ANCFX vs. TEPAX

Last updated Aug 4, 2026

ANCFX (American Funds Fundamental Investors Class A) and TEPAX (American Funds Tax-Exempt Preservation Portfolio) are both mutual funds - ANCFX is a Large Cap Blend Equities fund actively managed by American Funds, while TEPAX is a Municipal Bonds fund managed by American Funds. Over the past 10 years, ANCFX returned 14.48%/yr vs 1.41%/yr for TEPAX. Their -0.01 correlation means they have often moved in opposite directions in the past. ANCFX charges 0.57%/yr vs 0.34%/yr for TEPAX.

Performance

ANCFX vs. TEPAX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in American Funds Fundamental Investors Class A (ANCFX) and American Funds Tax-Exempt Preservation Portfolio (TEPAX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, ANCFX achieves a 13.21% return, which is significantly higher than TEPAX's 0.40% return. Over the past 10 years, ANCFX has outperformed TEPAX with an annualized return of 14.48%, while TEPAX has yielded a comparatively lower 1.41% annualized return.

ANCFX

• 1D: 0.96%
• 1M: -0.03%
• 6M: 8.61%
• YTD: 13.21%
• 1Y: 25.85%
• 3Y*: 22.42%
• 5Y*: 13.95%
• 10Y*: 14.48%
• ALL TIME*: 11.23%

TEPAX

• 1D: 0.00%
• 1M: -0.63%
• 6M: -0.42%
• YTD: 0.40%
• 1Y: 2.38%
• 3Y*: 3.16%
• 5Y*: 1.08%
• 10Y*: 1.41%
• ALL TIME*: 1.64%

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

Liquidity Comparison

Position	Avg. Volume Value (2W)	Avg. Volume Value (1M)	Avg. Volume Value (3M)
ANCFX American Funds Fundamental Investors Class A	$0.00	$0.00	$0.00
TEPAX American Funds Tax-Exempt Preservation Portfolio	$0.00	$0.00	$0.00

ANCFX vs. TEPAX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
ANCFX American Funds Fundamental Investors Class A	13.21%	24.21%	22.73%	25.86%	-16.66%	22.43%	14.92%	27.07%	-8.13%	22.80%
TEPAX American Funds Tax-Exempt Preservation Portfolio	0.40%	4.36%	2.14%	3.63%	-4.36%	-0.03%	3.52%	4.14%	0.90%	2.43%

Correlation

The correlation between ANCFX and TEPAX is 0.24, which is low. Their historical price movements had little consistent relationship.

	Correlation
Correlation (1Y) Focuses on recent behavior, but can change the most.	0.24
Correlation (3Y) Balances recent behavior with more history.	0.16
Correlation (5Y) Shows whether the relationship held over a longer period.	0.12
Correlation (10Y) Provides a long-term view across more market conditions.	0.04
Correlation (All Time) Calculated using the full available price history since Jan 2, 2013	-0.01

The correlation between ANCFX and TEPAX shifts across timeframes, from -0.01 (all time) to 0.24 (1 year), reflecting how their relationship changes across market environments.

Return for Risk

ANCFX vs. TEPAX — Risk / Return Rank

Compare historical risk-adjusted metric ranks over the past 12 months.

ANCFX

ANCFX Risk / Return Rank: 61
ANCFX Sharpe Ratio Rank: 59
ANCFX Sortino Ratio Rank: 55
ANCFX Omega Ratio Rank: 54
ANCFX Calmar Ratio Rank: 62
ANCFX Martin Ratio Rank: 75

TEPAX

TEPAX Risk / Return Rank: 57
TEPAX Sharpe Ratio Rank: 72
TEPAX Sortino Ratio Rank: 70
TEPAX Omega Ratio Rank: 86
TEPAX Calmar Ratio Rank: 30
TEPAX Martin Ratio Rank: 25

The rank (0–100) uses a weighted average of the Sharpe, Sortino, Omega, Calmar, and Martin percentile ranks for the trailing 12 months. Higher means stronger historical risk-adjusted performance within the peer group.

ANCFX vs. TEPAX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for American Funds Fundamental Investors Class A (ANCFX) and American Funds Tax-Exempt Preservation Portfolio (TEPAX). 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.

Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.

	ANCFX	TEPAX	Difference
Sharpe ratio: Return per unit of total volatility	1.56	1.77	-0.21
Sortino ratio: Return per unit of downside risk	2.18	2.50	-0.32
Omega ratio: Gain probability vs. loss probability	1.28	1.43	-0.16
Calmar ratio: Return relative to maximum drawdown	2.23	1.43	+0.80
Martin ratio: Return relative to average drawdown	9.61	3.82	+5.79

ANCFX vs. TEPAX - Sharpe Ratio Comparison

The current ANCFX Sharpe Ratio is 1.56, which is comparable to the TEPAX Sharpe Ratio of 1.77. The chart below compares the historical Sharpe Ratios of ANCFX and TEPAX, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

ANCFX vs. TEPAX - Drawdown Comparison

The maximum ANCFX drawdown since its inception was -53.29%, which is greater than TEPAX's maximum drawdown of -7.13%. Use the drawdown chart below to compare losses from any high point for ANCFX and TEPAX.

Drawdown Indicators

	ANCFX	TEPAX	Difference
Max Drawdown Largest peak-to-trough decline	-53.29%	-7.13%	-46.16%
Max Drawdown (1Y) Largest decline over 1 year	-10.66%	-1.82%	-8.84%
Max Drawdown (3Y) Largest decline over 3 years	-17.97%	-2.17%	-15.80%
Max Drawdown (5Y) Largest decline over 5 years	-25.07%	-7.07%	-18.00%
Max Drawdown (10Y) Largest decline over 10 years	-33.93%	-7.13%	-26.80%
Current Drawdown Current decline from peak	-1.67%	-1.21%	-0.46%
Average Drawdown Average peak-to-trough decline	-7.30%	-1.24%	-6.06%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.47%	0.68%	+1.79%

Volatility

ANCFX vs. TEPAX - Volatility Comparison

American Funds Fundamental Investors Class A (ANCFX) has a higher volatility of 4.30% compared to American Funds Tax-Exempt Preservation Portfolio (TEPAX) at 0.50%. This indicates that ANCFX's price experiences larger fluctuations and is considered to be riskier than TEPAX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	ANCFX	TEPAX	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.30%	0.50%	+3.80%
Volatility (6M) Calculated over the trailing 6-month period	12.16%	1.22%	+10.94%
Volatility (1Y) Calculated over the trailing 1-year period	15.18%	1.48%	+13.70%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	17.00%	1.95%	+15.05%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	17.76%	2.07%	+15.69%

ANCFX vs. TEPAX - Expense Ratio Comparison

ANCFX has a 0.57% expense ratio, which is higher than TEPAX's 0.34% expense ratio.

Dividends

ANCFX vs. TEPAX - Dividend Comparison

ANCFX's dividend yield for the trailing twelve months is around 7.36%, more than TEPAX's 2.38% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
ANCFX American Funds Fundamental Investors Class A	7.36%	8.54%	8.90%	5.80%	4.98%	10.97%	2.61%	6.91%	9.31%	7.28%	4.71%	6.08%
TEPAX American Funds Tax-Exempt Preservation Portfolio	2.38%	2.39%	2.44%	1.96%	1.11%	0.87%	1.44%	1.79%	1.72%	1.79%	2.22%	2.36%

Frequently Asked Questions

Can I hold both ANCFX and TEPAX in my portfolio?

ANCFX and TEPAX have a correlation of 0.24, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, ANCFX or TEPAX?

ANCFX has higher volatility (4.30%) compared to TEPAX (0.50%). In terms of maximum drawdown, ANCFX dropped -53.29% vs TEPAX's -7.13%.

Which has better risk-adjusted returns?

TEPAX currently has the higher Sharpe Ratio (1.77 vs 1.56), 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.