Income Fund Of America Capital Gains

Short term capital gains are taxed at the investor s ordinary income tax rate and are defined as investments held for a year or less before being sold.

Income fund of america capital gains. The fund s investment objective is to provide you with growth of capital. 2019 selected funds year end capital gains estimates percentage of 10 31 19 share price. Distinguishing characteristics this income strategy focuses on dividend paying stocks and fixed income which has historically led to lower volatility and better downside resilience versus the s p 500. The estimates below do not include ordinary income distributions the fund may be making.

Short term capital gains distributions the fund expects to pay a short term capital gains distribution to shareholders on december 15 2020. Two types of capital gains are realized by our funds short term and long term. Federal income tax on the net total of all their capital gains the tax rate depends on both the investor s tax bracket and the amount of time the investment was held. To view all columns of data swipe left on the table below.

It seeks 1 to provide a level of current income that exceeds the average yield on u s. In the united states of america individuals and corporations pay u s. The fund s investment objectives are to provide you with current income while secondarily striving for capital growth. At least 60 of the funds assets will be invested in common stocks and other equity type securities.

The estimated record date estimated ex dividend date and estimated payable. Distinguishing characteristics this strategy takes a flexible approach to growth investing seeking opportunities in traditional growth stocks as well as cyclical companies and turnarounds with significant potential for growth of capital. A portion of the income dividends distributed by american funds emerging markets bond fund american funds multi sector income fund american funds strategic bond fund and capital world bond fund during 2020 may be classified as a return of capital. The fund s secondary objective is to provide growth of capital.

Long term capital gain distributions are taxed at a maximum 15 rate. The fund s estimated long term capital gains distributions this year are 0 038 share compared to 0 483 share paid for 2019. Net short term capital gains are distributed to shareholders as income dividends and are taxed at ordinary income tax rates.