AALTX vs. CAIBX
Compare and contrast key facts about American Funds 2050 Target Date Retirement Fund (AALTX) and American Funds Capital Income Builder Class A (CAIBX).
AALTX is managed by American Funds. It was launched on Jan 31, 2007. CAIBX is managed by American Funds. It was launched on Jul 30, 1987.
Scroll down to visually compare performance, riskiness, drawdowns, and other indicators and decide which better suits your portfolio: AALTX or CAIBX.
Key characteristics
| AALTX | CAIBX | |
|---|---|---|
| YTD Return | 18.05% | 12.79% |
| 1Y Return | 29.25% | 22.52% |
| 3Y Return (Ann) | 4.51% | 5.33% |
| 5Y Return (Ann) | 10.92% | 6.94% |
| 10Y Return (Ann) | 9.62% | 5.72% |
| Sharpe Ratio | 2.84 | 3.00 |
| Sortino Ratio | 3.90 | 4.24 |
| Omega Ratio | 1.53 | 1.58 |
| Calmar Ratio | 2.57 | 2.91 |
| Martin Ratio | 19.02 | 20.58 |
| Ulcer Index | 1.61% | 1.13% |
| Daily Std Dev | 10.78% | 7.75% |
| Max Drawdown | -48.76% | -42.73% |
| Current Drawdown | 0.00% | -1.04% |
Correlation
The correlation between AALTX and CAIBX is 0.91, which is considered to be high. That indicates a strong positive relationship between their price movements. Having highly-correlated positions in a portfolio may signal a lack of diversification, potentially leading to increased risk during market downturns.
Performance
AALTX vs. CAIBX - Performance Comparison
In the year-to-date period, AALTX achieves a 18.05% return, which is significantly higher than CAIBX's 12.79% return. Over the past 10 years, AALTX has outperformed CAIBX with an annualized return of 9.62%, while CAIBX has yielded a comparatively lower 5.72% annualized return. The chart below displays the growth of a $10,000 investment in both assets, with all prices adjusted for splits and dividends.
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AALTX vs. CAIBX - Expense Ratio Comparison
AALTX has a 0.33% expense ratio, which is lower than CAIBX's 0.59% expense ratio.
Risk-Adjusted Performance
AALTX vs. CAIBX - Risk-Adjusted Performance Comparison
This table presents a comparison of risk-adjusted performance metrics for American Funds 2050 Target Date Retirement Fund (AALTX) and American Funds Capital Income Builder Class A (CAIBX). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.
Dividends
AALTX vs. CAIBX - Dividend Comparison
AALTX's dividend yield for the trailing twelve months is around 1.08%, less than CAIBX's 3.10% yield.
| TTM | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
AALTX American Funds 2050 Target Date Retirement Fund | 1.08% | 1.28% | 0.74% | 0.73% | 0.63% | 0.86% | 0.94% | 0.79% | 0.92% | 0.65% | 4.70% | 3.18% |
CAIBX American Funds Capital Income Builder Class A | 3.10% | 3.36% | 3.43% | 3.14% | 3.38% | 3.29% | 3.80% | 3.41% | 3.52% | 3.60% | 4.63% | 3.30% |
Drawdowns
AALTX vs. CAIBX - Drawdown Comparison
The maximum AALTX drawdown since its inception was -48.76%, which is greater than CAIBX's maximum drawdown of -42.73%. Use the drawdown chart below to compare losses from any high point for AALTX and CAIBX. For additional features, visit the drawdowns tool.
Volatility
AALTX vs. CAIBX - Volatility Comparison
American Funds 2050 Target Date Retirement Fund (AALTX) has a higher volatility of 2.84% compared to American Funds Capital Income Builder Class A (CAIBX) at 1.79%. This indicates that AALTX's price experiences larger fluctuations and is considered to be riskier than CAIBX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.