Capital Group Core Plus Income ETF

Frequently Asked Questions About CGCP

What does CGCP invest in?

The Capital Group Core Plus Income ETF endeavors to generate consistent current income and achieve optimal total returns, while simultaneously safeguarding invested capital. This fund constructs a diverse portfolio of fixed-income instruments, including government and agency bonds, corporate debt, mortgage- and asset-backed securities, municipal obligations, and debt issued by emerging markets and non-U.S. entities. Its holdings also extend to high-yield securities. The target maturities for the bonds within the fund are flexibly managed, adapting to the prevailing investment strategy. Regarding portfolio composition, the fund observes specific limits: Up to 35% of its assets may be invested in securities classified as below investment grade (defined as BB+/Ba1 or lower, or unrated but considered equivalent by the investment adviser at the time of acquisition). This threshold encompasses high-yield corporate bonds and debt from developing country governments and corporations. A maximum of 10% of the portfolio can be allocated to equity securities and instruments possessing both debt and equity characteristics. Investments in securities denominated in currencies other than the U.S. dollar are limited to 35% of assets. Similarly, exposure to securities issued by emerging market entities is capped at 35% of the fund's total assets.

What is the expense ratio of CGCP?

Capital Group Core Plus Income ETF (CGCP) charges an expense ratio of 0.34%. This is the annual fee deducted from fund assets to cover management and operations.

What is CGCP's dividend yield?

CGCP's trailing-twelve-month yield is 5.24%, calculated from the sum of dividends over the past year divided by the current price.

What is the duration of CGCP?

Effective duration measures CGCP's sensitivity to interest-rate changes: a duration of 6 means a 1% rate move shifts NAV by roughly 6% in the opposite direction. CGCP's current duration is published on the fund's factsheet on the issuer's website.

What is the credit quality of CGCP?

CGCP'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 CGCP?

Yield to maturity (YTM) is the total return you'd earn from CGCP if every bond in the portfolio is held to maturity at the current price. CGCP'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.