American Funds 2040 Target Date Retirement Fund (AAGTX)
The investment seeks growth, income and conservation of capital. The fund normally invests a greater portion of its assets in fixed income, equity-income and balanced funds as it approaches and passes its target date. The advisor attempts to achieve its investment objectives by investing in a mix of American Funds in different combinations and weightings. The underlying American Funds represent a variety of fund categories, including growth funds, growth-and-income funds, equity-income funds, balanced funds and fixed income funds. The fund categories represent differing investment objectives.
Fund Info
| ISIN | US02630T5719 |
|---|---|
| CUSIP | 02630T571 |
| Issuer | American Funds |
| Inception Date | Jan 31, 2007 |
| Category | Target Retirement Date |
| Min. Investment | $250 |
| Asset Class | Multi-Asset |
Asset Class Size | Large-Cap |
Asset Class Style | Blend |
Expense Ratio
The American Funds 2040 Target Date Retirement Fund has a high expense ratio of 0.33%, indicating higher-than-average management fees.
Share Price Chart
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Performance
Performance Chart
The chart shows the growth of an initial investment of $10,000 in American Funds 2040 Target Date Retirement Fund, comparing it to the performance of the S&P 500 index or another benchmark. All prices have been adjusted for splits and dividends.
Returns By Period
American Funds 2040 Target Date Retirement Fund had a return of 3.36% year-to-date (YTD) and 15.27% in the last 12 months. Over the past 10 years, American Funds 2040 Target Date Retirement Fund had an annualized return of 8.63%, while the S&P 500 had an annualized return of 10.50%, indicating that American Funds 2040 Target Date Retirement Fund did not perform as well as the benchmark.
| Period | Return | Benchmark |
|---|---|---|
| Year-To-Date | 3.36% | 5.90% |
| 1 month | -1.45% | -1.28% |
| 6 months | 13.73% | 15.51% |
| 1 year | 15.27% | 21.68% |
| 5 years (annualized) | 8.87% | 11.74% |
| 10 years (annualized) | 8.63% | 10.50% |
Monthly Returns Heatmap
| Jan | Feb | Mar | Apr | May | Jun | Jul | Aug | Sep | Oct | Nov | Dec | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 2024 | 0.38% | 3.78% | 2.81% | |||||||||
| 2023 | -4.16% | -2.23% | 8.05% | 5.26% |
Risk-Adjusted Performance
Risk-Adjusted Performance Rank
American Funds 2040 Target Date Retirement Fund(AAGTX)
Risk-Adjusted Performance Indicators
The charts below present risk-adjusted performance metrics for American Funds 2040 Target Date Retirement Fund (AAGTX) and compare them to a chosen benchmark (^GSPC). These indicators evaluate an investment's returns against its associated risks.
Dividends
Dividend History
American Funds 2040 Target Date Retirement Fund granted a 2.43% dividend yield in the last twelve months. The annual payout for that period amounted to $0.46 per share.
| Period | TTM | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 | 2014 | 2013 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend | $0.46 | $0.46 | $1.02 | $1.02 | $0.61 | $0.70 | $0.67 | $0.37 | $0.46 | $0.63 | $0.62 | $0.42 |
Dividend yield | 2.43% | 2.51% | 6.40% | 4.94% | 3.26% | 4.29% | 4.94% | 2.42% | 3.59% | 5.12% | 4.84% | 3.35% |
Monthly Dividends
The table displays the monthly dividend distributions for American Funds 2040 Target Date Retirement Fund. The dividends shown in the table have been adjusted to account for any splits that may have occurred.
| Jan | Feb | Mar | Apr | May | Jun | Jul | Aug | Sep | Oct | Nov | Dec | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 2024 | $0.00 | $0.00 | $0.00 | |||||||||
| 2023 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.46 |
| 2022 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $1.02 |
| 2021 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $1.02 |
| 2020 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.61 |
| 2019 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.70 |
| 2018 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.67 |
| 2017 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.37 |
| 2016 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.46 |
| 2015 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.63 |
| 2014 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.62 |
| 2013 | $0.42 |
Drawdowns
Drawdowns Chart
The Drawdowns chart displays portfolio losses from any high point along the way.
Worst Drawdowns
The table below displays the maximum drawdowns of the American Funds 2040 Target Date Retirement Fund. A maximum drawdown is a measure of risk, indicating the largest reduction in portfolio value due to a series of losing trades.
The maximum drawdown for the American Funds 2040 Target Date Retirement Fund was 48.78%, occurring on Mar 9, 2009. Recovery took 491 trading sessions.
The current American Funds 2040 Target Date Retirement Fund drawdown is 3.49%.
Depth | Start | To Bottom | Bottom | To Recover | End | Total |
|---|---|---|---|---|---|---|
| -48.78% | Nov 1, 2007 | 338 | Mar 9, 2009 | 491 | Feb 16, 2011 | 829 |
| -28.54% | Feb 20, 2020 | 23 | Mar 23, 2020 | 84 | Jul 22, 2020 | 107 |
| -25.09% | Nov 17, 2021 | 229 | Oct 14, 2022 | 335 | Feb 15, 2024 | 564 |
| -18.54% | May 3, 2011 | 107 | Oct 3, 2011 | 98 | Feb 23, 2012 | 205 |
| -15.83% | Jan 29, 2018 | 229 | Dec 24, 2018 | 81 | Apr 23, 2019 | 310 |
Volatility
Volatility Chart
The current American Funds 2040 Target Date Retirement Fund volatility is 2.84%, representing the average percentage change in the investments's value, either up or down over the past month. The chart below shows the rolling one-month volatility.