Class A, nonvoting shares1 | 10,472,107 | 100,015 |
Nippon Telegraph and Telephone Corp.1 | 3,381,400 | 79,109 |
TELUS Corp. | 1,680,000 | 60,629 |
Shaw Communications Inc., Class B, nonvoting shares | 3,142,000 | 54,378 |
ProSiebenSat.1 Media SE1 | 4,275,588 | 51,965 |
Verizon Communications Inc. | 888,500 | 48,121 |
KDDI Corp.1 | 911,800 | 25,768 |
Bharti Infratel Ltd.1 | 5,580,028 | 16,704 |
8,762,967 | ||
Industrials 8.73% | ||
Airbus SE, non-registered shares1 | 10,623,615 | 1,298,463 |
CSX Corp. | 9,888,811 | 696,667 |
Lockheed Martin Corp. | 1,795,368 | 664,053 |
Recruit Holdings Co., Ltd.1 | 15,077,800 | 523,560 |
Boeing Co. | 1,857,233 | 510,943 |
Northrop Grumman Corp. | 1,184,794 | 389,608 |
Stanley Black & Decker, Inc. | 2,425,478 | 348,541 |
Aena SME, SA, non-registered shares1 | 1,879,872 | 302,599 |
Honeywell International Inc. | 1,833,899 | 297,403 |
General Dynamics Corp. | 1,644,714 | 262,644 |
SMC Corp.1 | 611,900 | 242,706 |
Capital World Growth and Income Fund — Page 4 of 11
unaudited
Common stocks (continued) Industrials (continued) | Shares | Value (000) |
MTU Aero Engines AG1 | 906,542 | $221,545 |
CCR SA, ordinary nominative | 60,613,000 | 221,340 |
Safran SA1 | 1,534,733 | 213,213 |
International Consolidated Airlines Group, SA (CDI)1 | 33,117,803 | 207,157 |
L3Harris Technologies, Inc. | 1,034,602 | 204,572 |
Melrose Industries PLC1 | 69,916,686 | 190,800 |
ASSA ABLOY AB, Class B1 | 8,364,445 | 188,001 |
VINCI SA1 | 1,804,186 | 183,518 |
TransDigm Group Inc. | 314,945 | 175,680 |
Union Pacific Corp. | 954,845 | 152,594 |
Rheinmetall AG1 | 1,279,777 | 117,088 |
Komatsu Ltd.1 | 5,735,000 | 115,134 |
Bunzl PLC1 | 4,129,981 | 100,386 |
DSV Panalpina A/S1 | 923,495 | 93,258 |
Nidec Corp.1 | 630,000 | 74,182 |
BAE Systems PLC1 | 6,330,898 | 50,183 |
Jardine Matheson Holdings Ltd.1 | 686,900 | 37,558 |
ALD SA1 | 2,683,535 | 35,801 |
J.B. Hunt Transport Services, Inc. | 95,233 | 9,184 |
8,128,381 | ||
Consumer staples 7.01% | ||
Nestlé SA1 | 13,618,124 | 1,410,932 |
British American Tobacco PLC1 | 28,698,231 | 1,140,462 |
British American Tobacco PLC (ADR) | 6,619,909 | 263,472 |
Philip Morris International Inc. | 10,381,878 | 849,964 |
Altria Group, Inc. | 12,179,054 | 491,669 |
Keurig Dr Pepper Inc. | 13,330,681 | 371,659 |
Imperial Brands PLC1 | 16,220,064 | 328,365 |
Kirin Holdings Co., Ltd.1 | 14,154,500 | 271,081 |
Pernod Ricard SA1 | 1,635,998 | 266,426 |
Constellation Brands, Inc., Class A | 1,531,824 | 264,056 |
Kweichow Moutai Co., Ltd., Class A1 | 1,271,599 | 193,781 |
Thai Beverage PCL1 | 321,817,400 | 181,611 |
Coca-Cola Co. | 3,372,313 | 180,385 |
Anheuser-Busch InBev SA/NV1 | 3,069,671 | 173,756 |
Hormel Foods Corp. | 1,337,721 | 55,649 |
Treasury Wine Estates Ltd.1 | 6,328,814 | 45,499 |
Kroger Co. | 1,505,338 | 42,345 |
6,531,112 | ||
Energy 5.02% | ||
Royal Dutch Shell PLC, Class B1 | 28,299,126 | 614,539 |
Royal Dutch Shell PLC, Class A (GBP denominated)1 | 8,248,553 | 178,926 |
Royal Dutch Shell PLC, Class B (ADR) | 344,740 | 15,351 |
Royal Dutch Shell PLC, Class A (ADR) | 45,681 | 2,011 |
Royal Dutch Shell PLC, Class A (EUR denominated)1 | 15,499 | 340 |
Canadian Natural Resources, Ltd. (CAD denominated) | 24,451,410 | 629,388 |
EOG Resources, Inc. | 6,931,795 | 438,505 |
TC Energy Corp. (CAD denominated) | 8,055,392 | 419,859 |
TOTAL SA1 | 8,411,221 | 360,416 |
Gazprom PJSC (ADR)1 | 57,312,812 | 348,374 |
BP PLC1 | 60,113,487 | 311,376 |
Exxon Mobil Corp. | 4,008,332 | 206,189 |
Galp Energia, SGPS, SA, Class B1 | 14,049,349 | 192,853 |
Capital World Growth and Income Fund — Page 5 of 11
unaudited
Common stocks (continued) Energy (continued) | Shares | Value (000) |
Enbridge Inc. (CAD denominated) | 3,919,318 | $145,881 |
Chevron Corp. | 1,499,739 | 139,986 |
Suncor Energy Inc. | 4,749,174 | 130,879 |
Noble Energy, Inc. | 6,573,926 | 104,065 |
Petróleo Brasileiro SA (Petrobras), ordinary nominative (ADR) | 8,570,000 | 103,697 |
ConocoPhillips | 1,855,000 | 89,819 |
CNOOC Ltd.1 | 61,814,000 | 85,244 |
ONEOK, Inc. | 1,218,314 | 81,286 |
China Petroleum & Chemical Corp., Class H1 | 88,384,000 | 45,865 |
Baker Hughes Co., Class A | 1,819,683 | 29,279 |
4,674,128 | ||
Utilities 4.90% | ||
Enel SpA1 | 117,410,795 | 983,150 |
E.ON SE1 | 71,370,270 | 824,140 |
China Resources Gas Group Ltd.1 | 66,160,000 | 331,674 |
Ørsted AS1 | 2,722,048 | 280,115 |
Iberdrola, SA, non-registered shares1 | 20,763,908 | 237,656 |
SSE PLC1 | 10,686,625 | 211,071 |
Guangdong Investment Ltd.1 | 111,250,000 | 210,313 |
Dominion Energy, Inc. | 2,499,565 | 195,416 |
CMS Energy Corp. | 3,045,470 | 184,007 |
DTE Energy Co. | 1,606,720 | 179,422 |
Sempra Energy | 1,099,809 | 153,731 |
ENGIE SA1 | 8,412,174 | 140,790 |
American Electric Power Co., Inc. | 1,255,000 | 112,021 |
NextEra Energy, Inc. | 438,926 | 110,943 |
ENN Energy Holdings Ltd.1 | 9,143,400 | 102,462 |
Public Service Enterprise Group Inc. | 1,954,660 | 100,294 |
China Gas Holdings Ltd.1 | 26,578,200 | 97,790 |
Naturgy Energy Group, SA1 | 3,398,813 | 79,536 |
AES Corp. | 1,836,558 | 30,726 |
4,565,257 | ||
Real estate 3.78% | ||
American Tower Corp. REIT | 2,845,554 | 645,372 |
China Overseas Land & Investment Ltd.1 | 138,165,000 | 467,434 |
Crown Castle International Corp. REIT | 3,072,618 | 440,275 |
Longfor Group Holdings Ltd.1 | 86,599,500 | 403,898 |
Digital Realty Trust, Inc. REIT | 2,818,510 | 338,531 |
China Resources Land Ltd.1 | 53,136,000 | 247,205 |
Sun Hung Kai Properties Ltd.1 | 16,774,500 | 240,241 |
VICI Properties Inc. REIT | 5,976,000 | 149,759 |
Link Real Estate Investment Trust REIT1 | 15,718,002 | 146,394 |
Simon Property Group, Inc. REIT | 1,098,163 | 135,162 |
American Campus Communities, Inc. REIT | 1,986,933 | 86,312 |
Vonovia SE1 | 1,135,516 | 60,997 |
SM Prime Holdings, Inc.1 | 75,778,000 | 56,835 |
Daito Trust Construction Co., Ltd.1 | 545,230 | 56,124 |
Equinix, Inc. REIT | 78,446 | 44,934 |
3,519,473 |
Capital World Growth and Income Fund — Page 6 of 11
unaudited
Common stocks (continued) Materials 3.15% | Shares | Value (000) |
Vale SA, ordinary nominative | 39,793,909 | $394,299 |
Vale SA, ordinary nominative (ADR) | 27,107,109 | 266,192 |
Rio Tinto PLC1 | 8,846,415 | 414,625 |
Akzo Nobel NV1 | 3,390,653 | 272,213 |
Linde PLC | 1,043,755 | 199,368 |
Fortescue Metals Group Ltd.1 | 29,564,108 | 192,860 |
Shin-Etsu Chemical Co., Ltd.1 | 1,256,800 | 140,565 |
Air Liquide SA, non-registered shares1 | 1,026,319 | 140,049 |
Sherwin-Williams Co. | 259,955 | 134,332 |
Asahi Kasei Corp.1 | 14,548,300 | 120,663 |
Freeport-McMoRan Inc. | 11,297,239 | 112,521 |
BHP Group PLC1 | 5,611,324 | 101,596 |
Amcor PLC (CDI)1 | 8,800,000 | 81,019 |
Alcoa Corp.2 | 5,235,089 | 72,611 |
Koninklijke DSM NV1 | 609,146 | 68,982 |
CRH PLC1 | 1,886,004 | 63,622 |
LafargeHolcim Ltd.1 | 1,315,659 | 61,400 |
Teck Resources Ltd., Class B | 5,801,990 | 58,355 |
BASF SE1 | 509,851 | 29,929 |
Dow Inc. | 208,524 | 8,426 |
2,933,627 | ||
Total common stocks (cost: $67,765,523,000) | 85,906,427 | |
Preferred securities 0.88% Financials 0.36% | ||
Banco Bradesco SA, preferred nominative | 26,980,000 | 184,194 |
Itaú Unibanco Holding SA, preferred nominative (ADR) | 11,553,990 | 81,687 |
Federal Home Loan Mortgage Corp., Series Z, 8.375% noncumulative, preferred shares2 | 3,518,000 | 37,115 |
Fannie Mae, Series S, 8.25% noncumulative, preferred shares2 | 3,417,000 | 37,006 |
340,002 | ||
Consumer discretionary 0.29% | ||
Volkswagen AG, nonvoting preferred shares1 | 1,620,794 | 265,711 |
Energy 0.14% | ||
Petróleo Brasileiro SA (Petrobras), preferred nominative | 16,918,000 | 95,866 |
Petróleo Brasileiro SA (Petrobras), preferred nominative (ADR) | 2,941,488 | 33,121 |
128,987 | ||
Health care 0.09% | ||
Grifols, SA, Class B, nonvoting preferred, non-registered shares1 | 3,858,329 | 86,078 |
Total preferred securities (cost: $824,061,000) | 820,778 | |
Convertible stocks 0.58% Information technology 0.25% | ||
Broadcom Inc., Series A, cumulative convertible preferred, 8.00% 2022 | 221,262 | 228,818 |
Real estate 0.16% | ||
Crown Castle International Corp. REIT, Series A, convertible preferred, 6.875% 2020 | 116,280 | 148,209 |
Capital World Growth and Income Fund — Page 7 of 11
unaudited
Convertible stocks (continued) Utilities 0.12% | Shares | Value (000) |
Dominion Energy, Inc., Series A units, convertible preferred, 7.25% 2022 | 649,887 | $65,086 |
DTE Energy Co., units, convertible preferred, 6.25% 2022 | 1,013,824 | 45,643 |
110,729 | ||
Health care 0.05% | ||
Danaher Corp., Series A, cumulative convertible preferred, 4.75% 2022 | 45,411 | 49,927 |
Total convertible stocks (cost: $519,099,000) | 537,683 | |
Bonds, notes & other debt instruments 0.47% Corporate bonds & notes 0.33% Health care 0.15% | Principal amount (000) | |
Teva Pharmaceutical Finance Co. BV 6.00% 2024 | $ 85,907 | 87,322 |
Teva Pharmaceutical Finance Co. BV 3.15% 2026 | 59,700 | 52,221 |
139,543 | ||
Communication services 0.07% | ||
CenturyLink, Inc. 7.50% 2024 | 7,016 | 7,878 |
CenturyLink, Inc., Series T, 5.80% 2022 | 20,048 | 21,061 |
Sprint Corp. 11.50% 2021 | 33,950 | 38,850 |
67,789 | ||
Energy 0.04% | ||
TransCanada Corp. 5.875% 2076 (3-month USD-LIBOR + 4.64% on 8/15/2026)4 | 36,500 | 39,301 |
Financials 0.04% | ||
Lloyds Banking Group PLC, junior subordinated, 6.657% (3-month USD-LIBOR + 1.27% on 5/21/2037)4,5 | 30,300 | 37,562 |
Consumer staples 0.03% | ||
JBS Investments GmbH II 7.00% 20265 | 20,000 | 21,386 |
Total corporate bonds & notes | 305,581 | |
Bonds & notes of governments & government agencies outside the U.S. 0.11% | ||
Colombia (Republic of), Series B, 7.50% 2026 | COP80,150,000 | 25,162 |
India (Republic of) 8.60% 2028 | INR1,220,300 | 19,087 |
United Mexican States, Series M, 8.00% 2023 | MXN1,013,000 | 53,868 |
98,117 | ||
U.S. Treasury bonds & notes 0.03% U.S. Treasury 0.03% | ||
U.S. Treasury 2.50% 2020 | $30,000 | 30,343 |
Total U.S. Treasury bonds & notes | 30,343 | |
Total bonds, notes & other debt instruments (cost: $397,832,000) | 434,041 | |
Short-term securities 4.97% Money market investments 4.94% | Shares | |
Capital Group Central Cash Fund 1.63%6 | 46,024,538 | 4,602,454 |
Capital World Growth and Income Fund — Page 8 of 11
unaudited
Short-term securities (continued) Bills & notes of governments & government agencies outside the U.S. 0.03% | Principal amount (000) | Value (000) |
Argentinian Treasury Bills (50.91%)–65.81% due 10/11/2019–7/31/20207 | ARS2,463,035 | $26,959 |
Total short-term securities (cost: $4,634,226,000) | 4,629,413 | |
Total investment securities99.17% (cost: $74,140,741,000) | 92,328,342 | |
Other assets less liabilities 0.83% | 774,487 | |
Net assets100.00% | $93,102,829 |
Investments in affiliates
A company is an affiliate of the fund under the Investment Company Act of 1940 if the fund’s holdings represent 5% or more of the outstanding voting shares of that company. Further details on these holdings and related transactions during the three months ended February 29, 2020, appear below.
Beginning shares | Additions | Reductions | Ending shares | Net realized loss (000) | Net unrealized (depreciation) appreciation (000) | Dividend income (000) | Value of affiliates at 2/29/2020 (000) | |
Common stocks 0.62% | ||||||||
Consumer discretionary 0.62% | ||||||||
Ocado Group PLC1,2 | 41,909,205 | — | — | 41,909,205 | $— | $(138,694) | $— | $579,499 |
Communication services 0.00% | ||||||||
ProSiebenSat.1 Media SE1,8 | 12,392,488 | — | 8,116,900 | 4,275,588 | (168,962) | 155,391 | — | — |
Total 0.62% | $(168,962) | $16,697 | $— | $579,499 |
The following footnotes apply to either the individual securities noted or one or more of the securities aggregated and listed as a single line item.
1 | Valued under fair value procedures adopted by authority of the board of trustees. The total value of all such securities was $40,091,023,000, which represented 43.06% of the net assets of the fund. This amount includes $40,049,228,000 related to certain securities trading outside the U.S. whose values were adjusted as a result of significant market movements following the close of local trading. |
2 | Security did not produce income during the last 12 months. |
3 | Represents an affiliated company as defined under the Investment Company Act of 1940. |
4 | Step bond; coupon rate may change at a later date. |
5 | 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 $58,948,000, which represented .06% of the net assets of the fund. |
6 | Rate represents the seven-day yield at 2/29/2020. |
7 | Scheduled interest and/or principal payment was not received. |
8 | Unaffiliated issuer at 2/29/2020. |
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 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. 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 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.
Capital World Growth and Income Fund — Page 9 of 11
unaudited
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; 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 |
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.
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 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 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, including an annual control self-evaluation program facilitated by the investment adviser’s compliance 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
Capital World Growth and Income Fund — Page 10 of 11
unaudited
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 February 29, 2020 (dollars in thousands):
Investment securities | ||||
Level 1 | Level 2 | Level 3 | Total | |
Assets: | ||||
Common stocks: | ||||
Financials | $4,360,084 | $8,560,919 | $— | $12,921,003 |
Information technology | 8,375,784 | 4,468,375 | — | 12,844,159 |
Health care | 8,269,340 | 2,937,229 | — | 11,206,569 |
Consumer discretionary | 5,153,385 | 4,666,366 | — | 9,819,751 |
Communication services | 6,866,967 | 1,896,000 | — | 8,762,967 |
Industrials | 3,933,229 | 4,195,152 | — | 8,128,381 |
Consumer staples | 2,519,199 | 4,011,913 | — | 6,531,112 |
Energy | 2,536,195 | 2,137,933 | — | 4,674,128 |
Utilities | 1,066,560 | 3,498,697 | — | 4,565,257 |
Real estate | 1,840,345 | 1,679,128 | — | 3,519,473 |
Materials | 1,246,104 | 1,687,523 | — | 2,933,627 |
Preferred securities | 468,989 | 351,789 | — | 820,778 |
Convertible stocks | 537,683 | — | — | 537,683 |
Bonds, notes & other debt instruments | — | 434,041 | — | 434,041 |
Short-term securities | 4,602,454 | 26,959 | — | 4,629,413 |
Total | $51,776,318 | $40,552,024 | $— | $92,328,342 |
Key to abbreviations and symbol | |
ADR = American Depositary Receipts | GBP = British pounds |
ARS = Argentine pesos | INR = Indian rupees |
CAD = Canadian dollars | LIBOR = London Interbank Offered Rate |
CDI = CREST Depository Interest | MXN = Mexican pesos |
COP = Colombian pesos | USD/$ = U.S. dollars |
EUR = Euros |
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.
© 2020 Capital Group. All rights reserved.
MFGEFPX-033-0420O-S73153 | Capital World Growth and Income Fund — Page 11 of 11 |