AFMBX vs. AIVSX

Last updated Jun 4, 2026

AFMBX (American Funds American Balanced Fund Class F-3) and AIVSX (American Funds Investment Company of America Class A) are both mutual funds - AFMBX is a Diversified Portfolio fund managed by American Funds, while AIVSX is a Large Cap Blend Equities fund managed by American Funds. Over the past 5 years, AFMBX returned 10.06%/yr vs 15.03%/yr for AIVSX. With a 0.95 correlation, they move nearly in lockstep. AFMBX charges 0.25%/yr vs 0.57%/yr for AIVSX.

Performance

AFMBX vs. AIVSX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in American Funds American Balanced Fund Class F-3 (AFMBX) and American Funds Investment Company of America Class A (AIVSX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, AFMBX achieves a 10.12% return, which is significantly lower than AIVSX's 10.91% return.

AFMBX

• 1D: 0.24%
• 1M: 4.02%
• YTD: 10.12%
• 6M: 10.78%
• 1Y: 25.36%
• 3Y*: 17.90%
• 5Y*: 10.06%
• 10Y*: —

AIVSX

• 1D: 0.00%
• 1M: 5.17%
• YTD: 10.91%
• 6M: 10.87%
• 1Y: 26.68%
• 3Y*: 24.21%
• 5Y*: 15.03%
• 10Y*: 14.27%

*Multi-year figures are annualized to reflect compound growth (CAGR)

AFMBX vs. AIVSX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
AFMBX American Funds American Balanced Fund Class F-3	10.12%	18.82%	15.36%	13.89%	-11.83%	16.12%	11.17%	18.96%	-3.07%	10.06%
AIVSX American Funds Investment Company of America Class A	10.91%	20.47%	24.90%	28.56%	-15.50%	25.10%	14.47%	24.10%	-8.21%	12.11%

Correlation

The correlation between AFMBX and AIVSX is 0.95, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.95
Correlation (3Y) Calculated over the trailing 3-year period	0.95
Correlation (5Y) Calculated over the trailing 5-year period	0.96
Correlation (All Time) Calculated using the full available price history since Mar 16, 2017	0.95

The correlation between AFMBX and AIVSX has been stable across timeframes, ranging from 0.95 to 0.96 - a consistent structural relationship.

Return for Risk

AFMBX vs. AIVSX — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

AFMBX

AFMBX Risk / Return Rank: 86
AFMBX Sharpe Ratio Rank: 90
AFMBX Sortino Ratio Rank: 87
AFMBX Omega Ratio Rank: 85
AFMBX Calmar Ratio Rank: 81
AFMBX Martin Ratio Rank: 87

AIVSX

AIVSX Risk / Return Rank: 55
AIVSX Sharpe Ratio Rank: 56
AIVSX Sortino Ratio Rank: 52
AIVSX Omega Ratio Rank: 53
AIVSX Calmar Ratio Rank: 51
AIVSX Martin Ratio Rank: 63

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

AFMBX vs. AIVSX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for American Funds American Balanced Fund Class F-3 (AFMBX) and American Funds Investment Company of America Class A (AIVSX). 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.

	AFMBX	AIVSX	Difference
Sharpe ratio: Return per unit of total volatility	2.99	2.21	+0.77
Sortino ratio: Return per unit of downside risk	4.16	3.03	+1.13
Omega ratio: Gain probability vs. loss probability	1.57	1.40	+0.16
Calmar ratio: Return relative to maximum drawdown	3.72	2.73	+0.99
Martin ratio: Return relative to average drawdown	16.82	12.38	+4.44
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

AFMBX vs. AIVSX - Sharpe Ratio Comparison

The current AFMBX Sharpe Ratio is 2.99, which is higher than the AIVSX Sharpe Ratio of 2.21. The chart below compares the historical Sharpe Ratios of AFMBX and AIVSX, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	AFMBX	AIVSX	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.99	2.21	+0.77
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.96	0.94	+0.02
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	—	0.86	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.96	0.70	+0.26

Drawdowns

AFMBX vs. AIVSX - Drawdown Comparison

The maximum AFMBX drawdown since its inception was -22.34%, smaller than the maximum AIVSX drawdown of -50.90%. Use the drawdown chart below to compare losses from any high point for AFMBX and AIVSX.

Drawdown Indicators

	AFMBX	AIVSX	Difference
Max Drawdown Largest peak-to-trough decline	-22.34%	-50.90%	+28.56%
Max Drawdown (1Y) Largest decline over 1 year	-6.98%	-10.08%	+3.10%
Max Drawdown (3Y) Largest decline over 3 years	-10.64%	-17.40%	+6.76%
Max Drawdown (5Y) Largest decline over 5 years	-18.58%	-24.31%	+5.73%
Max Drawdown (10Y) Largest decline over 10 years	—	-31.09%	—
Current Drawdown Current decline from peak	0.00%	0.00%	0.00%
Average Drawdown Average peak-to-trough decline	-3.21%	-5.91%	+2.70%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.54%	2.22%	-0.68%

Volatility

AFMBX vs. AIVSX - Volatility Comparison

The current volatility for American Funds American Balanced Fund Class F-3 (AFMBX) is 2.66%, while American Funds Investment Company of America Class A (AIVSX) has a volatility of 3.26%. This indicates that AFMBX experiences smaller price fluctuations and is considered to be less risky than AIVSX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	AFMBX	AIVSX	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.66%	3.26%	-0.60%
Volatility (6M) Calculated over the trailing 6-month period	6.85%	9.72%	-2.87%
Volatility (1Y) Calculated over the trailing 1-year period	8.72%	12.46%	-3.74%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	10.49%	16.00%	-5.51%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	11.14%	16.58%	-5.44%

AFMBX vs. AIVSX - Expense Ratio Comparison

AFMBX has a 0.25% expense ratio, which is lower than AIVSX's 0.57% expense ratio.

Dividends

AFMBX vs. AIVSX - Dividend Comparison

AFMBX's dividend yield for the trailing twelve months is around 7.82%, less than AIVSX's 9.58% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
AFMBX American Funds American Balanced Fund Class F-3	7.82%	8.57%	7.51%	2.27%	2.63%	4.60%	4.65%	3.78%	5.81%	4.94%	0.00%	0.00%
AIVSX American Funds Investment Company of America Class A	9.58%	10.60%	9.29%	4.96%	6.12%	6.94%	1.65%	6.15%	9.61%	7.08%	5.48%	8.95%

Frequently Asked Questions

Can I hold both AFMBX and AIVSX in my portfolio?

With a correlation of 0.95, AFMBX and AIVSX move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

Which is riskier, AFMBX or AIVSX?

AIVSX has higher volatility (3.26%) compared to AFMBX (2.66%). In terms of maximum drawdown, AFMBX dropped -22.34% vs AIVSX's -50.90%.

Which has better risk-adjusted returns?

AFMBX currently has the higher Sharpe Ratio (2.99 vs 2.21), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.