Capital Group Core Balanced ETF Investing Guide

The Capital Group Core Balanced ETF is a well-diversified investment option that aims to provide a balance between growth and income.

It's designed to track the performance of the Capital Group's Core Balanced Index, which is made up of a mix of stocks and bonds.

This investment strategy is suitable for investors who want to reduce their risk by spreading their investments across different asset classes.

The Core Balanced ETF has a low expense ratio of 0.15%, making it a cost-effective option for investors.

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The Capital Group Core Balanced ETF is a unique investment option that offers a blend of stocks and bonds. It's designed to provide a stable return with a moderate level of risk.

This ETF has a low expense ratio of 0.17%, making it an attractive option for investors looking to save on costs. The fund's management team has a proven track record of success, with over 90 years of combined experience.

The Capital Group Core Balanced ETF has a total net asset value of over $1 billion, indicating its popularity among investors. The fund's assets are distributed across a range of sectors, including technology, healthcare, and consumer goods.

The Capital Group Core Balanced ETF offers a flexible, actively managed 60/40 portfolio, which has outperformed the static iShares Core Growth Allocation ETF by 500 bps in the past year.

Having a balanced portfolio is crucial for investors who want to minimize risk and maximize returns. With CGBL, you can expect about 32% of your investment to be in fixed income.

CGBL's equity allocation ranges from 50-70%, making it a great option for those who want to balance their portfolio with a mix of growth and income. This flexibility can help you adapt to changing market conditions.

The fund's fixed income assets have moderate interest rate sensitivity, which means they can help you ride out fluctuations in the bond market.

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The capital group core balanced ETF has an expense ratio of 0.08%, which is relatively low compared to other ETFs in the market. This low expense ratio can help you save money in the long run.

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The ETF is managed by a team of experienced investment professionals at Capital Group, which has a long history of providing low-cost investment options to its clients. Their expertise can be beneficial in making informed investment decisions.

The annual operating expenses of the ETF are $8 per $10,000 invested, which is a direct result of the 0.08% expense ratio. This fee is a small price to pay for the potential long-term benefits of investing in a diversified portfolio.

The ETF's net expense ratio is 0.08%, which is the same as the expense ratio, indicating that there are no additional fees beyond the operating expenses. This transparency is essential for investors who want to make informed decisions about their investments.

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The Capital Group Core Balanced ETF has its roots in the Capital Group Fund Group, a reputable fund family.

Its legal name is Capital Group Core Balanced ETF, a straightforward label that tells you exactly what to expect from this investment.

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The fund was launched on September 28, 2023, marking the beginning of a new chapter in the world of ETFs.

Here's a quick rundown of the fund's details:

These core details give you a solid foundation to understand the fund's identity and history.

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The performance of the Capital Group Core Balanced ETF is an important consideration for investors.

Effective December 11, 2018, the investment objective, management fee, and fee structure of the ETF changed.

These changes would have resulted in different performance data if they had been in place during the applicable performance measurement periods.

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The performance of an investment is crucial in determining its overall success. Interactive charts displaying fund performance require Javascript to function.

Fundamental changes to an ETF can significantly impact its performance. On December 11, 2018, the fundamental investment objective, management fee, and fee structure of the ETF changed.

These changes would have altered the performance data if they had been in place during the applicable performance measurement periods.

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Distributions are a crucial aspect of investing, and it's essential to understand how they work. The Fund distributes all net taxable income to investors at least once a year, and these distributions can be paid in cash or reinvested in the Fund.

The amounts of past distributions are shown below, and they consist primarily of distributions received from the securities held within the Fund less Fund expenses, plus any realized capital gains generated from securities transactions within the Fund.

Here's a breakdown of the key components of distributions:

The Fund will also report the characterization of distributions for tax purposes, such as dividends, other income, capital gains, and return of capital, after the Fund's tax year end. This information will be reported by brokers on official tax statements.

The Holdings section of the Capital Group Core Balanced ETF is a treasure trove of information. You can view the top 10 holdings, all holdings, or even see the aggregate underlying holdings.

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The holdings are listed with various details such as ticker, name, sector, market value, weight, and notional value. For example, the market value, weight, and notional value of each holding are based on a price provided by a third-party pricing vendor, also known as the vendor price.

Here's a breakdown of the information you can find in the Holdings section:

Here's an example of what the Holdings table might look like:

Keep in mind that the calculated values, such as market value and weight, may not reflect the actual value of the holding if fair valuation is applied.

The Capital Group Core Balanced ETF, or CGBL, offers a mix of equities and fixed income with about 32% in fixed income and 50-70% in equities.

This balanced approach aims to provide total return and capital preservation. The fund employs an active asset allocation strategy to invest in equities, debts, money market instruments, and cash.

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CGBL is an actively managed fund-of-funds, meaning it pools money from multiple investors to invest in a variety of assets. The fund was launched on September 26, 2023, and is issued by Capital Group.

The CGBL offers a flexible, actively managed 60/40 portfolio, which means it allocates 60% of its assets to equities and 40% to fixed income. This allocation can change over time to adapt to market conditions.

CGBL's fixed income assets have moderate interest rate sensitivity, which means they are not extremely sensitive to changes in interest rates.