About CGTFX
American Funds U.S. Government Securities Fund Class 529-F-1 is an open-end mutual fund focused on fixed-income securities backed or guaranteed by the U.S. government. Its primary objective is to deliver a high level of current income while maintaining prudent risk oversight, making it a staple choice for investors seeking relative stability and preservation of capital. The fund predominantly invests in U.S. Treasury bonds, notes, and government agency mortgage-backed securities, with the current portfolio comprising approximately 46% mortgage-backed obligations and 42% U.S. Treasury bonds and notes. It maintains an effective duration of about 6.4 years, which helps manage interest rate exposure. Regular monthly dividends underscore its income orientation. With assets exceeding $23 billion as of June 2025, the fund is widely regarded for its market significance in the government bond sector, particularly as a core holding for education savings plans. Managed by Capital Group since its inception in 1985, the fund adheres to high credit quality standards, with holdings generally rated AAA/Aaa, reflecting its focus on safety and reliability within the broader fixed-income market.
Fund Family Capital Group
Category Intermediate Government
Performance Rating Above Average
Risk Rating Average
Stock Exchange NASDAQ
Ticker Symbol CGTFX
Share Class Class 529-f-1
Index Bloomberg U.S. Government Mortgage TR
CGTFX had a total return of 8.58% in the past year, including dividends. Since the fund's
inception, the average annual return has been 6.31%.
