American Funds Capital Income Builder is cutting its quarterly dividend by about 20% in mid-March 2021. This action seems reasonable in light of low equity and bond yields, and doesn't impact the fund's Above Average Process rating or current Morningstar Analyst Ratings across its share classes.
American Funds Capital Income Bldr R5 RIRFX
NAV / 1-Day Return
67.94
/
0.41
%
Total Assets
108.3 Bil
Adj. Expense Ratio
Adjusted Expense Ratio excludes certain variable investment-related expenses, such as interest from borrowings and dividends on borrowed securities, allowing for more consistent cost comparisons across funds.
0.320%
Expense Ratio
0.320%
Fee Level
Low
Longest Manager Tenure
29.34
years
Category
World Allocation
Investment Style
Large ValueCredit Quality / Interest Rate Sensitivity
Medium / ModerateStatus
Open
TTM Yield
3.26%
Turnover
118%
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Morningstar’s Analysis
The Morningstar Analysis section contains a thorough evaluation of an investment’s merits and drawbacks and often discusses the most important or decisive factors leading to the fund’s overall rating.
The Morningstar Analysis section contains a thorough evaluation of an investment’s merits and drawbacks and often discusses the most important or decisive factors leading to the fund’s overall rating.
Will RIRFX outperform in future?
Get our overall rating based on a fundamental assessment of the pillars below.
Process Pillar
The Process Pillar is our assessment of how sensible, clearly defined, and repeatable RIRFX’s performance objective and investment process is for both security selection and portfolio construction.
People Pillar
The People Pillar is our evaluation of the RIRFX management team’s experience and ability. We find that high-quality management teams deliver superior performance relative to their benchmarks and/or peers.
Parent Pillar
The Parent Pillar is our rating of RIRFX’s parent organization’s priorities and whether they’re in line with investors’ interests.
A Dividend Cut Doesn't Alter American Funds Capital Income Builder's Long-Term Appeal
