Investment Fundamentals Have Proven Successful for 82 Years.

The ICA Guide 2016 Edition Investment Fundamentals Have Proven Successful for 82 Years.

Eight Decades of Experience One of your first investment decisions is knowing whom to trust with your hard-earned money. At American Funds, we think our history and results speak for themselves, as shown by the record of our first fund, The Investment Company of America. Highlights Informed Investing Versus Simply Saving 2 What ICA Investors Own 4 Investing in Stocks Requires Skill 5 How ICA Is Managed 7 There Have Always Been Reasons Not to Invest 8 The ICA Mountain Chart 9 Time, Not Timing, Is What Matters 13 What if the Stock Market Doesn t Go Up? 14 The Benefit of Time 15 Dividends Have Made the Difference 16 Growth Over a Wide Variety of Periods 17 Investing for Retirement 18 Customizing Withdrawals 19 An 82-Year History of Investment Success 20 What Makes ICA a Rare Opportunity 21 Our Founder Focused on Investment Principles and Integrity Jonathan Bell Lovelace spent most of the 1920s at a Detroit banking/ brokerage firm, developing his investment research techniques and earning impressive results. By 1929, before the stock market crash, he could see no logical relationship between stock market prices and their underlying values, so he sold his interest in the firm, took his investments out of the market and moved to California. When Lovelace founded Capital Group SM in 1931, he established three core principles that we hold to this day: Do the thorough research necessary to determine the actual worth of an organization. Buy securities at reasonable prices relative to their prospects. Always be guided by a total commitment to honesty and integrity. Figures shown are past results for Class A shares and are not predictive of results in future periods. Current and future results may be lower or higher than those shown. Share prices and returns will vary, so investors may lose money. Investing for short periods makes losses more likely. Unless otherwise indicated, results shown are at the 5.75% maximum sales charge for Class A shares (3.50% for investments of $100,000 or more) with all distributions reinvested. For current information and month-end results, visit americanfunds.com. Investments are not FDIC-insured, nor are they deposits of or guaranteed by a bank or any other entity, so they may lose value.

The Legacy of Our First Fund Our oldest fund, The Investment Company of America, has stood the test of time. Since 1934, the fund has persevered through market highs and lows, world conflicts and ever-changing technology. We ve always remained focused on our objective to provide long-term growth of capital and income by investing in solid companies with potential for future dividends. Today, ICA has earned the trust of more than 3 million shareholders. The fund has a legacy of keeping investors long-term returns well ahead of the cost of living. Over the 82 years ended December 31, 2015, a hypothetical $1,000 investment in ICA would have grown to $10.8 million and earned an average annual total return of 12.0% more than three times the rate of inflation (3.6%). It s Key to Stay Ahead of Inflation and the Rising Cost of Living Postage stamp Loaf of bread Automobile Single-family home 1934 1980 2015* $0.03 $0.07 $1,436 $5,972 $0.15 $6,200 $0.52 $62,200 $0.49 $1.43 $32,529 $224,100 +1,533% +1,940% +2,165% +3,653% * Sources: United States Postal Service, Bureau of Labor Statistics, TrueCar.com, National Association of Realtors. Stocks Have Outpaced Other Investments Stocks have provided an effective hedge against inflation over the long term. Some investments that have been considered less risky such as bonds, Treasury bills, certificates of deposit (CDs) and savings accounts may be more appropriate for short-term savings strategies. Over time, trying to avoid risk could mean settling for a lower return on your investment, as shown in this chart. Stocks Have Had the Highest Returns Over the Past 50 Years Average annual total return 12% 10 8 6 4 2 0 9.7% 7.4% 4.9% 4.1% Stocks Bonds Cash Rate of inflation All results calculated with dividends reinvested for the period December 31, 1965, through December 31, 2015. Source: Ibbotson (stocks: U.S. large cap stocks; bonds: U.S. long-term government bonds; cash: 30-day Treasury bills). The indexes are unmanaged and, therefore, have no expenses. Figures shown are past results and are not predictive of results in future periods. Unlike fund shares, investments in Treasury bills, CDs and savings accounts are guaranteed. Rate of inflation is measured by the Consumer Price Index, which is computed from data supplied by the U.S. Department of Labor, Bureau of Labor Statistics. 1

Informed Investing Versus Simply Saving Look at the hypothetical investments of two fictional couples, the Boones and the Klausens, over a 20-year period of their retirement to see the difference ICA has made. Margaret and Harry Boone Twenty years ago at the end of 1995 the Boones and the Klausens retired. Each couple had $200,000 to invest. The Boones put their money in a 20-year U.S. government bond that paid a guaranteed 6.01% a year. They were satisfied with their safe annual income of $12,020. Twenty years ago, you may have been able to get by on that. But it takes $18,522 today to buy what $12,020 bought in 1996. Even worse, when the Boones bond matured at the end of 2015, they went to buy another and found the rate on 20-year Treasuries was 2.67%. That would provide them with only $5,340 a year. Annual Income From a 20-year Treasury Bond $200,000 Original investment $240,400 Total withdrawals $200,000 Value of investment as of December 31, 2015 The Boones long-term U.S. government bond paid the same amount, year after year Of course, the Boones are guaranteed their original $200,000 nest egg although that won t buy as much as it used to either. The Boones safe investment, it seems, wasn t so safe after all. $12,020 $12,020 $12,020 $12,020 $12,020 1996 2001 2006 2011 2015 2

Investing Where Your Money Can Grow May Lessen the Impact of Inflation. Vivian and Joe Klausen The Klausens invested their $200,000 in ICA and decided to take monthly withdrawals at an annual rate of 5% of their account value at the end of each previous year. That meant they took $10,000 in 1996, representing 5% of their original investment. In 1997, they took 5% of their account balance as of the end of 1996, and so on. Because the value of their investment has gone up and down from year to year, their income has varied. They started out living on less than the Boones. But the Klausens income generally outpaced the Boones over time and their original investment increased substantially. Over the long term, they enjoyed greater rewards than the Boones because, by investing in a portfolio of stocks, they chose to accept greater volatility, recognizing they could lose money. Despite recent volatility, the last 20 years,020 were $12,020 generally good $12,020 for stocks and for ICA. In all 63 of the 20-calendar-year periods in ICA s lifetime, in fact, the Klausens would have done better than the Boones. Annual Withdrawal Amounts From ICA $10,000 $17,502 $16,358 $200,000 Original investment $304,261 Total withdrawals $372,562 Value of investment as of December 31, 2015 while the Klausens investment in ICA allowed their withdrawals to grow in most years. $14,292 $19,894 006 2011 2015 1996 2001 2006 2011 2015 The hypothetical examples on pages 2 and 3 reflect actual historical results. Results on this page are calculated by Thomson. Your investment experience, of course, will depend on the amount you invest and when you invest. Treasury bonds are guaranteed by the U.S. government; fund shares are not. 3

What ICA Investors Own A hypothetical $10,000 investment in ICA on December 31, 2015, bought part-ownership in approximately 140 companies. Of those, here are the 75 largest, representing more than 77% of total assets. The Fund s 75 Largest Equity Holdings and What a $10,000 Investment Bought Amgen $510 Medtronic $107 Johnson Controls $ 53 Verizon Communications 342 UnitedHealth Group 103 U.S. Bancorp 53 Alphabet 307 Coca-Cola 94 United Technologies 52 Philip Morris International 244 Western Union 89 Kroger 51 Oracle 213 CSX 87 Precision Castparts 50 Texas Instruments 206 Alexion Pharmaceuticals 85 Crown Castle International 48 Altria Group 186 Royal Dutch Shell 85 Canadian Natural Resources 48 General Dynamics 185 General Motors 85 Express Scripts Holding 47 AbbVie 184 Illinois Tool Works 84 Novartis 47 Accenture 171 Dow Chemical 79 Hasbro 46 Gilead Sciences 167 Stryker 74 Danaher 45 Amazon.com 163 Mead Johnson Nutrition 71 Nielsen Holdings 45 Union Pacific 162 Viacom 71 International Flavors & Fragrances 44 Home Depot 145 Comcast 71 Progressive 43 Avago Technologies 143 Halliburton 67 St. Jude Medical 43 Intel 141 Las Vegas Sands 67 Apple 42 Microsoft 132 ConAgra Foods 64 Abbott Laboratories 41 American International Group 131 CenturyLink 64 Reynolds American 41 ConocoPhillips 128 Time Warner 63 Caterpillar 41 Norfolk Southern 127 Kraft Heinz 62 Procter & Gamble 40 General Electric 126 Mondelez International 62 State Street 40 Monsanto 122 PepsiCo 61 Humana 39 AT&T 122 Kinder Morgan 59 Samsung Electronics 38 Exelon 116 Cummins 58 Other equities 1,857 Dominion Resources 115 Praxair 57 Berkshire Hathaway 110 EOG Resources 55 $9,516 + $0 = $9,516 + $484 = $10,000 Total stocks Bonds & notes Total investment securities Net cash & equivalents Total The fund is actively managed, so holdings will change. 4

Investing in Stocks Requires Skill. ICA s investment professionals draw on long experience and in-depth research to make decisions about the fund s holdings. An actively managed well-diversified portfolio can make a difference over time. Imagine that, 82 years ago, you could have invested $1,000 in each of any five companies in the Dow Jones Industrial Average.* When one company in the index was replaced by another, proceeds from the sale of the original company were invested in the new one. Based on that strategy, today you would have a portfolio of five of the well-known companies listed below. Which five companies would you want to own today? If you could have invested $1,000 each in any five of these companies (or their predecessors) 82 years ago, which five would you choose? American Express (replaced Manville in 1982) Apple (replaced AT&T in 2015, which replaced Goodyear in 1999) Boeing (replaced Inco in 1987) Caterpillar (replaced Navistar International in 1991) Chevron (replaced Honeywell in 2008) Cisco Systems (replaced General Motors in 2009) Coca-Cola (replaced Owens-Illinois in 1987, which replaced National Distillers in 1959, which replaced United Aircraft in 1934) Disney (replaced USX in 1991) DuPont (replaced Borden in 1935) ExxonMobil General Electric Goldman Sachs Group (replaced Bank of America in 2013, which replaced Altria, previously known as Philip Morris, in 2008, which replaced General Foods in 1985) Home Depot (substituted for Sears, Roebuck in 1999) IBM (replaced Chrysler in 1979) Intel (substituted for Chevron in 1999) Johnson & Johnson (replaced Bethlehem Steel in 1997) JPMorgan Chase (replaced Primerica in 1991, which replaced American Can in 1988) McDonald s (replaced American Brands in 1985) Merck (replaced Esmark in 1979, which replaced Corn Products in 1959) Microsoft (substituted for Union Carbide in 1999) NIKE (replaced Alcoa in 2013, which replaced National Steel in 1959, which replaced Coca-Cola in 1935) Pfizer (substituted for Eastman Kodak in 2004) Procter & Gamble 3M (replaced Anaconda in 1976, which replaced American Smelting in 1959) Travelers Companies (replaced Citigroup in 2009, which replaced Westinghouse in 1997) United Technologies (replaced Nash-Kelvinator in 1939) UnitedHealth Group (replaced Kraft in 2012, which replaced AIG in 2008, which was substituted for International Paper in 2004, which replaced Loew s in 1956) Verizon Communications (replaced AT&T in 2004, which replaced IBM in 1939) Visa (replaced Hewlett-Packard in 2013, which replaced Texaco in 1997) Walmart (replaced Woolworth in 1997) * Dow Jones Industrial Average is a price-weighted average of 30 actively traded industrial and service-oriented blue chip stocks. List is as of December 31, 2015. Turn the page to see how your choices would have compared to ICA. 5

Compare the Historic Results. Based on a hypothetical $1,000 investment over the 82-year period ended December 31, 2015, none of the Dow companies would have outpaced an investment in ICA, even though some of them may have done better than ICA in some periods during their lifetimes.* Of course, in selecting these five stocks, you were precluded from changing your investments over the years. This example helps illustrate the importance of diversification and active management. Note that you invested $1,000 in each of five different stocks. Had you invested an equivalent $5,000 in ICA, it would have handily outpaced any five stocks you chose over the same period. The process of replacing stocks in the Dow would have often meant selling low (when a stock was being removed from the Dow) and buying high (when its replacement was being added to the Dow). Market Value (Excluding Dividends) ICA $978,710 Procter & Gamble 788,339 General Electric 460,061 ExxonMobil 388,109 Coca-Cola 252,003 Home Depot 221,026 McDonald's 213,877 Merck 128,353 Visa Inc 116,960 Goldman Sachs Group 104,121 Intel 100,372 United Technologies 85,667 DuPont 71,786 Disney 66,016 Microsoft 65,077 Pfizer 51,780 3M 47,640 NIKE 44,308 Boeing 43,088 Apple 33,392 Walmart 26,800 Chevron 24,569 American Express 21,942 Travelers Companies 21,491 JPMorgan Chase 14,675 IBM 10,489 Johnson & Johnson 9,786 Caterpillar 5,883 Verizon Communications 3,445 UnitedHealth Group 1,920 Cisco Systems 1,367 * It was assumed that the entire $1,000 was invested in each stock and that fractional shares were purchased where required to use up the full amount. No brokerage charges were included in the cost. Adjustments were made for all stock splits, stock dividends and spinoffs. In 2009, General Motors filed for protection under Chapter 11 of the U.S. Bankruptcy Code. It was delisted from the New York Stock Exchange and was replaced by Cisco Systems in the Dow Jones Industrial Average. Since no proceeds were realized from General Motors due to the bankruptcy proceedings, shares of Cisco were purchased with a new $1,000 in order to continue this illustration of investments in the 30 stocks comprising the Dow. Past results are not predictive of results in future periods. ICA investors have benefited from the professional manage ment of a diversified portfolio. 6

How ICA Is Managed The Capital System SM features multiple managers, combining independence and teamwork. We begin by defining a clear investment objective and assembling a team best equipped to pursue investment opportunities. The holdings of The Investment Company of America, which include approximately 140 stocks,* represent the individual investment ideas of eight portfolio managers and 21 investment analysts. Broad Diversification Rigorous Risk Management Consistent With Fund Objectives Each portfolio manager invests in his or her highest conviction ideas, so fund portfolios tend to contain a diverse group of securities. The diverse combination of portfolio managers and investment analysts in each fund is designed to lower volatility while striving for superior long-term results. The fund s principal investment officer, along with a coordinating group, reviews investments for consistency with fund objectives and overall guidelines. The Capital System s Multiple Manager Approach A diverse group of portfolio managers and analysts brings complementary investment approaches, experience levels, backgrounds and areas of focus. Analysts In most funds, including ICA, a group of investment analysts manages a portion of the fund known as the research portfolio. Portfolio Managers Each portfolio manager is assigned a portion of the overall assets to manage independently, enabling them to focus on their highest conviction ideas. Chris Buchbinder Grant Cambridge Barry Crosthwaite Joyce Gordon Jim Lovelace Don O Neal Eric Richter Brad Vogt Experience: 20 years Experience: 23 years Experience: 20 years Experience: 36 years Experience: 34 years Experience: 31 years Experience: 24 years Experience: 29 years O f fi c e : San Francisco O f fi c e : Los Angeles O f fi c e : San Francisco O f fi c e : Los Angeles O f fi c e : Los Angeles O f fi c e : San Francisco O f fi c e : O f fi c e : Washington, D.C. Washington, D.C. Portfolio manager information is as of the fund s prospectus dated March 1, 2016. Portfolio segments do not reflect actual allocations. * As of December 31, 2015. Holdings will change. 7

There Have Always Been Reasons Not to Invest. Many investors may be tempted to base investment decisions on emotion, but ICA has given its shareholders good reason to look beyond the headlines. Here s what would have happened (in terms of dollar amounts and average annual total returns) if you had invested $10,000 in ICA on these historic days. Figures shown are past results for Class A shares and are not predictive of results in future periods. Current and future results may be lower or higher than those shown. Share prices and returns will vary, so investors may lose money. Investing for short periods makes losses more likely. Unless otherwise indicated, results shown are at the 5.75% maximum sales charge for Class A shares (3.50% for investments of $100,000 or more) with all distributions reinvested. For current information and month-end results, visit americanfunds.com. Pearl Harbor was bombed. (December 7, 1941) 10 years later you would have had $34,710 13.3% by the end of 2015 you would have had $41,860,651 11.9% The Soviets launched Sputnik, vaulting into space ahead of the U.S. (October 4, 1957) 10 years later you would have had $38,083 14.3% by the end of 2015 you would have had $4,867,279 11.2% The Berlin Wall was erected. (August 13, 1961) 10 years later you would have had $23,180 8.8% by the end of 2015 you would have had $2,576,058 10.8% President Kennedy was assassinated. (November 22, 1963) 10 years later you would have had $22,945 8.7% by the end of 2015 you would have had $2,399,295 11.1% President Nixon resigned. (August 9, 1974) 10 years later you would have had $40,379 15.0% by the end of 2015 you would have had $1,099,208 12.0% The Dow Jones Industrial Average dropped a record 22.6% in one day. (October 19, 1987) 10 years later you would have had $44,268 16.0% by the end of 2015 you would have had $152,213 10.1% Iraqi troops invaded Kuwait, setting off the first Gulf War. (August 2, 1990) 10 years later you would have had $41,882 15.4% by the end of 2015 you would have had $97,076 9.4% Terrorists attacked the World Trade Center. (September 11, 2001) 10 years later you would have had $12,715 2.4% by the end of 2015 you would have had $23,386 6.1% Results are calculated by Thomson. 8

$200,000,000 100,000,000 80,000,000 60,000,000 The Investment Company of America Growth of a hypothetical $10,000 investment from 1934 through 2015 40,000,000 20,000,000 There have always been reasons not to invest. ICA has given its investors good reason to look beyond the headlines. 10,000,000 8,000,000 6,000,000 4,000,000 2,000,000 1,000,000 800,000 600,000 400,000 200,000 100,000 80,000 60,000 40,000 20,000 Depression Civil war in Spain Economy still struggling Recession War clouds gather War in Europe France falls Pearl Harbor Wartime price controls Industry mobilizes Consumer goods shortages Post-war recession predicted Dow tops 200 market too high Cold War begins Berlin blockade Soviets detonate A-bomb Korean War Excess profits tax U.S. seizes steel mills Soviets detonate H-bomb 10,000 8,000 Year ended Dec. 31 1934 1935 1936 1937 1938 1939 1940 1941 1942 1943 1944 1945 1946 1947 1948 1949 1950 1951 1952 1953 Capital value ($ in 000) Dividends excluded: Value at year-end: $11.8 21.6 Total value ($ in 000) Dividends reinvested: Value at year-end: $11.8 21.6 Total return +18.2% $.4 31.0 $.4 31.6 1.0 18.3 1.0 19.4.2 23.2.2 24.8.5 22.9.5 25.0.8 21.5.9 24.4 1.1 18.8 1.3 22.6 1.0 20.9 1.2 26.4.9 26.9 1.1 35.0 1.2 43.2 +83.1 +45.8 38.5 +27.6 +0.8 2.4 7.4 +16.8 +32.8 +23.3 +36.8 2.4 +0.9 +0.4 +9.4 +19.8 +17.8 +12.2 +0.4 Results reflect payment of the maximum 5.75% sales charge for Class A shares on a hypothetical $10,000 investment. Thus the net amount invested was $9,425. The maximum initial sales charge was 8.5% prior to July 1, 1988. As outlined in the prospectus, the sales charge is reduced for larger investments. There is no sales charge on dividends or capital gain distributions that are reinvested in additional shares. The results shown are before taxes on fund distributions and sale of fund shares. Past results are not predictive of results in future periods. Results for other share classes may differ..9 32.1.9 42.9 1.2 59.1 1.3 40.7 1.8 57.7 1.7 39.3 2.4 58.2 1.8 37.7 2.7 58.4 1.7 39.4 2.7 63.9 1.9 45.2 3.2 76.6 2.0 51.2 3.4 90.3 2.0 55.3 3.5 101.3 2.1 53.4 3.9 101.7

Figures shown are past results for Class A shares and are not predictive of results in future periods. Current and future results may be lower or higher than those shown. Share prices and returns will vary, so investors may lose money. Investing for short periods makes losses more likely. Results shown are at the 5.75% maximum sales charge for Class A shares (3.50% for investments of $100,000 or more) with all distributions reinvested. For current information and month-end results, visit americanfunds.com. Investments are not FDIC-insured, nor are they deposits of or guaranteed by a bank or any other entity, so they may lose value. Soviets detonate H-bomb Dow tops 300 market too high Eisenhower illness Suez Crisis Soviets launch Sputnik Recession Castro seizes power in Cuba Soviets down U-2 plane Berlin Wall is erected Cuban Missile Crisis Kennedy assassination Gulf of Tonkin Civil rights marches Value added by reinvestment of dividends Vietnam War escalates Newark riots North Korea captures USS Pueblo Money tightens; market falls U.S. invades Cambodia Wage-price freeze Watergate Oil embargo Nixon resigns U.S. withdraws from Vietnam 953 1954 1955 1956 1957 1958 1959 1960 1961 1962 1963 1964 1965 1966 1967 1968 1969 1970 1971 1972 1973 1974 1975 2.1 2.1 2.6 2.7 3.0 3.0 3.2 3.6 3.6 3.8 3.9 4.3 4.7 5.9 6.9 8.3 9.0 9.4 9.6 9.7 10.6 15.9 14.3 53.4 80.8 98.5 106.3 90.9 128.0 142.9 145.6 175.4 148.2 177.8 202.3 251.6 248.0 312.5 356.6 309.6 307.4 349.7 394.7 317.9 245.5 317.7 3.9 4.1 5.1 5.6 6.2 6.5 7.0 8.1 8.4 9.1 9.6 10.7 12.1 15.5 18.4 22.6 25.3 27.3 28.6 29.9 33.4 52.2 49.8 01.7 158.9 199.2 220.6 194.4 281.5 321.4 336.0 413.6 358.8 440.9 512.6 650.7 657.1 846.9 990.6 884.8 908.0 1,062.7 1,231.1 1,024.1 840.3 1,137.7 0.4 +56.1 +25.4 +10.8 11.9 +44.8 +14.2 +4.5 +23.1 13.2 +22.9 +16.3 +26.9 +1.0 +28.9 +17.0 10.7 +2.6 +17.0 +15.9 16.8 17.9 +35.4 Here are ICA s average annual total returns on a $1,000 investment with all distributions reinvested for periods ended March 31, 2016: 1 year 5 years 10 years Class A shares 4.80% 9.13% 5.77% Expense ratio was 0.58% as of the fund s prospectus available at time of publication.

U.S. withdraws from Vietnam New York City threatens bankruptcy Energy crisis Massacres in Cambodia Three Mile Island nuclear accident Abscam scandal rocks Congress Reagan and the pope are shot Worst recession in 40 years Soviets shoot down Korean airliner Iran-Iraq war escalates U.S. becomes a debtor nation U.S. bombs Libya Record-setting market decline Bank failures peak Problems with junk bonds Iraq invades Kuwait Recession in U.S.; Soviet Union dissolves Los Angeles riots Midwestern U.S. floods Fed raises interest rates six times Dow tops 4000, then 5000 market too high Technology stocks stumble Chaos in Asian markets 1975 1976 1977 1978 1979 1980 1981 1982 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 14.3 12.8 13.3 14.4 17.3 21.7 26.4 31.6 30.3 31.7 33.2 37.3 47.5 54.4 60.7 64.1 48.7 53.0 54.0 57.3 61.7 64.3 67 317.7 398.1 374.3 414.4 475.7 552.2 530.9 670.6 774.5 792.0 1,017.9 1,200.5 1,220.9 1,327.4 1,652.8 1,598.8 1,969.9 2,052.2 2,234.2 2,180.6 2,779.7 3,247.9 4,142 49.8 46.4 49.8 56.0 70.0 91.3 115.9 146.1 147.2 160.4 174.9 203.8 267.5 318.7 370.8 406.3 320.4 357.8 374.4 407.2 450.1 480.1 510 1,137.7 1,474.4 1,436.4 1,647.5 1,963.3 2,380.2 2,401.1 3,212.0 3,859.7 4,117.2 5,491.9 6,685.7 7,049.2 7,989.3 10,338.6 10,409.0 13,171.9 14,092.3 15,729.4 15,753.9 20,578.7 24,560.6 31,881 +35.4 +29.6 2.6 +14.7 +19.2 +21.2 +0.9 +33.8 +20.2 +6.7 +33.4 +21.7 +5.4 +13.3 +29.4 +0.7 +26.5 +7.0 +11.6 +0.2 +30.6 +19.3 +29.8 The stock market is represented by Standard & Poor s 500 Index, a market capitalization-weighted index based on the results of 500 widely held common stocks. The index is unmanaged and, therefore, has no expenses. 1 Includes dividends of $27,595,819, and capital gain distributions totaling $55,802,079, reinvested in the years 1936 2015. 2 Includes reinvested capital gain distributions of $6,525,803 but not income dividends totaling $3,369,476, taken in cash.

Chaos in Asian markets Global economic turmoil Fears of Y2K computer problems Internet bubble bursts Terrorist attacks in U.S. Corporate accounting scandals U.S. invades Iraq Oil prices soar Hurricanes devastate southern U.S. Dow Jones tops 12000 for first time Subprime credit crisis U.S. recession U.S. unemployment tops 10% Gulf of Mexico oil spill European sovereign debt crisis U.S. faces fiscal cliff Year five of federal government s quantitative easing policy U.S. drawn into Syrian conflict Greek debt crisis; China growth slows ICA with dividends reinvested $107,719,552 1 Average annual return: 12.0% Stock market with dividends reinvested $44,324,528 Average annual return: 10.8% ICA with dividends excluded $9,787,100 2 Average annual return: 8.8% Not drawn to scale This chart is based on a logarithmic scale, so it uses smaller and smaller increments for larger numbers. If the scale were arithmetic with, say, one inch representing every $10,000 the dark blue area (indicating results if dividends had been excluded) would be 82 feet tall, which is about as tall as most eight-story buildings. The lighter blue section, which shows how the investment would have done if dividends had been reinvested in more shares, would be 898 feet tall nearly six times the height of the Statue of Liberty. This illustrates the difference reinvesting your dividends can make. ICA (dividends reinvested) ICA (dividends excluded) Stock market with dividends excluded $2,023,703 Average annual return: 6.7% Consumer Price Index (Inflation) $179,186 Average annual return: 3.6% 151 ft. 898 ft. 82 ft. Original investment $10,000 97 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 67.0 75.4 82.8 93.0 99.0 100.7 102.2 103.0 136.3 152.1 144.0 156.9 131.5 129.2 133.8 166.1 147.4 181.3 169.8 42.7 5,008.2 5,748.5 5,875.5 5,507.5 4,616.9 5,713.5 6,163.0 6,446.5 7,313.2 7,601.9 4,835.7 5,986.9 6,496.8 6,249.9 7,055.0 9,179.2 10,102.3 9,787.1 10.3 584.1 651.8 743.4 804.1 833.3 864.3 887.4 1,196.3 1,364.6 1,319.3 1,466.7 1,264.7 1,272.4 1,345.5 1,707.1 1,548.6 1,939.3 1,849.1 81.2 39,193.5 45,682.2 47,435.2 45,258.6 38,709.1 48,891.6 53,674.5 57,361.4 66,504.4 70,456.8 45,983.8 58,481.1 64,830.6 63,692.5 73,628.5 97,503.5 109,291.9 107,719.6 9.8 +22.9 +16.6 +3.8 4.6 14.5 +26.3 +9.8 +6.9 +15.9 +5.9 34.7 +27.2 +10.9 1.8 +15.6 +32.4 +12.1 1.4 Average annual total return for 82 years: +12.0%

Time, Not Timing, Is What Matters. Louie the Loser never times anything right. Every year, for the past 20 years, he s invested $10,000 in ICA on the worst possible day to invest the day the stock market peaked. 1 So why is he smiling? Because Louie s investment has done nearly as well as it would have if he had picked the best day to invest each year. Worst-Day Investments (Market Highs) Date of market high Cumulative investment 2 Value on 12/31 12/27/96 $ 10,000 $ 9,276 8/6/97 20,000 21,660 11/23/98 30,000 36,421 12/31/99 40,000 52,001 1/14/00 50,000 63,887 5/21/01 60,000 69,757 3/19/02 70,000 67,554 12/31/03 80,000 94,972 12/28/04 90,000 113,903 3/4/05 100,000 131,834 12/27/06 110,000 162,460 10/9/07 120,000 181,214 5/2/08 130,000 124,813 12/30/09 140,000 168,299 12/29/10 150,000 196,212 4/29/11 160,000 201,592 10/5/12 170,000 242,622 12/31/13 180,000 331,045 12/26/14 190,000 380,671 5/21/15 200,000 384,363 Average annual total return (12/27/96 12/31/15): 6.2% Best-Day Investments (Market Lows) Date of market low Cumulative investment 2 Value on 12/31 1/10/96 $ 10,000 $ 11,499 4/11/97 20,000 27,056 8/31/98 30,000 45,208 1/22/99 40,000 63,767 3/7/00 50,000 76,570 9/21/01 60,000 83,948 10/9/02 70,000 82,637 3/11/03 80,000 117,656 10/25/04 90,000 139,699 4/20/05 100,000 160,056 1/20/06 110,000 196,576 3/5/07 120,000 218,711 11/20/08 130,000 154,098 3/9/09 140,000 211,356 7/2/10 150,000 246,051 10/3/11 160,000 252,670 6/4/12 170,000 303,140 1/8/13 180,000 414,083 2/3/14 190,000 475,661 12/18/15 200,000 478,770 Average annual total return (1/10/96 12/31/15): 8.0% A program of regular investing neither ensures a profit nor protects against loss, and investors should consider their willingness to keep investing when share prices are declining. 1 As measured by the unmanaged Dow Jones Industrial Average, a price-weighted average of 30 actively traded industrial and service-oriented blue chip stocks. 2 Cumulative volume discount applied when appropriate. Results are calculated by Thomson. The average annual total returns shown take into account subsequent investments. 13

What if the Stock Market Doesn t Go Up? ICA s professional management has frequently enabled the fund to do better than the market. The charts below show how ICA compared to the S&P 500 during two past periods when the stock market was relatively flat. The S&P 500 began 1968 with an index value of 96.47. More than a decade later, at the end of 1978, it stood at 96.11 right back where it had started. But an investor still could have benefited. A hypothetical investment of $10,000 in the S&P 500, with reinvested dividends, would have grown to $15,176. That $10,000 invested in ICA would have grown to $18,344. Before the 2007 2009 decline, the market had been relatively flat for the previous eight-year period. At the beginning of 2000, the S&P 500 index value was 1469.25, and 2007 ended with a value of 1468.36. However, a hypothetical investment in ICA, with dividends reinvested, would have seen an average annual total return of 4.8% during that period, while the S&P 500 averaged only 1.7%. Growth of a Hypothetical $10,000 Investment in Periods When the Stock Market Was Flat December 31, 1967December 31, 1978 December 31, 1967 December 31, 1978 $20,000 15,000 10,000 5,000 0 ICA with dividends reinvested $18,344 (average of 5.7% a year) S&P 500 with dividends reinvested $15,176 (average of 3.9% a year) S&P 500 with dividends excluded $9,963 (average of 0.0% a year) 1968 1969 1970 1971 1972 1973 1974 1975 1976 1977 1978 December 31, 1999December 31, 2007 December 31, 1999 December 31, 2007 $16,000 12,000 10,000 8,000 4,000 0 ICA with dividends reinvested $14,537 (average of 4.8% a year) S&P 500 with dividends reinvested $11,407 (average of 1.7% a year) S&P 500 with dividends excluded $9,994 (average of 0.0% a year) 2000 2001 2002 2003 2004 2005 2006 2007 Results are calculated by Thomson. The S&P 500 is unmanaged and, therefore, has no expenses. Investors cannot invest directly in an index. 14

It s Important to Stay Invested Through Highs and Lows. The Benefit of Time Investors who have stayed in the fund through occasional (and inevitable) periods of declining stock prices historically have been rewarded for their long-term outlook. Here is ICA s record of positive results over calendar periods, from January 1, 1934, through December 31, 2015. As you can see, one-year investments are more likely to experience negative results than are investments held for longer periods. If those short-term investors had held on for just two more years, they would have seen 34% 34% 14% fewer than half as many negative periods. Note that every 10-year period has shown positive results. 14% 66% 66% One-Year Periods 86% Three-Year Periods 86% 34% 34% 14% 14% 66% 66% 86% 86% Positive periods: 54 Negative periods: 28 Positive periods: 69 Negative periods: 11 Five-Year Periods 10-Year Periods 8% 8% 92% 92% 100% 100% 8% 8% Positive periods: 72 Positive periods: 73 92% 92% Negative periods: 6 Negative 100% periods: 0 100% 15

Dividends Have Made the Difference Reinvested regular dividends can contribute significantly to a fund s returns; in fact, they account for 36% of ICA s total return over its lifetime. Why are dividends so important? Dividends are a good indicator of a company s strength. The balance sheet and management s confidence in the company are factors in how investors value its stock. Dividends can provide a cushion during stock market declines. Investments that pay income have tended to be more stable, so dividends play a critical role in helping ICA balance risk and return. ICA has increased its dividends in 68 of the past 79 calendar years. The long-term view integral to ICA s investment philosophy also extends to dividends. The managers do not simply look for current dividends, but also at the ability of a company to grow its dividends over time. The chart at right illustrates, by decade, the actual value added by the reinvestment of dividends in ICA. Figures shown are past results for Class A shares and are not predictive of results in future periods. Current and future results may be lower or higher than those shown. Share prices and returns will vary, so investors may lose money. Investing for short periods makes losses more likely. Unless otherwise indicated, results shown are at the 5.75% maximum sales charge for Class A shares (3.50% for investments of $100,000 or more) with all distributions reinvested. For current information and month-end results, visit americanfunds.com. Based on a hypothetical $1,000 investment in 1934, ICA would have generated $336,947 in cash dividends. However, reinvesting all distributions would have added $9.5 million to the account value. Value of $1,000 Invested on 1/1/34 as of 12/31 Value (dividends reinvested) Value (excluding dividends) Dividend amount taken in cash = Value added by reinvesting dividends 1940 $ 2,438 $ 2,146 $ 285 $ 7 1950 7,662 4,519 1,592 1,551 1960 33,600 14,560 4,217 14,823 1970 90,802 30,742 10,211 49,849 1980 238,018 55,224 24,179 158,615 1990 1,040,902 159,882 65,885 815,135 2000 4,743,507 587,545 131,608 4,024,354 + 2010 6,483,043 649,677 257,100 5,576,266 2015 $10,771,926 $978,708 $336,947 $9,456,271 Results are calculated by Thomson. Account values and dividends taken in cash are rounded to nearest dollar. 16

Growth Over a Wide Variety of Periods ICA has persevered through market highs and lows, world conflicts and the ever-changing scope of technology. What does long term mean to you? Ten years? Twenty? Fifty? ICA s 82-year history can be used to illustrate the fund s results over a variety of meaningful periods through December 31, 2015, starting with a hypothetical $1,000 investment. Over Any Calendar Period This Long 5 years Here s the Best You Would Have Done $2,733 +22.3% a year (1995 1999) Here s the Worst You Would Have Done $674 7.6% a year (1937 1941) And Here s the Median $1,716 +11.4% a year (2003 2007) 10 years $5,169 +17.9% a year (1982 1991) $1,106 +1.0% a year (1999 2008) $3,146 +12.1% a year (1948-1957) 15 years $11,602 +17.8% a year (1975 1989) $2,141 +5.6% a year (2001 2015) $5,365 +11.9% a year (1946 1960) 20 years $22,413 +16.8% a year (1979 1998) $4,557 +7.9% a year (1992 2011) $10,391 +12.4% a year (1946 1965) 25 years $51,263 +17.1% a year (1975 1999) $8,982 +9.2% a year (1987 2011) $16,776 +11.9% a year (1970-1994) 30 years $60,232 +14.6% a year (1975 2004) $18,167 +10.1% a year (1946 1975) $29,808 +12.0% a year (1966 1995) 40 years $154,589 +13.4% a year (1958 1997) $43,750 +9.9% a year (1969 2008) $98,632 +12.2% a year (1965 2004) 50 years $671,140 +13.9% a year (1950 1999) $145,209 +10.5% a year (1962 2011) $341,639 +12.4% a year (1958 2007) 60 years $1,891,633 +13.4% a year (1942 2001) $509,357 +11.1% a year (1956 2015) $1,140,039 +12.4% a year (1948 2007) 17

Investing for Retirement Bob and Cathy Quan began preparing for retirement 15 years ago with their first investment of $1,000 a month in ICA. Their financial advisor set up an Automatic Investment Plan to move money directly from their checking account into the fund. Now looking ahead to 20 years in retirement, and aiming to preserve their principal, the Quans plan to make monthly withdrawals at an annual rate of 5% of their account value at each year-end, reinvesting their dividends and capital gain distributions. It s impossible to predict how much money they will withdraw over the next 20 years, of course. But this chart shows how the plan would have worked if they had invested $1,000 a month from 1981 through 1995 and then withdrew 5% a year over a 20-year period ended December 31, 2015. They would have taken a total of $935,177 in withdrawals and would still have $1,146,486 left. A program of regular investing neither ensures a profit nor protects against loss, and investors should consider their willingness to keep investing when share prices are declining. Results are calculated by Thomson. For illustrations of higher or lower withdrawal rates, please ask your financial advisor. * Cumulative volume discount applied when appropriate. 18 Year Cumulative Investment* Value of Account Withdrawals 1981 $ 12,000 $ 11,185 1982 24,000 29,050 1983 36,000 46,923 1984 48,000 62,444 1985 60,000 96,608 1986 72,000 129,687 1987 84,000 147,311 1988 96,000 179,092 1989 108,000 244,436 1990 120,000 258,089 1991 132,000 339,453 1992 144,000 375,473 1993 156,000 431,451 1994 168,000 443,817 1995 180,000 592,975 1996 674,858 $29,649 1997 837,676 33,743 1998 982,222 41,884 1999 1,090,977 49,111 2000 1,077,164 54,549 2001 974,595 53,858 2002 788,573 48,730 2003 949,196 39,429 2004 990,941 47,460 2005 1,006,753 49,547 2006 1,112,500 50,338 2007 1,122,682 55,625 2008 689,806 56,134 2009 835,378 34,490 2010 879,598 41,769 2011 820,993 43,980 2012 905,676 41,050 2013 1,146,556 45,284 2014 1,224,412 57,328 2015 1,146,486 61,221 Total withdrawals: $935,177

Customizing Withdrawals Over time, your income needs will probably vary, so you should develop a plan that fits your circumstances. Here are a few ways to set up withdrawals, based on a hypothetical investment of $100,000, over the 20-year period ended December 31, 2015: Dividends in Cash Self-Adjusting Withdrawals (Assumes monthly withdrawals at an annual rate of 5% of the previous year s account value.) Fixed-Amount Withdrawals (Assumes monthly withdrawals at an annual rate of 5% of the initial $100,000 investment.) $339,830 $284,716 $84,581 $152,130 $186,281 $100,000 Dividends in in cash Ending value Total withdrawals Ending value Total withdrawals Ending value Year Dividends in Cash Ending Value 1996 $2,233 $112,773 1997 2,327 143,843 1998 2,619 173,897 1999 2,875 199,602 2000 3,229 204,009 2001 3,436 191,232 2002 3,496 160,308 2003 3,550 198,385 2004 3,577 213,993 2005 4,732 223,837 2006 5,282 253,932 2007 5,001 263,954 2008 5,447 167,905 2009 4,566 207,879 2010 4,486 225,583 2011 4,646 217,011 2012 5,768 244,964 2013 5,117 318,723 2014 6,296 350,773 2015 5,897 339,830 Total dividends in cash: $84,581 Year Withdrawals Ending Value 1996 $5,000 $109,651 1997 5,483 136,106 1998 6,805 159,592 1999 7,980 177,262 2000 8,863 175,018 2001 8,751 158,352 2002 7,918 128,127 2003 6,406 154,226 2004 7,711 161,008 2005 8,050 163,577 2006 8,179 180,759 2007 9,038 182,414 2008 9,121 112,080 2009 5,604 135,732 2010 6,787 142,917 2011 7,146 133,395 2012 6,670 147,154 2013 7,358 186,293 2014 9,315 198,943 2015 9,947 186,281 Total withdrawals: $152,130 Year Withdrawals Ending Value 1996 $5,000 $109,651 1997 5,000 136,654 1998 5,000 162,317 1999 5,000 183,706 2000 5,000 185,652 2001 5,000 172,199 2002 5,000 142,664 2003 5,000 174,256 2004 5,000 185,918 2005 5,000 193,415 2006 5,000 218,809 2007 5,000 226,785 2008 5,000 144,189 2009 5,000 177,302 2010 5,000 190,989 2011 5,000 182,729 2012 5,000 205,949 2013 5,000 266,901 2014 5,000 293,870 2015 5,000 284,716 Total withdrawals: $100,000 Results are calculated by Thomson. 19

An 82-Year History of Investment Success Year ICA s Total Return Stock Market Consumer Prices 1934 +25.4% 1.5% +1.5% 1935 +83.1 +47.7 +3.0 1936 +45.8 +33.8 +1.4 1937 38.5 35.0 +2.9 1938 +27.6 +31.0 2.8 1939 +0.8 0.4 0.0 1940 2.4 9.8 +0.7 1941 7.4 11.6 +9.9 1942 +16.8 +20.4 +9.0 1943 +32.8 +25.8 +3.0 1944 +23.3 +19.7 +2.3 1945 +36.8 +36.4 +2.2 1946 2.4 8.1 +18.1 1947 +0.9 +5.7 +8.8 1948 +0.4 +5.4 +3.0 1949 +9.4 +18.8 2.1 1950 +19.8 +31.7 +5.9 1951 +17.8 +24.0 +6.0 1952 +12.2 +18.3 +0.8 1953 +0.4 1.0 +0.7 1954 +56.1 +52.6 0.7 1955 +25.4 +31.5 +0.4 1956 +10.8 +6.5 +3.0 1957 11.9 10.8 +2.9 1958 +44.8 +43.3 +1.8 1959 +14.2 +12.0 +1.7 1960 +4.5 +0.5 +1.4 1961 +23.1 +26.9 +0.7 1962 13.2 8.7 +1.3 1963 +22.9 +22.8 +1.6 1964 +16.3 +16.5 +1.0 1965 +26.9 +12.5 +1.9 1966 +1.0 10.1 +3.5 1967 +28.9 +24.0 +3.0 1968 +17.0 +11.1 +4.7 1969 10.7 8.4 +6.2 1970 +2.6 +3.9 +5.6 1971 +17.0 +14.3 +3.3 1972 +15.9 +19.0 +3.4 1973 16.8 14.7 +8.7 1974 17.9 26.5 +12.3 1975 +35.4 +37.2 +6.9 1976 +29.6 +23.9 +4.9 Year ICA s Total Return Stock Market Consumer Prices 1977 2.6% 7.2% +6.7% 1978 +14.7 +6.6 +9.0 1979 +19.2 +18.6 +13.3 1980 +21.2 +32.5 +12.5 1981 +0.9 4.9 +8.9 1982 +33.8 +21.5 +3.8 1983 +20.2 +22.6 +3.8 1984 +6.7 +6.3 +3.9 1985 +33.4 +31.7 +3.8 1986 +21.7 +18.7 +1.1 1987 +5.4 +5.3 +4.4 1988 +13.3 +16.6 +4.4 1989 +29.4 +31.7 +4.6 1990 +0.7 3.1 +6.1 1991 +26.5 +30.5 +3.1 1992 +7.0 +7.6 +2.9 1993 +11.6 +10.1 +2.7 1994 +0.2 +1.3 +2.7 1995 +30.6 +37.6 +2.5 1996 +19.3 +23.0 +3.3 1997 +29.8 +33.4 +1.7 1998 +22.9 +28.6 +1.6 1999 +16.6 +21.0 +2.7 2000 +3.8 9.1 +3.4 2001 4.6 11.9 +1.6 2002 14.5 22.1 +2.4 2003 +26.3 +28.7 +1.9 2004 +9.8 +10.9 +3.3 2005 +6.9 +4.9 +3.4 2006 +15.9 +15.8 +2.5 2007 +5.9 +5.5 +4.1 2008 34.7 37.0 +0.1 2009 +27.2 +26.5 +2.7 2010 +10.9 +15.1 +1.5 2011 1.8 +2.1 +3.0 2012 +15.6 +16.0 +1.7 2013 +32.4 +32.4 +1.5 2014 +12.1 +13.7 +0.8 2015 1.4 +1.4 +0.7 82-year average annual total returns through 12/31/15 Number of best years +12.1% +10.8% +3.6% 32 29 21 Sources Stock market: S&P 500, with reinvestment of dividends; consumer prices: Consumer Price Index as measured by the U.S. Department of Labor, Bureau of Labor Statistics. Results for ICA are shown at net asset value with all distributions reinvested. If the 5.75% maximum Class A sales charge had been deducted, results would have been lower. 20

What Makes ICA a Rare Opportunity This growth-and-income fund has outshone many individual stocks, and it would be difficult to find a company that could match its statistics: in the same business for 82 years net assets of $71.9 billion, with $3.5 billion in reserves of cash or cash equivalents invested in such diverse industries as biotechnology, energy, and beverages & tobacco a management team of eight portfolio managers with a median nine years of experience with the fund research offices located throughout the United States, Europe and Asia paid a dividend every year since 1936 increased regular dividends in 68 of the past 79 calendar years (if dividends were taken in cash and capital gains were reinvested, not including special dividends) All figures are as of December 31, 2015, except for portfolio manager information, which is as of the fund s prospectus dated March 1, 2016. 21

The American Funds Advantage SM Since 1931, American Funds, part of Capital Group, has helped investors pursue long-term investment success. Our consistent approach in combination with The Capital System SM has resulted in a superior long-term track record. Aligned With Investor Success We base our decisions on a long-term perspective, which we believe aligns our goals with the interests of our clients. Our portfolio managers average 27 years of investment experience, including 22 years at our company, reflecting a career commitment to our long-term approach. 1 The Capital System SM Our investment process, The Capital System, combines individual accountability with teamwork. Funds using The Capital System are divided into portions that are managed independently by investment professionals with diverse backgrounds, ages and investment approaches. An extensive global research effort is the backbone of our system. Superior Long-Term Track Record Our equity funds have beaten their Lipper peer indexes in 91% of 10-year periods and 95% of 20-year periods. Our fixed-income funds have beaten their Lipper indexes in 58% of 10-year periods and 58% of 20-year periods. 2 Our fund management fees have been among the lowest in the industry. 3 1 Portfolio manager experience as of December 31, 2015. 2 Based on Class A share results for periods through December 31, 2015. Periods covered are the shorter of the fund s lifetime or since the comparable Lipper index inception date (except Capital Income Builder and SMALLCAP World Fund, for which the Lipper average was used). 3 On average, our management fees were in the lowest quintile 68% of the time, based on the 20-year period ended December 31, 2015, versus comparable Lipper categories, excluding funds of funds. We believe that investors can benefit from the guidance and knowledge of a trusted professional. That s why the American Funds are distributed exclusively by financial advisors. In addition to the more than 40 American Funds, we offer the American Funds Target Date Retirement Series (available in all share classes and not limited to IRAs and tax-deferred retirement plans), as well as CollegeAmerica, a 529 college savings plan sponsored by Virginia529, SM Coverdell Education Savings Accounts, the American Funds Insurance Series variable annuity funds and a full line of retirement plan solutions. For details, please contact a financial professional or visit us at americanfunds.com. Investors should carefully consider investment objectives, risks, charges and expenses. This and other important information is contained in the fund s prospectus and summary prospectus, which can be obtained from a financial professional and should be read carefully before investing. If used after June 30, 2016, this brochure must be accompanied by a current American Funds quarterly statistical update. Investment results assume all distributions are reinvested and reflect applicable fees and expenses. The expense ratio (shown on page 10) is as of the fund s prospectus available at the time of publication. When applicable, investment results reflect fee waivers and/or expense reimbursements, without which results would have been lower. Please see americanfunds.com for more information. Lit. No. MFGEBRX-004-0516P CGD/UNL/8181-S55891 2016 American Funds Distributors, Inc. Printed on recycled paper

Quarterly Statistical Update March 31, 2016 This update must be used (until superseded) with any American Funds and CollegeAmerica sales materials that include investment results for periods ended before the date shown. As a practical matter, financial advisors should consider including this update with all American Funds and CollegeAmerica sales literature. This material may be photocopied. Investment results updated monthly, and daily share price information, are available at americanfunds.com. Exchange privileges generally allow shareholders to transfer some or all of their holdings among American Funds in the same share class without a sales charge. CollegeAmerica allows exchanges twice per calendar year and when the beneficiary is changed. Class A, C and F-1 shares generally may be exchanged into the corresponding 529 share class without a sales charge, but such exchanges from UGMA or UTMA custodial accounts may create significant legal and tax consequences. Exchange privileges are subject to change or termination. American Funds American Funds Class A shares are subject to a 5.75% maximum up-front sales charge for equity funds, Retirement Income Portfolio Series funds and most Portfolio Series funds, 3.75% for most bond and tax-exempt bond funds and American Funds Tax-Advantaged Income Portfolio, and 2.50% for shorter term bond funds, American Funds Preservation Portfolio and American Funds Tax-Exempt Preservation Portfolio. There is no sales charge for the Class A money market fund. Share classes without an up-front sales charge are also available. Class C shares have a 1% contingent deferred sales charge on shares sold within the first year of purchase and convert to Class F-1 shares after 10 years. Class F-1 and F-2 shares have an annual assetbased fee charged by the sponsoring firm. New investments in Class B shares are no longer allowed. For more information and investment results, please see americanfunds.com. Class C shares are limited to a maximum purchase of $500,000, and are not available to certain employer-sponsored retirement plans. Class F-1 and F-2 shares are available only through certain fee-based programs offered by registered investment advisors. Your financial advisor can help you decide which share class is best for you. Class F-2 shares were introduced on August 1, 2008. Fund results prior to the date of first sale are hypothetical, based on Class A share returns without a sales charge and adjusted for typical additional expenses as described on pages 8 and 9. Individual fund expenses are also shown on pages 8 and 9. American Funds in CollegeAmerica CollegeAmerica, a 529 college savings plan sponsored by Virginia529 SM, is available nationwide and allows federal-tax-free earnings and withdrawals for a beneficiary's qualified higher education expenses. (Qualified withdrawals from 529 plans are exempt from federal income tax. Qualified withdrawals may also be exempt from state income tax. Check with a tax advisor. If withdrawals are used for purposes other than higher education, the earnings will be subject to a 10% federal tax penalty in addition to federal and, if applicable, state income tax.) Interests in CollegeAmerica are sold through unaffiliated intermediaries. Depending on your state of residence, there may be an instate plan that provides tax and other benefits not available through CollegeAmerica. CollegeAmerica features four share classes. Class 529-A, 529-C and 529-F-1 shares are structured similarly to American Funds Class A, C and F-1 shares, respectively. Unless otherwise indicated, 529 share class details (including sales charges and share conversion) are generally the same as the corresponding American Funds share class. Class 529-E shares are structured similarly to Class 529-F-1 shares but are available only through eligible employer-sponsored plans. Unless otherwise indicated, Class 529-E share details are generally the same as Class 529-F-1 shares. New investments in Class 529-B shares are no longer allowed. More information and investment results for Class 529-B and 529-E shares can be found on americanfunds.com. Class 529-C shares do not convert to Class 529-F-1 shares after 10 years. Class 529-F-1 shares are available only through certain feebased programs offered by broker-dealer firms and registered investment advisors. CollegeAmerica investors can contribute up to $14,000 a year per beneficiary ($28,000 for married couples) without gift-tax consequences. With a special gift-tax election, five years' worth of investments can be accelerated, so investors can contribute up to $70,000 at one time ($140,000 for married couples). Each beneficiary is limited to $350,000 in combined account values (including investments and earnings) of all 529 plans administered by Virginia529. 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 prospectuses, summary prospectuses and CollegeAmerica Program Description, which can be obtained from a financial professional and should be read carefully before investing. CollegeAmerica is distributed by American Funds Distributors, Inc., and sold through unaffiliated intermediaries. Investing outside the United States involves risks, such as currency fluctuations, periods of illiquidity and price volatility, as more fully described in the prospectus. These risks may be heightened in connection with investments in developing countries. Diversification does not eliminate the risks of investing; losses are possible in diversified portfolios. Small-company stocks entail additional risks, and they can fluctuate in price more than larger company stocks. Please see important information about fee waivers and expense reimbursements, beginning on page 18.

Figures shown are past results and are not predictive of results in future periods. Current and future results may be lower or higher than those shown. Share prices and returns will vary, so investors may lose money. Investing for short periods makes losses more likely. Returns shown at net asset value (NAV) have all distributions reinvested. If a sales charge had been deducted, the results would have been lower. Returns shown at maximum offering price (MOP) for Class A shares reflect deduction of the maximum sales charge of 5.75% for equity funds, most Portfolio Series funds and Retirement Income Portfolio Series funds, 3.75% for most fixed-income funds and American Funds Tax-Advantaged Income Portfolio and 2.50% for Intermediate Bond Fund of America, Limited Term Tax-Exempt Bond Fund of America, Short-Term Bond Fund of America, American Funds Short-Term Tax-Exempt Bond Fund, American Funds Preservation Portfolio and American Funds Tax-Exempt Preservation Portfolio. For money market funds, the annualized 7-day SEC yield more accurately reflects the fund's current earnings than does the fund's return. For current expense ratios and month-end results, visit americanfunds.com. You could lose money by investing in the American Funds U.S. Government Money Market Fund. Although the fund seeks to preserve the value of your investment at $1.00 per share, it cannot guarantee it will do so. An investment in the fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. The fund's sponsor has no legal obligation to provide financial support to the fund, and you should not expect that the sponsor will provide financial support to the fund at any time. Class A Shares 1,2,5 Without Sales Charge (NAV) Inception Returns as of 3/31/16 Date 1 Year 5 Year 10 Year Average Annual Total Returns (%) With Maximum Sales Charge (MOP) Fund Lifetime 1 Year 5 Year 10 Year Please see important information about fee waivers and expense reimbursements, beginning on page 18. 2 Fund Lifetime Max Sales Charge (%) Annualized 30-day SEC Yield at MOP (%)* Expense Ratio (%) (Net/Gross) Growth AMCAP Fund 5/1/67-1.12 11.36 7.27 11.38-6.81 10.05 6.64 11.24 5.75 0.50 0.68 EuroPacific Growth Fund 4/16/84-8.60 2.42 3.59 10.61-13.84 1.22 2.98 10.41 5.75 0.97 0.83 The Growth Fund of America 12/1/73-0.67 10.33 6.45 13.37-6.37 9.03 5.82 13.21 5.75 0.58 0.65 The New Economy Fund 12/1/83-2.89 11.01 7.54 10.94-8.47 9.70 6.90 10.74 5.75 0.36 0.78 New Perspective Fund 3/13/73-1.86 7.58 6.63 12.09-7.51 6.31 6.00 11.94 5.75 0.91 0.75 New World Fund 6/17/99-8.47 0.32 4.55 7.24-13.74-0.86 3.93 6.86 5.75 0.86 1.04 SMALLCAP World Fund 4/30/90-5.45 5.93 5.49 9.23-10.88 4.69 4.87 8.98 5.75 0.10 1.07 Growth-and-Income American Funds Developing World Growth 2/3/14-12.18-3.95-17.23-6.55 5.75 1.95 1.32 and Income Fund SM American Mutual Fund 2/21/50 0.59 10.23 6.87 11.57-5.20 8.93 6.24 11.47 5.75 2.13 0.58 Capital World Growth and Income Fund 3/26/93-4.46 6.24 5.26 10.34-9.96 4.99 4.63 10.05 5.75 2.11 0.77 Fundamental Investors 8/1/78 2.26 9.92 7.06 12.28-3.62 8.63 6.43 12.10 5.75 1.49 0.60 International Growth and Income Fund SM 10/1/08-10.00 1.92 6.03-15.17 0.72 5.19 5.75 2.32 0.91 The Investment Company of America 1/1/34 1.01 10.43 6.39 12.07-4.80 9.13 5.77 11.99 5.75 1.90 0.58 Washington Mutual Investors Fund SM 7/31/52 1.43 11.06 6.65 11.77-4.40 9.76 6.02 11.66 5.75 1.86 0.58 Equity-Income Capital Income Builder 7/30/87 0.22 6.59 5.30 9.32-5.54 5.34 4.68 9.09 5.75 3.15 0.59 The Income Fund of America 12/1/73 0.52 7.93 6.13 11.05-5.26 6.66 5.50 10.89 5.75 3.04 0.55 Balanced American Balanced Fund 7/26/75 2.72 9.23 6.72 10.68-3.18 7.94 6.09 10.51 5.75 1.55 0.58 American Funds Global Balanced Fund SM 2/1/11-0.91 5.66 5.83-6.62 4.41 4.62 5.75 1.79 0.85 Bond American Funds Inflation Linked Bond Fund 12/14/12 1.05-0.38-1.50-1.15 2.50 0.66/0.65 0.80 American Funds Mortgage Fund 11/1/10 2.85 3.21 2.63-1.01 2.42 1.91 3.75 1.12 0.70 American Funds Strategic Bond Fund SM 3/18/16 1.10-2.70 3.75 1.08/1.16 American High-Income Trust 2/19/88-7.18 2.76 4.96 7.67-10.64 1.98 4.56 7.52 3.75 7.20 0.67 The Bond Fund of America 5/28/74 1.54 3.62 3.59 7.81-2.23 2.84 3.19 7.71 3.75 1.65 0.60 Capital World Bond Fund 8/4/87 1.60 1.80 4.19 6.36-2.22 1.03 3.79 6.21 3.75 1.53 0.93 Intermediate Bond Fund of America 2/19/88 1.51 1.89 2.83 4.89-1.03 1.38 2.58 4.79 2.50 0.95 0.61 Short-Term Bond Fund of America 10/2/06 0.71 0.65 1.67-1.83 0.14 1.40 2.50 0.83 0.60 U.S. Government Securities Fund 10/17/85 2.61 3.08 4.15 5.89-1.21 2.30 3.75 5.75 3.75 0.97 0.65 Tax-exempt bond American Funds Short-Term Tax-Exempt Bond Fund 8/7/09 0.62 1.23 1.39-1.87 0.72 1.00 2.50 0.61 0.58 American Funds Tax-Exempt Fund of New York 11/1/10 3.31 5.56 4.58-0.55 4.75 3.84 3.75 1.45 0.67/0.72 American High-Income Municipal Bond Fund 9/26/94 5.10 8.16 4.86 5.72 1.16 7.33 4.46 5.53 3.75 2.73 0.68 Limited Term Tax-Exempt Bond Fund of America 10/6/93 1.73 3.27 3.49 4.13-0.81 2.76 3.23 4.01 2.50 0.74 0.57 The Tax-Exempt Bond Fund of America 10/3/79 3.65 6.00 4.53 6.66-0.22 5.19 4.13 6.55 3.75 1.54 0.54 The Tax-Exempt Fund of California 10/28/86 3.97 6.96 4.80 5.75 0.04 6.15 4.40 5.61 3.75 1.28 0.62 The Tax-Exempt Fund of Maryland 8/14/86 2.84 4.51 3.59 5.07-0.99 3.70 3.20 4.93 3.75 1.53 0.69 The Tax-Exempt Fund of Virginia 8/14/86 2.86 4.47 3.83 5.22-1.00 3.67 3.44 5.08 3.75 1.22 0.66 Money Market Funds American Funds U.S. Government Money Market Fund SM 5/1/09 0.00 0.00 0.00 0.00 0.00 0.00 0.00/-0.03 0.08/0.38

Class A Shares 1,2,5 Without Sales Charge (NAV) Inception Returns as of 3/31/16 Date 1 Year 5 Year 10 Year Average Annual Total Returns (%) With Maximum Sales Charge (MOP) Fund Lifetime 1 Year 5 Year 10 Year Fund Lifetime Max Sales Charge (%) Annualized 30-day SEC Yield at MOP (%)* Expense Ratio (%) (Net/Gross) Portfolio Series American Funds Balanced Portfolio SM 5/18/12 0.09 9.58-5.66 7.92 5.75 1.41 0.70 American Funds Global Growth Portfolio SM 5/18/12-4.16 10.81-9.66 9.12 5.75 1.05 0.84 American Funds Growth and Income Portfolio SM 5/18/12-0.42 10.36-6.16 8.69 5.75 1.75 0.69 American Funds Growth Portfolio SM 5/18/12-2.67 12.61-8.30 10.89 5.75 0.66 0.75 American Funds Income Portfolio SM 5/18/12-0.29 7.15-6.05 5.53 5.75 3.11 0.64 American Funds Preservation Portfolio SM 5/18/12 1.07 1.07-1.49 0.40 2.50 1.07 0.71 American Funds Tax-Advantaged Income Portfolio SM 5/18/12 1.42 8.66-2.39 7.59 3.75 2.53 0.79 American Funds Tax-Exempt Preservation Portfolio SM 5/18/12 2.14 2.34-0.45 1.67 2.50 2.30 0.76 Retirement Income Portfolio Series American Funds Retirement Income Portfolio - Conservative SM 8/28/15 3.82-2.14 5.75 1.88/1.71 0.72/0.80 American Funds Retirement Income Portfolio - Enhanced SM 8/28/15 4.62-1.39 5.75 2.40/2.28 0.75/0.83 American Funds Retirement Income Portfolio 8/28/15 4.14-1.84 5.75 2.26/2.16 0.73/0.81 - Moderate SM Retirement Target Date American Funds 2010 Target Date Retirement Fund 2/1/07 0.47 6.04 4.11-5.34 4.79 3.44 5.75 1.99 0.69 American Funds 2015 Target Date Retirement Fund 2/1/07 0.52 6.47 4.35-5.27 5.21 3.68 5.75 1.90 0.71 American Funds 2020 Target Date Retirement Fund 2/1/07 0.36 7.04 4.51-5.38 5.78 3.83 5.75 1.51 0.71 American Funds 2025 Target Date Retirement Fund 2/1/07 0.00 7.78 4.98-5.76 6.52 4.30 5.75 1.36 0.73 American Funds 2030 Target Date Retirement Fund 2/1/07-0.87 8.06 5.26-6.56 6.78 4.58 5.75 1.29 0.73 American Funds 2035 Target Date Retirement Fund 2/1/07-1.29 8.01 5.23-6.93 6.74 4.55 5.75 1.25 0.74 American Funds 2040 Target Date Retirement Fund 2/1/07-1.38 8.05 5.27-7.03 6.77 4.59 5.75 1.22 0.74 American Funds 2045 Target Date Retirement Fund 2/1/07-1.45 8.07 5.27-7.14 6.79 4.59 5.75 1.18 0.75 American Funds 2050 Target Date Retirement Fund 2/1/07-1.41 8.06 5.27-7.08 6.78 4.59 5.75 1.16 0.76 American Funds 2055 Target Date Retirement Fund 2/1/10-1.45 8.06 9.78-7.11 6.79 8.73 5.75 1.14 0.78 American Funds 2060 Target Date Retirement Fund SM 3/27/15-1.55-1.44-7.21-7.05 5.75 1.01/-0.12 0.88/1.12 * Two SEC yields are shown for some funds. The first number reflects the fee waiver and/or reimbursement; the second does not. Please see important information about fee waivers and expense reimbursements, beginning on page 18. 3

Figures shown are past results and are not predictive of results in future periods. Current and future results may be lower or higher than those shown. Share prices and returns will vary, so investors may lose money. Investing for short periods makes losses more likely. Returns shown at net asset value (NAV) have all distributions reinvested. If a sales charge had been deducted, the results would have been lower. Class C shares reflect the deduction of a contingent deferred sales charge (1%) on shares sold within the first year of purchase. For money market funds, the annualized 7-day SEC yield more accurately reflects the fund's current earnings than does the fund's return. For current expense ratios and month-end results, visit americanfunds.com. You could lose money by investing in the American Funds U.S. Government Money Market Fund. Although the fund seeks to preserve the value of your investment at $1.00 per share, it cannot guarantee it will do so. An investment in the fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. The fund's sponsor has no legal obligation to provide financial support to the fund, and you should not expect that the sponsor will provide financial support to the fund at any time. Class C Shares 1,2,3,4,5 Average Annual Total Returns (%) Inception Without CDSC With CDSC Returns as of 3/31/16 Date 1 Year 5 Year 10 Year Fund Lifetime 1 Year Annualized 30-day SEC Yield at NAV (%)* Expense Ratio (%) (Net/Gross) Growth AMCAP Fund 5/1/67-1.90 10.47 6.42 11.14-2.80-0.25 1.49 EuroPacific Growth Fund 4/16/84-9.30 1.63 2.78 10.30-10.18 0.29 1.61 The Growth Fund of America 12/1/73-1.48 9.46 5.61 13.12-2.39-0.14 1.45 The New Economy Fund 12/1/83-3.65 10.12 6.69 10.63-4.55-0.39 1.59 New Perspective Fund 3/13/73-2.65 6.73 5.78 11.84-3.57 0.20 1.55 New World Fund 6/17/99-9.22-0.48 3.72 6.71-10.13 0.13 1.84 SMALLCAP World Fund 4/30/90-6.20 5.10 4.67 8.88-7.07-0.64 1.87 Growth-and-Income American Funds Developing World Growth 2/3/14-12.78-4.59-13.65 1.35 2.07 and Income Fund SM American Mutual Fund 2/21/50-0.19 9.35 6.01 11.37-1.14 1.48 1.38 Capital World Growth and Income Fund 3/26/93-5.23 5.40 4.41 9.92-6.14 1.46 1.57 Fundamental Investors 8/1/78 1.43 9.04 6.20 12.00 0.45 0.80 1.40 International Growth and Income Fund SM 10/1/08-10.72 1.11 5.18-11.60 1.66 1.69 The Investment Company of America 1/1/34 0.19 9.53 5.53 11.90-0.73 1.24 1.39 Washington Mutual Investors Fund SM 7/31/52 0.60 10.18 5.80 11.57-0.35 1.21 1.38 Equity-Income Capital Income Builder 7/30/87-0.59 5.74 4.45 8.96-1.56 2.55 1.38 The Income Fund of America 12/1/73-0.23 7.07 5.28 10.78-1.19 2.43 1.35 Balanced American Balanced Fund 7/26/75 1.93 8.37 5.87 10.42 0.96 0.88 1.38 American Funds Global Balanced Fund SM 2/1/11-1.74 4.82 4.99-2.70 1.11 1.65 Bond American Funds Inflation Linked Bond Fund 12/14/12 0.27-1.38-0.72-0.06 1.55 American Funds Mortgage Fund 11/1/10 1.94 2.35 1.81 0.94 0.37 1.50 American Funds Strategic Bond Fund SM 3/18/16 1.10 1.86/1.94 American High-Income Trust 2/19/88-7.92 1.94 4.13 7.31-8.79 6.68 1.47 The Bond Fund of America 5/28/74 0.73 2.80 2.77 7.56-0.26 0.94 1.40 Capital World Bond Fund 8/4/87 0.74 0.99 3.36 6.03-0.26 0.82 1.73 Intermediate Bond Fund of America 2/19/88 0.72 1.09 2.03 4.55-0.28 0.23 1.39 Short-Term Bond Fund of America 10/2/06 0.05-0.18 0.85-0.95 0.05 1.44 U.S. Government Securities Fund 10/17/85 1.78 2.27 3.34 5.59 0.78 0.28 1.42 Tax-exempt bond American Funds Tax-Exempt Fund of New York 11/1/10 2.50 4.65 3.70 1.50 0.73 1.50/1.56 American High-Income Municipal Bond Fund 9/26/94 4.31 7.32 4.05 5.28 3.31 2.10 1.44 Limited Term Tax-Exempt Bond Fund of America 10/6/93 0.96 2.51 2.73 3.71-0.03 0.01 1.33 The Tax-Exempt Bond Fund of America 10/3/79 2.84 5.17 3.71 6.35 1.84 0.82 1.33 The Tax-Exempt Fund of California 10/28/86 3.15 6.12 3.98 5.38 2.15 0.56 1.40 The Tax-Exempt Fund of Maryland 8/14/86 2.03 3.69 2.79 4.70 1.04 0.83 1.47 The Tax-Exempt Fund of Virginia 8/14/86 2.05 3.65 3.02 4.84 1.05 0.49 1.45 Money Market Funds American Funds U.S. Government Money Market Fund SM 5/1/09 0.00 0.00 0.00-1.00 0.00/-0.06 0.08/0.42 Please see important information about fee waivers and expense reimbursements, beginning on page 18. 4

Class C Shares 1,2,3,4,5 Average Annual Total Returns (%) Inception Without CDSC With CDSC Returns as of 3/31/16 Date 1 Year 5 Year 10 Year Fund Lifetime 1 Year Annualized 30-day SEC Yield at NAV (%)* Expense Ratio (%) (Net/Gross) Portfolio Series American Funds Balanced Portfolio SM 5/18/12-0.73 8.72-1.69 0.76 1.49 American Funds Global Growth Portfolio SM 5/18/12-4.90 9.97-5.82 0.32 1.61 American Funds Growth and Income Portfolio SM 5/18/12-1.16 9.51-2.12 1.10 1.48 American Funds Growth Portfolio SM 5/18/12-3.43 11.73-4.36-0.08 1.54 American Funds Income Portfolio SM 5/18/12-1.03 6.35-1.99 2.53 1.41 American Funds Preservation Portfolio SM 5/18/12 0.36 0.35-0.64 0.40 1.43 American Funds Tax-Advantaged Income Portfolio SM 5/18/12 0.85 7.91-0.13 1.94 1.49 American Funds Tax-Exempt Preservation Portfolio SM 5/18/12 1.34 1.62 0.35 1.67 1.46 Retirement Income Portfolio Series American Funds Retirement Income Portfolio 8/28/15 3.44 1.51/1.33 1.42/1.50 - Conservative SM American Funds Retirement Income Portfolio 8/28/15 4.18 1.86/1.73 1.45/1.53 - Enhanced SM American Funds Retirement Income Portfolio - Moderate SM Retirement Target Date American Funds 2010 Target Date Retirement Fund 8/28/15 2/1/07-0.26 5.22 3.76 3.30-1.22 1.71/1.60 1.34 1.43/1.51 1.45 American Funds 2015 Target Date Retirement Fund 2/1/07-0.30 5.62 3.51-1.24 1.26 1.45 American Funds 2020 Target Date Retirement Fund 2/1/07-0.39 6.19 3.67-1.35 0.85 1.46 American Funds 2025 Target Date Retirement Fund 2/1/07-0.79 6.91 4.12-1.73 0.69 1.48 American Funds 2030 Target Date Retirement Fund 2/1/07-1.58 7.20 4.41-2.51 0.63 1.49 American Funds 2035 Target Date Retirement Fund 2/1/07-1.94 7.17 4.39-2.87 0.58 1.51 American Funds 2040 Target Date Retirement Fund 2/1/07-2.15 7.20 4.43-3.08 0.54 1.51 American Funds 2045 Target Date Retirement Fund 2/1/07-2.23 7.18 4.41-3.17 0.48 1.52 American Funds 2050 Target Date Retirement Fund 2/1/07-2.19 7.20 4.42-3.12 0.47 1.53 American Funds 2055 Target Date Retirement Fund 2/1/10-2.23 7.22 8.92-3.17 0.45 1.56 American Funds 2060 Target Date Retirement Fund SM 3/27/15-2.16-2.04-3.13 0.46/-0.77 1.57/1.81 * Two SEC yields are shown for some funds. The first number reflects the fee waiver and/or reimbursement; the second does not. Please see important information about fee waivers and expense reimbursements, beginning on page 18. 5

Figures shown are past results at net asset value and are not predictive of results in future periods. Current and future results may be lower or higher than those shown. Share prices and returns will vary, so investors may lose money. Investing for short periods makes losses more likely. For money market funds, the annualized 7-day SEC yield more accurately reflects the fund's current earnings than does the fund's return. For current expense ratios and month-end results, visit americanfunds.com. You could lose money by investing in the American Funds U.S. Government Money Market Fund. Although the fund seeks to preserve the value of your investment at $1.00 per share, it cannot guarantee it will do so. An investment in the fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. The fund's sponsor has no legal obligation to provide financial support to the fund, and you should not expect that the sponsor will provide financial support to the fund at any time. Class F-1 Shares 1,2,3,4,5 Annualized 30-day SEC Yield at NAV (%)* Expense Ratio (%) (Net/Gross) Inception Average Annual Total Returns (%) Returns as of 3/31/16 Date 1 Year 5 Year 10 Year Fund Lifetime Growth AMCAP Fund 5/1/67-1.16 11.32 7.27 11.33 0.45 0.74 EuroPacific Growth Fund 4/16/84-8.60 2.41 3.57 10.56 0.98 0.86 The Growth Fund of America 12/1/73-0.75 10.31 6.45 13.33 0.57 0.70 The New Economy Fund 12/1/83-2.94 10.98 7.52 10.89 0.32 0.83 New Perspective Fund 3/13/73-1.93 7.53 6.60 12.03 0.90 0.81 New World Fund 6/17/99-8.45 0.35 4.57 7.21 0.93 1.02 SMALLCAP World Fund 4/30/90-5.46 5.95 5.51 9.20 0.08 1.07 Growth-and-Income American Funds Developing World Growth 2/3/14-12.03-3.84 2.15 1.26 and Income Fund SM American Mutual Fund 2/21/50 0.54 10.17 6.83 11.50 2.17 0.66 Capital World Growth and Income Fund 3/26/93-4.49 6.22 5.24 10.28 2.19 0.81 Fundamental Investors 8/1/78 2.18 9.87 7.04 12.22 1.50 0.67 International Growth and Income Fund SM 10/1/08-10.08 1.88 6.00 2.40 0.95 The Investment Company of America 1/1/34 0.92 10.34 6.34 12.00 1.91 0.67 Washington Mutual Investors Fund SM 7/31/52 1.32 10.99 6.61 11.70 1.89 0.66 Equity-Income Capital Income Builder 7/30/87 0.15 6.54 5.26 9.25 3.26 0.65 The Income Fund of America 12/1/73 0.49 7.84 6.08 10.98 3.12 0.64 Balanced American Balanced Fund 7/26/75 2.67 9.19 6.70 10.62 1.59 0.65 American Funds Global Balanced Fund SM 2/1/11-0.97 5.62 5.80 1.84 0.91 Bond American Funds Inflation Linked Bond Fund 12/14/12 1.04-0.65 0.62/0.61 0.82 American Funds Mortgage Fund 11/1/10 2.74 3.18 2.60 1.17 0.71 American Funds Strategic Bond Fund SM 3/18/16 1.10 1.09/1.17 American High-Income Trust 2/19/88-7.21 2.72 4.92 7.60 7.43 0.70 The Bond Fund of America 5/28/74 1.51 3.60 3.57 7.75 1.67 0.63 Capital World Bond Fund 8/4/87 1.59 1.80 4.20 6.31 1.41 0.91 Intermediate Bond Fund of America 2/19/88 1.46 1.84 2.80 4.84 0.93 0.66 Short-Term Bond Fund of America 10/2/06 0.60 0.53 1.58 0.74 0.73 U.S. Government Securities Fund 10/17/85 2.62 3.08 4.16 5.85 1.02 0.62 Tax-exempt bond American Funds Short-Term Tax-Exempt Bond Fund 8/7/09 0.40 1.01 1.18 0.46 0.80 American Funds Tax-Exempt Fund of New York 11/1/10 3.36 5.46 4.49 1.95 0.74/0.80 American High-Income Municipal Bond Fund 9/26/94 5.02 8.06 4.78 5.64 2.78 0.75 Limited Term Tax-Exempt Bond Fund of America 10/6/93 1.64 3.20 3.45 4.05 0.67 0.67 The Tax-Exempt Bond Fund of America 10/3/79 3.52 5.88 4.42 6.57 1.48 0.67 The Tax-Exempt Fund of California 10/28/86 3.84 6.83 4.70 5.65 1.21 0.74 The Tax-Exempt Fund of Maryland 8/14/86 2.72 4.38 3.49 4.97 1.47 0.80 The Tax-Exempt Fund of Virginia 8/14/86 2.74 4.34 3.73 5.11 1.14 0.77 Money Market Funds American Funds U.S. Government Money Market Fund SM 5/1/09 0.00 0.00 0.00 0.00/-0.23 0.08/0.70 Please see important information about fee waivers and expense reimbursements, beginning on page 18. 6

Class F-1 Shares 1,2,3,4,5 Annualized 30-day SEC Yield at NAV (%)* Expense Ratio (%) (Net/Gross) Inception Average Annual Total Returns (%) Returns as of 3/31/16 Date 1 Year 5 Year 10 Year Fund Lifetime Portfolio Series American Funds Balanced Portfolio SM 5/18/12 0.04 9.55 1.49 0.76 American Funds Global Growth Portfolio SM 5/18/12-4.17 10.79 1.01 0.89 American Funds Growth and Income Portfolio SM 5/18/12-0.47 10.32 1.80 0.75 American Funds Growth Portfolio SM 5/18/12-2.76 12.55 0.61 0.82 American Funds Income Portfolio SM 5/18/12-0.24 7.15 3.24 0.68 American Funds Preservation Portfolio SM 5/18/12 1.19 1.11 1.13 0.70 American Funds Tax-Advantaged Income Portfolio SM 5/18/12 1.46 8.69 2.69 0.76 American Funds Tax-Exempt Preservation Portfolio SM 5/18/12 2.19 2.37 2.42 0.73 Retirement Income Portfolio Series American Funds Retirement Income Portfolio 8/28/15 3.83 2.21/2.05 0.73/0.81 - Conservative SM American Funds Retirement Income Portfolio 8/28/15 4.63 2.60/2.46 0.76/0.84 - Enhanced SM American Funds Retirement Income Portfolio 8/28/15 4.15 2.43/2.32 0.74/0.82 - Moderate SM Retirement Target Date American Funds 2010 Target Date Retirement Fund 2/1/07 0.48 6.01 4.08 2.11 0.71 American Funds 2015 Target Date Retirement Fund 2/1/07 0.49 6.43 4.30 1.99 0.72 American Funds 2020 Target Date Retirement Fund 2/1/07 0.37 7.00 4.46 1.60 0.73 American Funds 2025 Target Date Retirement Fund 2/1/07-0.09 7.72 4.92 1.44 0.76 American Funds 2030 Target Date Retirement Fund 2/1/07-0.91 8.01 5.20 1.31 0.77 American Funds 2035 Target Date Retirement Fund 2/1/07-1.26 7.97 5.18 1.31 0.77 American Funds 2040 Target Date Retirement Fund 2/1/07-1.49 8.00 5.21 1.27 0.78 American Funds 2045 Target Date Retirement Fund 2/1/07-1.46 8.01 5.21 1.23 0.80 American Funds 2050 Target Date Retirement Fund 2/1/07-1.56 8.01 5.22 1.19 0.79 American Funds 2055 Target Date Retirement Fund 2/1/10-1.52 8.03 9.75 1.17 0.82 American Funds 2060 Target Date 3/27/15-1.37-1.25 1.15/-0.05 0.85/1.09 Retirement Fund SM * Two SEC yields are shown for some funds. The first number reflects the fee waiver and/or reimbursement; the second does not. Please see important information about fee waivers and expense reimbursements, beginning on page 18. 7

Figures shown are past results at net asset value and are not predictive of results in future periods. Current and future results may be lower or higher than those shown. Share prices and returns will vary, so investors may lose money. Investing for short periods makes losses more likely. For money market funds, the annualized 7-day SEC yield more accurately reflects the fund's current earnings than does the fund's return. For current expense ratios and month-end results, visit americanfunds.com. You could lose money by investing in the American Funds U.S. Government Money Market Fund. Although the fund seeks to preserve the value of your investment at $1.00 per share, it cannot guarantee it will do so. An investment in the fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. The fund's sponsor has no legal obligation to provide financial support to the fund, and you should not expect that the sponsor will provide financial support to the fund at any time. Class F-2 Shares 1,2,3,4,5 Annualized 30-day SEC Yield at NAV (%)* Expense Ratio (%) (Net/Gross) Inception Average Annual Total Returns (%) Returns as of 3/31/16 Date 1 Year 5 Year 10 Year Fund Lifetime Growth AMCAP Fund 5/1/67-0.93 11.60 7.51 11.61 0.72 0.47 EuroPacific Growth Fund 4/16/84-8.36 2.68 3.84 10.84 1.27 0.59 The Growth Fund of America 12/1/73-0.47 10.60 6.70 13.62 0.80 0.43 The New Economy Fund 12/1/83-2.70 11.29 7.81 11.19 0.59 0.57 New Perspective Fund 3/13/73-1.65 7.83 6.88 12.32 1.17 0.55 New World Fund 6/17/99-8.21 0.62 4.84 7.51 1.19 0.76 SMALLCAP World Fund 4/30/90-5.20 6.23 5.79 9.50 0.36 0.82 Growth-and-Income American Funds Developing World Growth 2/3/14-11.78-3.61 2.41 1.00 and Income Fund SM American Mutual Fund 2/21/50 0.76 10.44 7.07 11.74 2.42 0.41 Capital World Growth and Income Fund 3/26/93-4.25 6.51 5.50 10.56 2.45 0.54 Fundamental Investors 8/1/78 2.45 10.16 7.29 12.49 1.76 0.41 International Growth and Income Fund SM 10/1/08-9.81 2.14 6.27 2.66 0.69 The Investment Company of America 1/1/34 1.22 10.64 6.61 12.26 2.15 0.41 Washington Mutual Investors Fund SM 7/31/52 1.58 11.28 6.87 11.97 2.14 0.40 Equity-Income Capital Income Builder 7/30/87 0.41 6.80 5.49 9.50 3.51 0.40 The Income Fund of America 12/1/73 0.73 8.11 6.32 11.23 3.38 0.38 Balanced American Balanced Fund 7/26/75 2.92 9.47 6.95 10.90 1.83 0.39 American Funds Global Balanced Fund SM 2/1/11-0.72 5.88 6.06 2.10 0.65 Bond American Funds Inflation Linked Bond Fund 12/14/12 1.16-0.43 0.93 0.55 American Funds Mortgage Fund 11/1/10 3.01 3.44 2.86 1.44 0.42 American Funds Strategic Bond Fund SM 3/18/16 1.10 0.79/0.87 American High-Income Trust 2/19/88-6.97 2.98 5.18 7.90 7.72 0.45 The Bond Fund of America 5/28/74 1.78 3.88 3.83 8.05 1.93 0.37 Capital World Bond Fund 8/4/87 1.92 2.09 4.47 6.64 1.83 0.65 Intermediate Bond Fund of America 2/19/88 1.74 2.13 3.09 5.14 1.19 0.39 Short-Term Bond Fund of America 10/2/06 0.86 0.81 1.85 0.99 0.45 U.S. Government Securities Fund 10/17/85 2.87 3.34 4.41 6.18 1.27 0.38 Tax-exempt bond American Funds Short-Term Tax-Exempt Bond Fund 8/7/09 0.66 1.27 1.44 0.69 0.55 American Funds Tax-Exempt Fund of New York 11/1/10 3.46 5.64 4.67 1.65 0.56/0.61 American High-Income Municipal Bond Fund 9/26/94 5.29 8.34 5.05 5.91 3.00 0.49 Limited Term Tax-Exempt Bond Fund of America 10/6/93 1.89 3.46 3.69 4.32 0.91 0.41 The Tax-Exempt Bond Fund of America 10/3/79 3.78 6.15 4.68 6.81 1.67 0.41 The Tax-Exempt Fund of California 10/28/86 4.09 7.10 4.95 5.88 1.45 0.49 The Tax-Exempt Fund of Maryland 8/14/86 2.97 4.66 3.75 5.21 1.67 0.56 The Tax-Exempt Fund of Virginia 8/14/86 2.98 4.61 3.98 5.36 1.38 0.53 Money Market Funds American Funds U.S. Government Money Market Fund SM 5/1/09 0.00 0.00 0.00 0.00/-0.19 0.08/0.44 Please see important information about fee waivers and expense reimbursements, beginning on page 18. 8

Class F-2 Shares 1,2,3,4,5 Annualized 30-day SEC Yield at NAV (%)* Expense Ratio (%) (Net/Gross) Inception Average Annual Total Returns (%) Returns as of 3/31/16 Date 1 Year 5 Year 10 Year Fund Lifetime Portfolio Series American Funds Balanced Portfolio SM 5/18/12 0.29 9.81 1.74 0.51 American Funds Global Growth Portfolio SM 5/18/12-3.97 11.06 1.28 0.63 American Funds Growth and Income Portfolio SM 5/18/12-0.22 10.61 2.07 0.50 American Funds Growth Portfolio SM 5/18/12-2.50 12.83 0.87 0.56 American Funds Income Portfolio SM 5/18/12-0.07 7.40 3.48 0.44 American Funds Preservation Portfolio SM 5/18/12 1.43 1.35 1.40 0.45 American Funds Tax-Advantaged Income Portfolio SM 5/18/12 1.78 8.98 2.93 0.51 American Funds Tax-Exempt Preservation Portfolio SM 5/18/12 2.44 2.64 2.64 0.48 Retirement Income Portfolio Series American Funds Retirement Income Portfolio 8/28/15 3.91 2.47/2.29 0.48/0.56 - Conservative SM American Funds Retirement Income Portfolio 8/28/15 4.69 2.84/2.72 0.51/0.59 - Enhanced SM American Funds Retirement Income Portfolio 8/28/15 4.31 2.69/2.58 0.49/0.57 - Moderate SM Retirement Target Date American Funds 2010 Target Date Retirement Fund 2/1/07 0.76 6.29 4.34 2.33 0.46 American Funds 2015 Target Date Retirement Fund 2/1/07 0.73 6.69 4.56 2.29 0.46 American Funds 2020 Target Date Retirement Fund 2/1/07 0.66 7.27 4.72 1.86 0.47 American Funds 2025 Target Date Retirement Fund 2/1/07 0.25 8.00 5.18 1.68 0.49 American Funds 2030 Target Date Retirement Fund 2/1/07-0.63 8.28 5.46 1.62 0.51 American Funds 2035 Target Date Retirement Fund 2/1/07-1.00 8.23 5.44 1.55 0.52 American Funds 2040 Target Date Retirement Fund 2/1/07-1.20 8.28 5.48 1.51 0.52 American Funds 2045 Target Date Retirement Fund 2/1/07-1.23 8.28 5.47 1.49 0.55 American Funds 2050 Target Date Retirement Fund 2/1/07-1.24 8.28 5.48 1.45 0.53 American Funds 2055 Target Date Retirement Fund 2/1/10-1.26 8.29 10.01 1.44 0.58 American Funds 2060 Target Date 3/27/15-1.32-1.20 1.18/0.35 0.61/0.85 Retirement Fund SM * Two SEC yields are shown for some funds. The first number reflects the fee waiver and/or reimbursement; the second does not. Please see important information about fee waivers and expense reimbursements, beginning on page 18. 9

Figures shown are past results and are not predictive of results in future periods. Current and future results may be lower or higher than those shown. Share prices and returns will vary, so investors may lose money. Investing for short periods makes losses more likely. Returns shown at net asset value (NAV) have all distributions reinvested. If a sales charge had been deducted, the results would have been lower. Returns shown at maximum offering price (MOP) for Class 529-A shares reflect deduction of the maximum sales charge of 5.75% for equity funds, most Portfolio Series funds and Retirement Income Portfolio Series funds, 4.25% for most college target date funds, 3.75% for most fixed-income funds and 2.50% for Intermediate Bond Fund of America, Short-Term Bond Fund of America and American Funds Preservation Portfolio and College Enrollment Fund. For money market funds, the annualized 7-day SEC yield more accurately reflects the fund's current earnings than does the fund's return. For current expense ratios and month-end results, visit americanfunds.com. You could lose money by investing in the American Funds U.S. Government Money Market Fund. Although the fund seeks to preserve the value of your investment at $1.00 per share, it cannot guarantee it will do so. An investment in the fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. The fund's sponsor has no legal obligation to provide financial support to the fund, and you should not expect that the sponsor will provide financial support to the fund at any time. CollegeAmerica Class 529-A Shares 1,2,3,4,5 Without Sales Charge (NAV) Inception Returns as of 3/31/16 Date 1 Year 5 Year 10 Year Average Annual Total Returns (%) With Maximum Sales Charge (MOP) Fund Lifetime 1 Year 5 Year 10 Year Fund Lifetime Max Sales Charge (%) Annualized 30-day SEC Yield at MOP (%)* Expense Ratio (%) (Net/Gross) Growth AMCAP Fund 5/1/67-1.20 11.26 7.19 11.27-6.89 9.96 6.56 11.14 5.75 0.41 0.77 EuroPacific Growth Fund 4/16/84-8.64 2.37 3.54 10.52-13.89 1.16 2.93 10.32 5.75 0.94 0.89 The Growth Fund of America 12/1/73-0.78 10.24 6.39 13.27-6.49 8.95 5.76 13.11 5.75 0.51 0.73 The New Economy Fund 12/1/83-2.98 10.93 7.48 10.85-8.55 9.62 6.84 10.64 5.75 0.29 0.86 New Perspective Fund 3/13/73-1.97 7.49 6.55 11.99-7.59 6.23 5.93 11.84 5.75 0.83 0.84 New World Fund 6/17/99-8.53 0.27 4.50 7.18-13.79-0.91 3.88 6.80 5.75 0.80 1.11 SMALLCAP World Fund 4/30/90-5.52 5.86 5.44 9.15-10.96 4.62 4.82 8.90 5.75 0.03 1.15 Growth-and-Income American Funds Developing World Growth 2/3/14-12.12-3.93-17.18-6.53 5.75 2.02 1.38 and Income Fund SM American Mutual Fund 2/21/50 0.51 10.12 6.78 11.45-5.26 8.83 6.15 11.35 5.75 2.04 0.68 Capital World Growth and Income Fund 3/26/93-4.55 6.16 5.18 10.24-10.04 4.91 4.56 9.95 5.75 2.03 0.86 Fundamental Investors 8/1/78 2.13 9.82 6.99 12.17-3.74 8.52 6.35 12.00 5.75 1.40 0.70 International Growth and Income Fund SM 10/1/08-10.08 1.85 5.96-15.25 0.65 5.12 5.75 2.26 0.97 The Investment Company of America 1/1/34 0.90 10.31 6.30 11.95-4.90 9.02 5.67 11.87 5.75 1.80 0.69 Washington Mutual Investors Fund SM 7/31/52 1.30 10.96 6.56 11.65-4.53 9.65 5.93 11.55 5.75 1.78 0.68 Equity-Income Capital Income Builder 7/30/87 0.12 6.49 5.21 9.21-5.64 5.23 4.60 8.98 5.75 3.07 0.68 The Income Fund of America 12/1/73 0.47 7.82 6.04 10.93-5.32 6.55 5.41 10.78 5.75 2.95 0.65 Balanced American Balanced Fund 7/26/75 2.63 9.13 6.63 10.57-3.28 7.84 6.00 10.41 5.75 1.48 0.68 American Funds Global Balanced Fund SM 2/1/11-1.02 5.58 5.75-6.72 4.34 4.54 5.75 1.73 0.93 Bond American Funds Inflation Linked Bond Fund 12/14/12 1.11-0.70-1.42-1.46 2.50 0.77 0.93 American Funds Mortgage Fund 11/1/10 2.78 3.12 2.55-1.08 2.34 1.83 3.75 1.02 0.79 American Funds Strategic Bond Fund SM 3/18/16 1.10-2.70 3.75 1.23/1.31 American High-Income Trust 2/19/88-7.27 2.67 4.89 7.57-10.72 1.88 4.49 7.42 3.75 7.12 0.76 The Bond Fund of America 5/28/74 1.44 3.53 3.51 7.71-2.33 2.75 3.12 7.61 3.75 1.57 0.70 Capital World Bond Fund 8/4/87 1.49 1.72 4.13 6.28-2.31 0.95 3.73 6.14 3.75 1.45 1.02 Intermediate Bond Fund of America 2/19/88 1.41 1.80 2.76 4.79-1.13 1.29 2.50 4.69 2.50 0.88 0.70 Short-Term Bond Fund of America 10/2/06 0.65 0.59 1.60-1.87 0.08 1.33 2.50 0.79 0.66 U.S. Government Securities Fund 10/17/85 2.53 3.00 4.08 5.79-1.29 2.21 3.68 5.66 3.75 0.92 0.72 Money Market Funds American Funds U.S. Government Money Market Fund SM 5/1/09 0.00 0.00 0.00 0.00 0.00 0.00 0.00/-0.12 0.08/0.50 Please see important information about fee waivers and expense reimbursements, beginning on page 18. 10

CollegeAmerica Class 529-A Shares 1,2,3,4,5 Without Sales Charge (NAV) Inception Returns as of 3/31/16 Date 1 Year 5 Year 10 Year Average Annual Total Returns (%) With Maximum Sales Charge (MOP) Fund Lifetime 1 Year 5 Year 10 Year Fund Lifetime Max Sales Charge (%) Annualized 30-day SEC Yield at MOP (%)* Expense Ratio (%) (Net/Gross) Portfolio Series American Funds Balanced Portfolio SM 5/18/12 0.07 9.50-5.68 7.84 5.75 1.37 0.80 American Funds Global Growth Portfolio SM 5/18/12-4.22 10.77-9.73 9.08 5.75 0.99 0.90 American Funds Growth and Income Portfolio SM 5/18/12-0.50 10.28-6.24 8.61 5.75 1.67 0.78 American Funds Growth Portfolio SM 5/18/12-2.73 12.55-8.30 10.84 5.75 0.55 0.82 American Funds Income Portfolio SM 5/18/12-0.31 7.07-6.01 5.45 5.75 3.05 0.75 American Funds Preservation Portfolio SM 5/18/12 1.01 1.02-1.55 0.36 2.50 1.13 0.77 College Target Date American Funds College 2018 Fund 9/14/12 1.58 4.59-2.71 3.33 4.25 1.26 0.74 American Funds College 2021 Fund 9/14/12 1.35 5.60-2.97 4.33 4.25 1.66 0.71 American Funds College 2024 Fund 9/14/12 0.43 6.58-3.85 5.30 4.25 1.74 0.76 American Funds College 2027 Fund 9/14/12-0.28 7.46-4.54 6.16 4.25 1.60 0.78 American Funds College 2030 Fund 9/14/12-0.98 8.20-5.21 6.89 4.25 1.50 0.79 American Funds College 2033 Fund SM 3/27/15-2.46-2.62-6.57-6.68 4.25 1.41/1.36 0.85/0.88 American Funds College Enrollment Fund 9/14/12 1.42 0.90-1.16 0.17 2.50 0.95 0.78 * Two SEC yields are shown for some funds. The first number reflects the fee waiver and/or reimbursement; the second does not. Please see important information about fee waivers and expense reimbursements, beginning on page 18. 11

Figures shown are past results and are not predictive of results in future periods. Current and future results may be lower or higher than those shown. Share prices and returns will vary, so investors may lose money. Investing for short periods makes losses more likely. Returns shown at net asset value (NAV) have all distributions reinvested. If a sales charge had been deducted, the results would have been lower. Class 529-C shares reflect the deduction of a contingent deferred sales charge (1%) on shares sold within the first year of purchase. For money market funds, the annualized 7-day SEC yield more accurately reflects the fund's current earnings than does the fund's return. For current expense ratios and month-end results, visit americanfunds.com. You could lose money by investing in the American Funds U.S. Government Money Market Fund. Although the fund seeks to preserve the value of your investment at $1.00 per share, it cannot guarantee it will do so. An investment in the fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. The fund's sponsor has no legal obligation to provide financial support to the fund, and you should not expect that the sponsor will provide financial support to the fund at any time. CollegeAmerica Class 529-C Shares 1,3,4,5 Average Annual Total Returns (%) Inception Without CDSC With CDSC Returns as of 3/31/16 Date 1 Year 5 Year 10 Year Fund Lifetime 1 Year Annualized 30-day SEC Yield at NAV (%)* Expense Ratio (%) (Net/Gross) Growth AMCAP Fund 5/1/67-1.97 10.39 6.34 10.37-2.86-0.27 1.56 EuroPacific Growth Fund 4/16/84-9.35 1.57 2.72 9.63-10.23 0.30 1.67 The Growth Fund of America 12/1/73-1.55 9.39 5.54 12.36-2.45-0.14 1.51 The New Economy Fund 12/1/83-3.77 10.04 6.60 9.95-4.68-0.42 1.66 New Perspective Fund 3/13/73-2.70 6.65 5.71 11.09-3.62 0.19 1.62 New World Fund 6/17/99-9.27-0.54 3.65 6.30-10.18 0.15 1.90 SMALLCAP World Fund 4/30/90-6.25 5.03 4.60 8.27-7.13-0.65 1.93 Growth-and-Income American Funds Developing World Growth 2/3/14-12.92-4.68-13.78 1.29 2.14 and Income Fund SM American Mutual Fund 2/21/50-0.27 9.26 5.94 10.58-1.21 1.46 1.46 Capital World Growth and Income Fund 3/26/93-5.27 5.33 4.35 9.36-6.19 1.44 1.64 Fundamental Investors 8/1/78 1.37 8.96 6.13 11.29 0.40 0.77 1.48 International Growth and Income Fund SM 10/1/08-10.82 1.02 5.10-11.70 1.65 1.77 The Investment Company of America 1/1/34 0.14 9.46 5.46 11.07-0.79 1.23 1.46 Washington Mutual Investors Fund SM 7/31/52 0.54 10.10 5.73 10.78-0.41 1.20 1.45 Equity-Income Capital Income Builder 7/30/87-0.66 5.67 4.38 8.34-1.63 2.53 1.46 The Income Fund of America 12/1/73-0.36 6.98 5.20 10.05-1.32 2.41 1.42 Balanced American Balanced Fund 7/26/75 1.84 8.29 5.80 9.70 0.86 0.85 1.45 American Funds Global Balanced Fund SM 2/1/11-1.78 4.74 4.91-2.74 1.08 1.73 Bond American Funds Inflation Linked Bond Fund 12/14/12 0.21-1.45-0.79-0.10 1.64 American Funds Mortgage Fund 11/1/10 1.88 2.28 1.74 0.88 0.31 1.57 American Funds Strategic Bond Fund SM 3/18/16 1.10 1.93/2.01 American High-Income Trust 2/19/88-7.98 1.87 4.06 6.70-8.85 6.72 1.53 The Bond Fund of America 5/28/74 0.67 2.74 2.70 6.85-0.33 0.95 1.46 Capital World Bond Fund 8/4/87 0.70 0.92 3.30 5.42-0.30 0.80 1.79 Intermediate Bond Fund of America 2/19/88 0.58 1.01 1.95 3.96-0.42 0.24 1.46 Short-Term Bond Fund of America 10/2/06-0.17-0.27 0.77-1.16 0.04 1.52 U.S. Government Securities Fund 10/17/85 1.74 2.21 3.27 4.95 0.74 0.35 1.47 Money Market Funds American Funds U.S. Government Money Market Fund SM 5/1/09 0.00 0.00 0.00-1.00 0.00/-0.12 0.08/0.50 Please see important information about fee waivers and expense reimbursements, beginning on page 18. 12

CollegeAmerica Class 529-C Shares 1,3,4,5 Average Annual Total Returns (%) Inception Without CDSC With CDSC Returns as of 3/31/16 Date 1 Year 5 Year 10 Year Fund Lifetime 1 Year Annualized 30-day SEC Yield at NAV (%)* Expense Ratio (%) (Net/Gross) Portfolio Series American Funds Balanced Portfolio SM 5/18/12-0.78 8.63-1.74 0.68 1.58 American Funds Global Growth Portfolio SM 5/18/12-4.97 9.87-5.89 0.23 1.70 American Funds Growth and Income Portfolio SM 5/18/12-1.28 9.41-2.23 1.01 1.57 American Funds Growth Portfolio SM 5/18/12-3.52 11.63-4.44-0.17 1.64 American Funds Income Portfolio SM 5/18/12-1.07 6.26-2.03 2.45 1.50 American Funds Preservation Portfolio SM 5/18/12 0.25 0.24-0.75 0.36 1.52 College Target Date American Funds College 2018 Fund 9/14/12 0.75 3.79-0.23 0.58 1.51 American Funds College 2021 Fund 9/14/12 0.54 4.77-0.43 0.98 1.50 American Funds College 2024 Fund 9/14/12-0.32 5.75-1.27 1.06 1.55 American Funds College 2027 Fund 9/14/12-1.03 6.62-1.99 0.90 1.58 American Funds College 2030 Fund 9/14/12-1.76 7.32-2.71 0.77 1.61 American Funds College 2033 Fund SM 3/27/15-3.15-3.31-4.12 0.81/0.76 1.64/1.67 American Funds College Enrollment Fund 9/14/12 0.65 0.15-0.35 0.21 1.53 * Two SEC yields are shown for some funds. The first number reflects the fee waiver and/or reimbursement; the second does not. Please see important information about fee waivers and expense reimbursements, beginning on page 18. 13

Figures shown are past results at net asset value and are not predictive of results in future periods. Current and future results may be lower or higher than those shown. Share prices and returns will vary, so investors may lose money. Investing for short periods makes losses more likely. For money market funds, the annualized 7-day SEC yield more accurately reflects the fund's current earnings than does the fund's return. For current expense ratios and month-end results, visit americanfunds.com. You could lose money by investing in the American Funds U.S. Government Money Market Fund. Although the fund seeks to preserve the value of your investment at $1.00 per share, it cannot guarantee it will do so. An investment in the fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. The fund's sponsor has no legal obligation to provide financial support to the fund, and you should not expect that the sponsor will provide financial support to the fund at any time. CollegeAmerica Class 529-F-1 Shares 1,3,4,5 Annualized 30-day SEC Yield at NAV (%)* Expense Ratio (%) (Net/Gross) Inception Average Annual Total Returns (%) Returns as of 3/31/16 Date 1 Year 5 Year 10 Year Fund Lifetime Growth AMCAP Fund 5/1/67-1.01 11.50 7.42 11.28 0.64 0.56 EuroPacific Growth Fund 4/16/84-8.44 2.59 3.75 10.56 1.20 0.67 The Growth Fund of America 12/1/73-0.56 10.49 6.60 13.29 0.75 0.51 The New Economy Fund 12/1/83-2.79 11.15 7.69 10.88 0.50 0.66 New Perspective Fund 3/13/73-1.72 7.73 6.78 12.01 1.09 0.63 New World Fund 6/17/99-8.35 0.47 4.70 7.29 1.04 0.90 SMALLCAP World Fund 4/30/90-5.33 6.09 5.65 9.21 0.23 0.93 Growth-and-Income American Funds Developing World Growth 2/3/14-12.00-3.76 2.29 1.12 and Income Fund SM American Mutual Fund 2/21/50 0.74 10.36 7.01 11.45 2.38 0.46 Capital World Growth and Income Fund 3/26/93-4.34 6.39 5.40 10.32 2.36 0.64 Fundamental Investors 8/1/78 2.38 10.06 7.21 12.20 1.69 0.48 International Growth and Income Fund SM 10/1/08-9.92 2.05 6.17 2.56 0.77 The Investment Company of America 1/1/34 1.10 10.55 6.52 11.94 2.12 0.47 Washington Mutual Investors Fund SM 7/31/52 1.53 11.20 6.79 11.65 2.11 0.45 Equity-Income Capital Income Builder 7/30/87 0.35 6.73 5.44 9.27 3.47 0.46 The Income Fund of America 12/1/73 0.64 8.05 6.27 10.95 3.35 0.42 Balanced American Balanced Fund 7/26/75 2.86 9.38 6.87 10.60 1.78 0.46 American Funds Global Balanced Fund SM 2/1/11-0.82 5.79 5.96 2.02 0.72 Bond American Funds Inflation Linked Bond Fund 12/14/12 1.10-0.48 0.82 0.64 American Funds Mortgage Fund 11/1/10 2.97 3.32 2.74 1.29 0.57 American Funds Strategic Bond Fund SM 3/18/16 1.10 0.94/1.02 American High-Income Trust 2/19/88-7.06 2.89 5.11 7.62 7.62 0.54 The Bond Fund of America 5/28/74 1.67 3.76 3.74 7.73 1.85 0.47 Capital World Bond Fund 8/4/87 1.73 1.94 4.34 6.32 1.71 0.79 Intermediate Bond Fund of America 2/19/88 1.64 2.03 2.98 4.85 1.12 0.47 Short-Term Bond Fund of America 10/2/06 0.79 0.72 1.78 0.94 0.53 U.S. Government Securities Fund 10/17/85 2.76 3.23 4.30 5.84 1.17 0.49 Money Market Funds American Funds U.S. Government Money Market Fund SM 5/1/09 0.00 0.00 0.00 0.00/-0.12 0.08/0.50 Please see important information about fee waivers and expense reimbursements, beginning on page 18. 14

CollegeAmerica Class 529-F-1 Shares 1,3,4,5 Annualized 30-day SEC Yield at NAV (%)* Expense Ratio (%) (Net/Gross) Inception Average Annual Total Returns (%) Returns as of 3/31/16 Date 1 Year 5 Year 10 Year Fund Lifetime Portfolio Series American Funds Balanced Portfolio SM 5/18/12 0.21 9.73 1.65 0.58 American Funds Global Growth Portfolio SM 5/18/12-4.04 10.96 1.21 0.70 American Funds Growth and Income Portfolio SM 5/18/12-0.37 10.49 2.00 0.57 American Funds Growth Portfolio SM 5/18/12-2.54 12.75 0.80 0.63 American Funds Income Portfolio SM 5/18/12-0.06 7.33 3.43 0.50 American Funds Preservation Portfolio SM 5/18/12 1.26 1.26 1.32 0.52 College Target Date American Funds College 2018 Fund 9/14/12 1.72 4.82 1.55 0.51 American Funds College 2021 Fund 9/14/12 1.56 5.82 1.95 0.50 American Funds College 2024 Fund 9/14/12 0.70 6.80 2.03 0.55 American Funds College 2027 Fund 9/14/12-0.02 7.68 1.87 0.58 American Funds College 2030 Fund 9/14/12-0.85 8.37 1.74 0.61 American Funds College 2033 Fund SM 3/27/15-2.17-2.34 1.76/1.72 0.64/0.67 American Funds College Enrollment Fund 9/14/12 1.69 1.14 1.19 0.53 * Two SEC yields are shown for some funds. The first number reflects the fee waiver and/or reimbursement; the second does not. Please see important information about fee waivers and expense reimbursements, beginning on page 18. 15

Rankings shown are based on total returns for Class A shares at net asset value. Rankings do not reflect the effects of sales charges. American Funds Lipper Rankings as of 3/31/16 Lipper Category 1 Year 5 Year 10 Year Growth AMCAP Fund Growth 875 of 2889 317 of 2181 271 of 1379 EuroPacific Growth Fund International 889 of 1456 376 of 1082 91 of 600 The Growth Fund of America Large-Cap Growth 277 of 665 296 of 542 258 of 395 The New Economy Fund Growth 1422 of 2889 420 of 2181 206 of 1379 New Perspective Fund Global 260 of 942 81 of 584 14 of 313 New World Fund Emerging Markets 144 of 816 27 of 400 20 of 163 SMALLCAP World Fund Global Small-/Mid-Cap 54 of 122 33 of 85 10 of 57 Growth-and-Income American Funds Developing World Growth Emerging Markets 480 of 816 and Income Fund SM American Mutual Fund Growth & Income 199 of 2469 243 of 1520 105 of 812 Capital World Growth and Income Fund Global 464 of 942 208 of 584 61 of 313 Fundamental Investors Growth & Income 65 of 2469 302 of 1520 71 of 812 International Growth and Income Fund SM International 1119 of 1456 498 of 1082 The Investment Company of America Growth & Income 150 of 2469 205 of 1520 179 of 812 Washington Mutual Investors Fund SM Growth & Income 118 of 2469 107 of 1520 140 of 812 Equity-Income Capital Income Builder Global Equity Income Funds 38 of 167 15 of 85 3 of 40 The Income Fund of America Income (Mixed Equity) 33 of 588 9 of 459 7 of 273 Balanced American Balanced Fund Balanced 11 of 633 5 of 540 18 of 388 American Funds Global Balanced Fund SM Flexible Portfolio 212 of 1248 277 of 769 Bond American Funds Inflation Linked Bond Fund Inflation Protected Bond 87 of 244 American Funds Mortgage Fund Intermediate U.S. Government 12 of 66 12 of 62 American Funds Strategic Bond Fund SM Multi-Sector Income American High-Income Trust High Yield 580 of 660 377 of 438 216 of 290 The Bond Fund of America Core Bond 151 of 510 189 of 400 239 of 286 Capital World Bond Fund Global Income 58 of 208 69 of 135 39 of 75 Intermediate Bond Fund of America Short-Intermediate Investment-Grade 28 of 182 69 of 112 69 of 87 Debt Short-Term Bond Fund of America Short U.S. Government 22 of 84 35 of 75 U.S. Government Securities Fund General U.S. Government 11 of 103 27 of 96 27 of 75 Tax-exempt bond American Funds Short-Term Tax-Exempt Bond Fund Short Municipal Debt 43 of 104 39 of 81 American Funds Tax-Exempt Fund of New York New York Municipal Debt 71 of 99 37 of 87 American High-Income Municipal Bond Fund High-Yield Municipal Debt 64 of 144 34 of 109 18 of 67 Limited Term Tax-Exempt Bond Fund of America Short-Intermediate Municipal Debt 25 of 63 8 of 52 6 of 40 The Tax-Exempt Bond Fund of America General & Insured Municipal Debt 107 of 263 99 of 210 53 of 153 The Tax-Exempt Fund of California California Municipal Debt 78 of 127 50 of 109 32 of 87 The Tax-Exempt Fund of Maryland Maryland Municipal Debt 12 of 31 13 of 29 11 of 20 The Tax-Exempt Fund of Virginia Virginia Municipal Debt 23 of 35 17 of 31 10 of 24 Please see important information about fee waivers and expense reimbursements, beginning on page 18. 16

Rankings shown are based on Class A share results at net asset value. Morningstar rankings do not reflect the effects of sales charges, account fees or taxes. American Funds Morningstar Rankings 6 Rankings as of 3/31/16 Morningstar Category Inception Date Rank 1 Year 5 Year 10 Year Funds in Category Peer Group Percentile Rank Funds in Category Peer Group Percentile Rank Funds in Category Peer Group Percentile Growth AMCAP Fund Large Growth 5/1/67 594 1663 36 305 1315 23 322 937 34 EuroPacific Growth Fund Foreign Large Growth 4/16/84 293 364 80 163 285 57 58 191 30 The Growth Fund of America Large Growth 12/1/73 501 1663 30 589 1315 45 543 937 58 The New Economy Fund Large Growth 12/1/83 987 1663 59 389 1315 30 247 937 27 New Perspective Fund World Stock 3/13/73 292 1218 24 122 774 16 18 421 5 New World Fund Diversified Emerging Mkts 6/17/99 156 848 19 19 410 5 16 179 9 SMALLCAP World Fund World Stock 4/30/90 692 1218 57 339 774 44 70 421 17 Growth-and-Income American Funds Developing World Growth Diversified Emerging Mkts 2/3/14 495 848 58 and Income Fund SM American Mutual Fund Large Value 2/21/50 251 1390 18 209 1051 20 109 764 15 Capital World Growth and Income Fund World Stock 3/26/93 537 1218 44 283 774 37 91 421 22 Fundamental Investors Large Blend 8/1/78 137 1573 9 623 1225 51 118 893 13 International Growth and Income Fund SM Foreign Large Blend 10/1/08 594 786 75 268 624 43 The Investment Company of America Large Blend 1/1/34 386 1573 25 476 1225 39 340 893 38 Washington Mutual Investors Fund SM Large Value 7/31/52 190 1390 14 92 1051 9 138 764 18 Equity-Income Capital Income Builder World Allocation 7/30/87 30 555 6 9 374 3 40 191 21 The Income Fund of America Moderate Allocation 12/1/73 82 934 9 82 744 11 69 504 14 Balanced American Balanced Fund Moderate Allocation 7/26/75 16 934 2 13 744 2 33 504 7 American Funds Global Balanced Fund SM World Allocation 2/1/11 74 555 14 46 374 12 Bond American Funds Inflation Linked Bond Fund Inflation-Protected Bond 12/14/12 66 237 28 American Funds Mortgage Fund Intermediate Government 11/1/10 19 306 6 59 284 21 American Funds Strategic Bond Fund SM Multisector Bond 3/18/16 American High-Income Trust High Yield Bond 2/19/88 671 768 87 460 530 86 275 365 75 The Bond Fund of America Intermediate-Term Bond 5/28/74 235 1045 23 401 827 49 510 602 84 Capital World Bond Fund World Bond 8/4/87 126 361 35 102 242 42 71 147 48 Intermediate Bond Fund of America Short-Term Bond 2/19/88 29 558 5 117 404 29 151 280 54 Short-Term Bond Fund of America Short-Term Bond 10/2/06 212 558 38 357 404 88 U.S. Government Securities Fund Intermediate Government 10/17/85 27 306 9 78 284 27 102 215 47 Tax-Exempt Bond American Funds Short-Term Tax-Exempt Bond Fund Muni National Short 8/7/09 124 204 60 116 172 67 American Funds Tax-Exempt Fund of New York Muni New York Long 11/1/10 66 93 70 36 81 44 American High-Income Municipal Bond Fund High Yield Muni 9/26/94 84 190 44 47 149 31 26 98 26 Limited Term Tax-Exempt Bond Fund of America Muni National Short 10/6/93 41 204 20 8 172 5 9 116 7 The Tax-Exempt Bond Fund of America Muni National Interm 10/3/79 78 326 24 30 253 12 23 174 13 The Tax-Exempt Fund of California Muni California 10/28/86 25 78 31 11 72 14 3 57 4 Intermediate The Tax-Exempt Fund of Maryland Muni Single State Interm 8/14/86 132 217 61 60 199 30 125 178 70 The Tax-Exempt Fund of Virginia Muni Single State Interm 8/14/86 128 217 59 65 199 33 87 178 49 Please see important information about fee waivers and expense reimbursements, beginning on page 18. 17

The Tax-Exempt Fund of Maryland and The Tax-Exempt Fund of Virginia are qualified for sale in Maryland, Virginia, Delaware, Florida and the District of Columbia only. State-specific tax-exempt funds are more susceptible to factors adversely affecting issuers of their states' tax-exempt securities than more widely diversified municipal bond funds. Income from municipal bonds may be subject to state or local income taxes and/or the federal alternative minimum tax (except for The Tax-Exempt Bond Fund of America). Certain other income, as well as capital gain distributions, may be taxable. Investment allocations for funds of funds may not achieve fund objectives. There are expenses associated with the underlying funds in addition to fund-of-funds expenses. The funds' risks are directly related to the risks of the underlying funds, as described herein. Each target date fund is composed of a mix of American Funds and is subject to the risks and returns of the underlying funds. Underlying funds may be added or removed during the year. Although the target date funds are managed for investors on a projected retirement date time frame, the fund's allocation strategy does not guarantee that investors' retirement goals will be met. The target date is the year in which an investor is assumed to retire and begin taking withdrawals. American Funds investment professionals actively manage the target date fund's portfolio, moving it from a more growth-oriented strategy to a more income-oriented focus as the fund gets closer to its target date. Investment professionals continue to manage each fund for 30 years after it reaches its target date. The target allocations are as of January 1, 2016 and are subject to the Portfolio Oversight Committee's discretion. The funds investment adviser anticipates that the funds will invest their assets within a range that deviates no more than 10% above or below these allocations. Investment professionals gradually adjust the portfolio over time so that it becomes more preservation-oriented. The funds' allocation strategy does not guarantee that investors' education savings goals will be met. The target date is the year in which the beneficiary is expected to begin taking withdrawals. Investors and their advisors should periodically evaluate their investment to determine whether it continues to meet their needs. The Retirement Income Portfolio Series investment allocations may not achieve fund objectives and adequate income through retirement is not guaranteed. There are expenses associated with the underlying funds in addition to fund-of-funds expenses. The funds risks are directly related to the risks of the underlying funds. Payments consisting of return of capital will result in a decrease in an investor s fund share balance. Higher rates of withdrawal and withdrawals during declining markets may result in a more rapid decrease in an investor s fund share balance. Persistent returns of capital could ultimately result in a zero account balance. The return of principal for bond funds and for funds with significant underlying bond holdings is not guaranteed. Fund shares are subject to the same interest rate, inflation and credit risks associated with the underlying bond holdings. The value of fixed-income securities may be affected by changing interest rates and changes in credit ratings of the securities. Lower rated bonds are subject to greater fluctuations in value and risk of loss of income and principal than higher rated bonds. Investments in mortgage-related securities involve additional risks, such as prepayment risk, as more fully described in the prospectus. While not directly correlated to changes in interest rates, the values of inflation linked bonds generally fluctuate in response to changes in real interest rates and may experience greater losses than other debt securities with similar durations. The use of derivatives involves a variety of risks, which may be different from, or greater than, the risks associated with investing in traditional cash securities, such as stocks and bonds. The American Funds Strategic Bond Fund may engage in frequent and active trading of its portfolio securities, which may involve correspondingly greater transaction costs, adversely affecting the fund's results. Although American Funds U.S. Government Money Market Fund has 12b-1 plans for some share classes, the fund is currently suspending certain 12 b-1 payments in this low interest rate environment. Should payments commence, the fund's investment results will be lower and expenses will be higher. Fund shares of the U.S. Government Securities Fund are not guaranteed by the U.S. government. American Funds U.S. Government Money Market Fund Class A is the only share class in the American Funds offering check-writing privileges. It is also the only share class that can be exchanged into certain other share classes of other American Funds. Investment results assume all distributions are reinvested and reflect applicable fees and expenses. Lifetime returns for less than one year are not annualized, but calculated as cumulative total returns. For the following funds, the investment adviser is currently reimbursing a portion of the funds' fees or expenses, without which the results would have been lower and net expense ratios higher. - American Funds U.S. Government Money Market Fund is currently reimbursing a portion of the fund's fees and expenses. Please see the Financial Highlights table in the fund's most recent prospectus for details. - American Funds Strategic Bond Fund is currently reimbursing a portion of other expenses through at least March 1, 2017. - American Funds College 2033 Fund is currently reimbursing a portion of other expenses through at least January 1, 2017. - American Funds Tax-Exempt Fund of New York is currently reimbursing a portion of its expenses through at least September 30, 2016. - American Funds Retirement Income Portfolio Series funds are currently reimbursing a portion of other expenses for each share class through at least January 1, 2017. - American Funds 2060 Target Date Retirement Fund is currently reimbursing a portion of other expenses for each share class through at least January 1, 2017. Per the terms for each specific fund and subject to fund board approval, the investment adviser may elect to extend, modify or terminate the waiver and/or reimbursement. Please see each fund's most recent prospectus for details. When applicable, investment results reflect fee waivers and/or expense reimbursements, without which results would have been lower. For more information on fee waivers and expense reimbursements, visit americanfunds.com. Prior to April 1, 2016, the American Funds U.S. Government Money Market Fund SM was known as the American Funds Money Market Fund. 1 The Tax-Exempt Money Fund of America (inception: October 24, 1989) converted to American Funds Short-Term Tax-Exempt Bond Fund on August 7, 2009. Investment results shown do not include the fund's results for the period it operated as The Tax-Exempt Money Fund of America, whose results can be found in American Funds Short-Term Tax-Exempt Bond Fund s prospectus. 2 For Intermediate Bond Fund of America and Limited-Term Tax-Exempt Bond Fund of America, the maximum initial sales charge was 3.75% from 1 /10/2000 to 10/31/2006. For bond funds, the maximum initial sales charge was 4.75% prior to 1/10/2000. 3 Class C and F-1 shares were first offered on March 15, 2001; Class F-2 shares were first offered on August 1, 2008; Class 529-A and 529-C shares were first offered on February 15, 2002; Class 529-F-1 shares were first offered on September 9, 2002. Class C, F-1, F-2, 529-A, 529-C and 529-F-1 share results prior to the date of first sale are hypothetical based on Class A share results without a sales charge, with Class C, F-1, 529-A, 529-C and 529-F-1 results adjusted for estimated additional annual expenses and Class F-2 results adjusted for typical estimated expenses. Results for certain funds with an inception date after March 15, 2001 for Class C and F-1; after August 1, 2008 for Class F-2; after February 15, 2002 for Class 529-A and 529-C; and after September 9, 2002 for 529-F-1 also include hypothetical returns because those funds' Class C, F-1, F2, 529-A, 529-C and 529-F-1 shares sold after the funds' date of first offering. Class C shares convert to Class F-1 shares after 10 years. Please see americanfunds.com for more information on specific expense adjustments and the actual dates of first sale. 4 Fund results for periods before a share class was sold are hypothetical. These hypothetical returns were calculated by adjusting Class A share results without a sales charge for the difference between the Class A share expense ratio and the estimated expense ratio for the share class as of the date of first sale. For dates of first sale and specific expense adjustment information, visit americanfunds.com. 18

5 Expense ratios are as of the most recent prospectus available at the time of publication. Expense ratios for funds of funds include the weighted average expenses of the underlying funds. Expense ratios are estimated for Inflation Linked Bond Fund (529 share classes), Strategic Bond Fund, American Funds 2060 Target Date Retirement Fund, American Funds Retirement Income Portfolio Conservative Fund, American Funds Retirement Income Portfolio Moderate Fund, American Funds Retirement Income Portfolio Enhanced Fund. 6 Rankings are based on the funds' average annual total returns (Class A shares at net asset value) within the applicable Morningstar categories. The Morningstar rankings do not reflect the effects of sales charges, account fees or taxes. Past results are not predictive of results in future periods. When applicable, investment results reflect fee waivers and/or expense reimbursements, without which results would have been lower. Please see americanfunds.com for more information. 19

20 This page intentionally left blank. Lit.No.MFGEQS-005-0416P Litho in USA MOD/RRD/6296-S48674 2016 American Funds Distributors, Inc. R Printed on recycled paper