About REGTX
The American Funds 2040 Target Date Retirement Fund Class R-5 is a target-date mutual fund designed for investors planning to retire around the year 2040. Its primary function is to offer a diversified, all-in-one retirement savings solution that dynamically adjusts its asset allocation over time. Early in its lifecycle, the fund emphasizes growth through a higher allocation to U.S. and non-U.S. equities, with substantial sector exposure to information technology, financials, industrials, and health care. As the target date approaches, the portfolio gradually becomes more conservative by increasing allocations to fixed income and balanced strategies, aiming to balance long-term total return with income and capital preservation.
The fund invests in a mix of underlying American Funds, covering growth, growth-and-income, equity-income, balanced, and fixed income categories. This blend provides broad market exposure and risk management suitable for individuals who prefer a professionally managed, auto-adjusting portfolio as they move toward retirement. Managed by Capital Research and Management Company, it leverages a disciplined glide path to support both asset accumulation prior to retirement and sustained equity exposure during retirement, reflecting its commitment to growth potential, risk mitigation, and income generation throughout the investment horizon.
Fund Family Capital Group
Category Target-Date 2040
Performance Rating High
Risk Rating Below Average
Stock Exchange NASDAQ
Ticker Symbol REGTX
Share Class Class R-5
Index S&P Target Date 2040 TR
REGTX had a total return of 17.60% in the past year, including dividends. Since the fund's
inception, the average annual return has been 12.73%.
