American Funds The Bond Fund of America® Class R-3 (RBFCX)

The Bond Fund of America Class R-3 is an actively managed intermediate core bond mutual fund, primarily designed to offer a high level of current income while maintaining a focus on capital preservation. Managed by American Funds since 2002, it invests at least 80% of its assets in a diverse portfolio of U.S. and global bonds and debt securities, with a significant allocation to mortgage-backed obligations, corporate bonds, and U.S. Treasury securities. As of March 2025, approximately 35% of the fund's assets were in mortgage-backed obligations, 29% in corporate debt, and 24% in U.S. Treasury notes and bonds. The fund’s diversified structure supports exposure across government, securitized, and corporate credit sectors, aiming for resilience in varying interest rate environments. With a moderate effective duration of around 5.9 years and a focus on investment-grade debt, the fund suits investors seeking income stability from a range of high-quality fixed-income instruments. Its role in the financial market is to serve as a core bond holding for retirement and diversified portfolios, leveraging both broad sector coverage and seasoned active management to navigate changing economic conditions.