- What does CFAAX invest in?
- The fund's core strategy involves a strong emphasis on fixed-income investments, committing at least 80% of its capital to bonds and various debt instruments, with the flexibility to use derivatives for such exposure. Moreover, a significant segment of the portfolio, no less than 60%, is dedicated to high-quality debt securities. These securities must meet stringent credit criteria, specifically holding a rating of at least A3 or A- from credit rating agencies recognized and designated by the fund's investment adviser, or, alternatively, to unrated debt instruments that the adviser assesses as having comparable financial soundness. This minimum 60% threshold can also be fulfilled through investments in U.S. government securities, money market instruments, and highly liquid assets like cash or cash equivalents.
- What is the expense ratio of CFAAX?
- American Funds Bond Fund of Amer 529A (CFAAX) charges an expense ratio of 0.61%. This is the annual fee deducted from fund assets to cover management and operations.
- What is CFAAX's dividend yield?
- CFAAX's trailing-twelve-month yield is 4.15%, calculated from the sum of dividends over the past year divided by the current price.
- What is the duration of CFAAX?
- Effective duration measures CFAAX's sensitivity to interest-rate changes — a duration of 6 means a 1% rate move shifts NAV by roughly 6% in the opposite direction. CFAAX's current duration is published on the fund's factsheet on the issuer's website.
- What is the credit quality of CFAAX?
- CFAAX's credit quality breakdown — the share of holdings rated AAA through CCC and below — is published on the fund's factsheet. Higher-quality (investment-grade) funds yield less but carry less default risk than high-yield / junk bond funds.
- What is the yield to maturity of CFAAX?
- Yield to maturity (YTM) is the total return you'd earn from CFAAX if every bond in the portfolio is held to maturity at the current price. CFAAX's YTM is published on the fund's factsheet on the issuer's website — it differs from the trailing-12-month yield because YTM reflects current bond prices rather than historical income paid.
