NPORT-EX 3 edgar.htm
Fundamental Investors®
Investment portfolio
September 30, 2021
unaudited
Common stocks 97.44%
Information technology 23.97% 		  Shares Value
(000)
Microsoft Corp. 23,493,794 $6,623,370
Broadcom, Inc. 10,931,367 5,300,948
Applied Materials, Inc. 11,087,392 1,427,280
Taiwan Semiconductor Manufacturing Company, Ltd.1 54,421,000 1,122,218
Taiwan Semiconductor Manufacturing Company, Ltd. (ADR) 2,350,683 262,454
ASML Holding NV1 1,270,700 937,360
ASML Holding NV (New York registered) (ADR) 73,907 55,069
Apple, Inc. 6,738,158 953,449
Advanced Micro Devices, Inc.2 8,711,003 896,362
TE Connectivity, Ltd. 5,073,292 696,157
NortonLifeLock, Inc. 27,486,608 695,411
Micron Technology, Inc. 9,250,833 656,624
Mastercard, Inc., Class A 1,814,530 630,876
Intel Corp. 10,903,294 580,927
PayPal Holdings, Inc.2 2,121,866 552,131
Arista Networks, Inc.2 1,517,726 521,551
Motorola Solutions, Inc. 2,209,206 513,243
RingCentral, Inc., Class A2 2,357,081 512,665
KLA Corp. 1,483,459 496,232
Fidelity National Information Services, Inc. 3,355,936 408,350
SK hynix, Inc.1 4,706,300 405,827
Texas Instruments, Inc. 2,000,000 384,420
MongoDB, Inc., Class A2 799,327 376,891
FleetCor Technologies, Inc.2 1,381,432 360,927
Ceridian HCM Holding, Inc.2 2,864,649 322,617
Cisco Systems, Inc. 5,800,000 315,694
Visa, Inc., Class A 1,285,998 286,456
Square, Inc., Class A2 1,189,000 285,170
Samsung Electronics Co., Ltd.1 4,568,381 284,331
Zendesk, Inc.2 2,279,000 265,253
STMicroelectronics NV1 6,063,674 264,361
Paychex, Inc. 2,278,918 256,264
VeriSign, Inc.2 1,200,004 246,013
HubSpot, Inc.2 346,000 233,927
Dell Technologies, Inc., Class C2 2,056,672 213,976
MicroStrategy, Inc., Class A2,3 276,256 159,786
SAP SE1 1,144,811 155,092
EPAM Systems, Inc.2 270,400 154,258
Smartsheet, Inc., Class A2 2,239,000 154,088
Adobe, Inc.2 247,021 142,215
Automatic Data Processing, Inc. 677,902 135,526
Shopify, Inc., Class A, subordinate voting shares2 99,274 134,594
NetApp, Inc. 1,494,561 134,152
ServiceNow, Inc.2 204,088 126,998
Lam Research Corp. 212,859 121,149
LiveRamp Holdings, Inc.2 2,296,365 108,457
Cree, Inc.2 1,271,527 102,650
Fundamental Investors — Page 1 of 11
unaudited
Common stocks (continued)
Information technology (continued) 		  Shares Value
(000)
Edenred SA1 1,905,140 $102,612
Concentrix Corp.2 513,063 90,812
Amadeus IT Group SA, Class A, non-registered shares1,2 1,189,155 78,119
Keyence Corp.1 103,100 61,776
Tokyo Electron, Ltd.1 134,000 59,068
Snowflake, Inc., Class A2 162,071 49,015
Alteryx, Inc., Class A2 584,229 42,707
Dolby Laboratories, Inc., Class A 409,139 36,004
      30,493,882
Communication services 12.85%      
Facebook, Inc., Class A2 12,101,498 4,107,127
Alphabet, Inc., Class C2 943,363 2,514,355
Alphabet, Inc., Class A2 241,336 645,216
Comcast Corp., Class A 42,937,250 2,401,480
Netflix, Inc.2 3,841,300 2,344,499
Charter Communications, Inc., Class A2 1,696,005 1,233,945
Sea, Ltd., Class A (ADR)2 2,450,841 781,157
Walt Disney Company2 3,490,768 590,533
Activision Blizzard, Inc. 3,952,546 305,888
ZoomInfo Technologies, Inc., Class A2 4,072,000 249,166
T-Mobile US, Inc.2 1,874,479 239,483
Snap, Inc., Class A2 2,992,086 221,025
AT&T, Inc. 5,991,599 161,833
New York Times Co., Class A 2,115,405 104,226
Pinterest, Inc., Class A2 1,709,776 87,113
JOYY Inc., Class A (ADR)3 1,359,870 74,562
Universal Music Group NV1,2 2,572,585 68,882
Tencent Holdings, Ltd.1 1,017,000 59,631
SoftBank Corp.1 3,579,300 48,597
Electronic Arts, Inc. 330,633 47,033
Vivendi SE1 2,572,585 32,449
CD Projekt SA1 646,164 30,977
      16,349,177
Health care 11.19%      
UnitedHealth Group, Inc. 4,744,535 1,853,880
Pfizer, Inc. 39,699,066 1,707,457
Thermo Fisher Scientific, Inc. 2,072,172 1,183,894
Centene Corp.2 18,867,761 1,175,650
Eli Lilly and Company 4,127,714 953,708
AstraZeneca PLC1 7,458,804 897,925
AstraZeneca PLC (ADR) 716,369 43,025
Cigna Corp. 2,668,338 534,095
Abbott Laboratories 4,380,137 517,426
Regeneron Pharmaceuticals, Inc.2 827,408 500,731
Molina Healthcare, Inc.2 1,401,365 380,204
Allakos, Inc.2,4 3,299,000 349,265
Edwards Lifesciences Corp.2 3,043,387 344,542
Bristol-Myers Squibb Company 5,038,309 298,117
ResMed, Inc. 1,064,160 280,459
Novo Nordisk A/S, Class B1 2,533,440 243,679
Danaher Corp. 672,423 204,712
Cortexyme, Inc.2,4 1,930,648 176,963
Agilon Health, Inc.2 6,470,000 169,579
Fundamental Investors — Page 2 of 11
unaudited
Common stocks (continued)
Health care (continued) 		  Shares Value
(000)
Vertex Pharmaceuticals, Inc.2 914,440 $165,870
Anthem, Inc. 412,164 153,655
Humana, Inc. 391,000 152,158
Seagen, Inc.2 894,842 151,944
Merck & Co., Inc. 1,850,000 138,954
Ultragenyx Pharmaceutical, Inc.2 1,508,549 136,056
Rede D’Or Sao Luiz SA 9,827,058 122,546
Twist Bioscience Corp.2 1,080,987 115,633
BioNTech SE (ADR)2 399,159 108,966
BeiGene, Ltd. (ADR)2 292,118 106,039
Zimmer Biomet Holdings, Inc. 716,679 104,893
Illumina, Inc.2 256,900 104,201
NovoCure, Ltd.2 883,909 102,684
GlaxoSmithKline PLC1 3,877,505 73,190
Kronos Bio, Inc.2,4 3,133,214 65,672
Teva Pharmaceutical Industries, Ltd. (ADR)2 6,732,737 65,577
Notre Dame Intermédica Participações SA 4,645,000 63,639
Mettler-Toledo International, Inc.2 44,762 61,653
Gilead Sciences, Inc. 878,000 61,328
Applied Molecular Transport, Inc.2,4 2,314,000 59,863
Insulet Corp.2 206,504 58,695
Carl Zeiss Meditec AG, non-registered shares1 249,340 47,930
Incyte Corp.2 668,310 45,966
Baxter International, Inc. 504,000 40,537
Guardant Health, Inc.2 283,007 35,379
Tandem Diabetes Care, Inc.2 249,164 29,745
AmerisourceBergen Corp. 209,600 25,037
Bausch Health Companies, Inc.2 747,180 20,809
Organon & Co.2 86,722 2,844
      14,236,774
Financials 10.86%      
JPMorgan Chase & Co. 9,267,152 1,516,940
Blackstone, Inc. 12,326,827 1,434,103
KKR & Co., Inc. 10,681,162 650,269
Bank of America Corp. 14,023,106 595,281
CME Group, Inc., Class A 3,048,058 589,433
Apollo Global Management, Inc., Class A 8,960,106 551,853
Aon PLC, Class A 1,869,567 534,266
Intercontinental Exchange, Inc. 4,363,829 501,055
BlackRock, Inc. 588,849 493,844
HDFC Bank, Ltd.1 22,825,000 489,333
Sberbank of Russia PJSC (ADR)1 23,510,850 436,837
Capital One Financial Corp. 2,463,393 398,996
Synchrony Financial 7,637,392 373,316
Marsh & McLennan Companies, Inc. 2,297,393 347,894
Citigroup, Inc. 4,790,967 336,230
S&P Global, Inc. 787,916 334,778
Truist Financial Corp. 5,693,361 333,916
Chubb, Ltd. 1,918,043 332,742
Moody’s Corp. 826,525 293,507
First Republic Bank 1,519,961 293,170
Arthur J. Gallagher & Co. 1,751,482 260,358
Discover Financial Services 2,086,118 256,280
Citizens Financial Group, Inc. 5,445,318 255,821
Fundamental Investors — Page 3 of 11
unaudited
Common stocks (continued)
Financials (continued) 		  Shares Value
(000)
Wells Fargo & Company 5,194,000 $241,053
Kotak Mahindra Bank, Ltd.1,2 7,571,000 203,885
Brookfield Asset Management, Inc., Class A 3,358,755 179,727
Arch Capital Group, Ltd.2 4,400,000 167,992
Société Générale1 5,321,652 167,084
AIA Group, Ltd.1 13,462,600 155,010
Ares Management Corp., Class A 1,715,449 126,652
Travelers Companies, Inc. 815,653 123,987
BNP Paribas SA1 1,800,000 115,300
London Stock Exchange Group PLC1 1,110,968 110,994
EQT AB1 2,530,689 104,239
PNC Financial Services Group, Inc. 448,308 87,707
W. R. Berkley Corp. 1,196,898 87,589
Ping An Insurance (Group) Company of China, Ltd., Class H1 11,879,500 80,609
QBE Insurance Group, Ltd.1 7,614,013 63,520
Athene Holding, Ltd., Class A2 843,764 58,110
Toronto-Dominion Bank (CAD denominated) 807,740 53,473
Progressive Corp. 475,000 42,935
Bank of Nova Scotia (CAD denominated) 597,745 36,792
Brookfield Asset Management Reinsurance Partners, Ltd., Class A 8,760 487
      13,817,367
Consumer discretionary 10.68%      
Amazon.com, Inc.2 835,239 2,743,793
Home Depot, Inc. 2,815,555 924,234
Dollar General Corp. 4,250,920 901,790
Evolution AB1 5,629,975 855,804
Restaurant Brands International, Inc. 11,262,880 689,176
Target Corp. 2,600,143 594,835
Prosus NV, Class N1 6,895,456 543,074
Booking Holdings, Inc.2 212,848 505,273
Caesars Entertainment, Inc.2 4,137,613 464,571
Flutter Entertainment PLC (EUR denominated)1,2 1,314,540 258,059
Flutter Entertainment PLC1,2 677,483 133,933
Industria de Diseño Textil, SA1 9,266,677 337,145
TJX Companies, Inc. 5,059,350 333,816
McDonald’s Corp. 1,374,000 331,285
Marriott International, Inc., Class A2 2,210,280 327,320
NIKE, Inc., Class B 2,227,304 323,471
Domino’s Pizza, Inc. 578,790 276,060
YUM! Brands, Inc. 2,069,994 253,181
B&M European Value Retail SA1 30,605,251 242,981
LVMH Moët Hennessy-Louis Vuitton SE1 327,637 234,281
Entain PLC1,2 6,362,379 182,129
Shop Apotheke Europe NV, non-registered shares1,2,3,4 1,176,089 173,928
Darden Restaurants, Inc. 1,049,266 158,932
Toll Brothers, Inc. 2,849,846 157,568
Burlington Stores, Inc.2 553,466 156,946
Hilton Worldwide Holdings, Inc.2 1,156,118 152,735
Galaxy Entertainment Group, Ltd.1,2 27,756,000 140,044
Peloton Interactive, Inc., Class A2 1,408,945 122,649
Trainline PLC1,2 22,560,332 106,675
Cie. Financière Richemont SA, Class A1 978,601 100,907
Floor & Decor Holdings, Inc., Class A2 796,992 96,269
Kering SA1 129,512 92,112
Fundamental Investors — Page 4 of 11
unaudited
Common stocks (continued)
Consumer discretionary (continued) 		  Shares Value
(000)
Five Below, Inc.2 518,500 $91,676
Carvana Co., Class A2 296,875 89,520
MercadoLibre, Inc.2 51,700 86,825
Arrival Group2,3 5,269,585 69,295
Arrival Group2 1,114,654 14,658
adidas AG1 214,930 67,726
Lowe’s Companies, Inc. 285,581 57,933
Kindred Group PLC (SDR)1 3,646,000 54,749
Coupang, Inc., Class A2 1,780,739 49,594
Farfetch, Ltd., Class A2 1,120,000 41,978
THG PLC1,2 5,112,855 34,686
Airbnb, Inc., Class A2 89,963 15,091
      13,588,707
Industrials 8.97%      
TransDigm Group, Inc.2 1,673,602 1,045,282
Honeywell International, Inc. 4,859,128 1,031,496
CSX Corp. 33,873,005 1,007,383
Deere & Company 2,150,473 720,559
Carrier Global Corp. 12,048,393 623,625
Airbus SE, non-registered shares1,2 4,136,536 543,107
Union Pacific Corp. 2,648,889 519,209
ABB, Ltd.1 15,118,306 503,926
Emerson Electric Co. 5,172,840 487,282
Safran SA1 3,496,242 438,359
ITT, Inc.4 4,965,982 426,280
L3Harris Technologies, Inc. 1,673,552 368,583
Norfolk Southern Corp. 1,520,657 363,817
Northrop Grumman Corp. 728,927 262,523
Waste Connections, Inc. 1,968,801 247,931
Nidec Corp.1 2,206,188 244,744
Rockwell Automation 793,518 233,326
Caterpillar, Inc. 1,213,362 232,929
Lockheed Martin Corp. 645,016 222,595
Rexnord Corp. 3,439,000 221,093
Boeing Company2 708,000 155,718
LIXIL Corp.1 4,575,100 132,947
TFI International, Inc. (CAD denominated) 1,161,928 118,871
Lifco AB, Class B1 4,359,400 116,689
Raytheon Technologies Corp. 1,333,663 114,642
BWX Technologies, Inc. 1,769,486 95,305
IMCD NV1 498,121 94,572
United Rentals, Inc.2 250,000 87,732
MTU Aero Engines AG1 356,586 80,628
Dun & Bradstreet Holdings, Inc.2 4,783,539 80,411
FTI Consulting, Inc.2 579,334 78,036
Armstrong World Industries, Inc. 785,468 74,989
AMETEK, Inc. 602,057 74,661
Equifax, Inc. 280,337 71,043
Shoals Technologies Group, Inc., Class A2 2,370,000 66,076
Jacobs Engineering Group, Inc. 406,549 53,880
ASSA ABLOY AB, Class B1 1,744,263 50,575
Uber Technologies, Inc.2 1,122,032 50,267
Fundamental Investors — Page 5 of 11
unaudited
Common stocks (continued)
Industrials (continued) 		  Shares Value
(000)
DSV A/S1 194,266 $46,380
Sweco AB, Class B, non-registered shares1 1,796,901 28,248
      11,415,719
Consumer staples 8.24%      
Philip Morris International, Inc. 24,178,759 2,291,905
Altria Group, Inc. 42,224,460 1,922,057
British American Tobacco PLC1 44,284,111 1,545,046
British American Tobacco PLC (ADR) 1,038,814 36,649
Conagra Brands, Inc. 18,894,810 639,967
Keurig Dr Pepper, Inc. 17,231,606 588,632
Nestlé SA1 4,444,933 534,809
Mondelez International, Inc. 7,773,000 452,233
Constellation Brands, Inc., Class A 1,886,971 397,566
Archer Daniels Midland Company 5,934,000 356,099
Procter & Gamble Company 2,036,613 284,719
Bunge, Ltd. 3,300,000 268,356
Walmart, Inc. 1,866,514 260,155
Anheuser-Busch InBev SA/NV1 3,070,844 173,435
Kellogg Co. 2,593,141 165,754
Walgreens Boots Alliance, Inc. 3,000,000 141,150
ITC, Ltd.1 38,035,066 120,210
Reckitt Benckiser Group PLC (ADR) 6,018,200 95,088
Kraft Heinz Company 2,061,526 75,905
Church & Dwight Co., Inc. 877,934 72,491
General Mills, Inc. 1,052,060 62,934
      10,485,160
Materials 3.98%      
Vale SA, ordinary nominative shares (ADR) 24,238,240 338,123
Vale SA, ordinary nominative shares 13,953,000 195,341
Dow, Inc. 8,854,863 509,686
Eastman Chemical Company 4,899,099 493,535
Grupo México, SAB de CV, Series B 108,129,118 431,595
LyondellBasell Industries NV 3,860,940 362,349
Linde PLC 1,159,112 340,060
Barrick Gold Corp. 17,034,387 307,471
Corteva, Inc. 6,881,798 289,586
Wheaton Precious Metals Corp. 7,499,435 281,829
Rio Tinto PLC1 4,133,758 272,936
First Quantum Minerals, Ltd. 12,975,151 240,224
Royal Gold, Inc. 2,274,983 217,238
Franco-Nevada Corp. 1,094,000 142,127
BHP Group PLC1 5,519,690 137,569
PPG Industries, Inc. 864,535 123,637
Packaging Corporation of America 685,188 94,172
Asian Paints, Ltd.1 2,142,500 92,961
Air Products and Chemicals, Inc. 324,384 83,078
CCL Industries, Inc., Class B, nonvoting shares 1,157,633 59,956
Sherwin-Williams Company 149,605 41,849
      5,055,322
Fundamental Investors — Page 6 of 11
unaudited
Common stocks (continued)
Energy 3.19% 		  Shares Value
(000)
ConocoPhillips 11,450,258 $775,984
Canadian Natural Resources, Ltd. (CAD denominated) 17,986,913 657,646
Exxon Mobil Corp. 8,880,086 522,327
Valero Energy Corp. 5,593,286 394,718
EOG Resources, Inc. 4,689,797 376,450
Baker Hughes Co., Class A 14,507,224 358,764
Pioneer Natural Resources Company 1,359,300 226,337
Cabot Oil & Gas Corp. 8,359,615 181,905
Chevron Corp. 1,517,596 153,960
Chesapeake Energy Corp. 2,349,700 144,718
BP PLC1 30,000,000 135,901
Equitrans Midstream Corp. 10,253,507 103,970
DT Midstream, Inc. 621,339 28,731
      4,061,411
Utilities 2.01%      
Enel SpA1 81,352,354 624,586
AES Corp. 22,262,406 508,251
CenterPoint Energy, Inc. 10,009,226 246,227
Sempra Energy 1,724,107 218,099
Evergy, Inc. 3,392,221 210,996
CMS Energy Corp. 3,372,576 201,444
Exelon Corp. 3,545,332 171,381
Xcel Energy, Inc. 2,414,398 150,900
Ørsted AS1 866,995 114,392
NextEra Energy, Inc. 997,900 78,355
Brookfield Infrastructure Partners LP 573,483 32,251
      2,556,882
Real estate 1.50%      
Crown Castle International Corp. REIT 3,931,022 681,325
VICI Properties, Inc. REIT 13,832,599 392,984
Gaming and Leisure Properties, Inc. REIT 7,421,434 343,761
Equinix, Inc. REIT 293,522 231,920
UDR, Inc. REIT 2,852,440 151,122
Digital Realty Trust, Inc. REIT 301,203 43,509
Shimao Group Holdings, Ltd.1 14,560,000 26,566
K-Fast Holding AB, Class B1,2 3,114,076 25,805
KE Holdings, Inc., Class A (ADR)2 658,614 12,026
      1,909,018
Total common stocks (cost: $71,958,951,000)     123,969,419
Preferred securities 0.02%
Information technology 0.02% 		     
Samsung Electronics Co., Ltd., nonvoting preferred shares1 500,000 29,266
      29,266
Real estate 0.00%      
Brookfield Property Preferred LP, Series 1, 6.25% preferred shares3 43,503 1,064
      1,064
Total preferred securities (cost: $15,625,000)     30,330
Fundamental Investors — Page 7 of 11
unaudited
Rights & warrants 0.00%
Consumer discretionary 0.00% 		  Shares Value
(000)
Cie. Financière Richemont SA, Class A, warrants, expire 20232 179,714 $85
Total rights & warrants (cost: $0)     85
Convertible stocks 0.30%
Information technology 0.17% 		     
Broadcom, Inc., Series A, cumulative convertible preferred shares, 8.00% 2022 141,340 216,534
      216,534
Financials 0.08%      
KKR & Co., Inc., Series C, convertible preferred shares, 6.00% 2023 1,269,092 100,271
      100,271
Utilities 0.05%      
AES Corp., convertible preferred units, 6.875% 2024 640,552 61,749
      61,749
Total convertible stocks (cost: $273,760,000)     378,554
Short-term securities 2.16%
Money market investments 2.15% 		     
Capital Group Central Cash Fund 0.06%4,5 27,419,600 2,742,234
Money market investments purchased with collateral from securities on loan 0.01%      
Goldman Sachs Financial Square Government Fund, Institutional Shares 0.03%5,6 3,540,802 3,541
Capital Group Central Cash Fund 0.06%4,5,6 30,807 3,081
Invesco Short-Term Investments Trust – Government & Agency Portfolio,
Institutional Class 0.03%5,6 		1,432,550 1,433
      8,055
Total short-term securities (cost: $2,749,943,000)     2,750,289
Total investment securities 99.92% (cost: $74,998,279,000)     127,128,677
Other assets less liabilities 0.08%     96,349
Net assets 100.00%     $127,225,026
Investments in affiliates4
  Value of
affiliates at
1/1/2021
(000) 		Additions
(000) 		Reductions
(000) 		Net
realized
(loss) gain
(000) 		Net
unrealized
(depreciation)
appreciation
(000) 		Value of
affiliates at
9/30/2021
(000) 		Dividend
income
(000)
Common stocks 0.98%
Health care 0.51%              
Allakos, Inc.2 $481,945 $13,233 $22,356 $(9,648) $(113,909) $349,265 $—
Cortexyme, Inc.2 30,137 31,173 253 101 115,805 176,963 —
Kronos Bio, Inc.2 — 88,318 171 (7) (22,468) 65,672 —
Applied Molecular Transport, Inc.2 65,542 7,410 303 128 (12,914) 59,863 —
GW Pharmaceuticals PLC (ADR)2,7 230,820 — 430,382 195,041 4,521 — —
            651,763  
Fundamental Investors — Page 8 of 11
unaudited
Investments in affiliates4  (continued)
  Value of
affiliates at
1/1/2021
(000) 		Additions
(000) 		Reductions
(000) 		Net
realized
(loss) gain
(000) 		Net
unrealized
(depreciation)
appreciation
(000) 		Value of
affiliates at
9/30/2021
(000) 		Dividend
income
(000)
Consumer discretionary 0.14%              
Shop Apotheke Europe NV, non-registered shares1,2,3 $64,638 $212,024 $595 $62 $(102,201) $173,928 $—
Industrials 0.33%              
ITT, Inc. — 455,350 778 64 (28,356) 426,280 1,983
Total common stocks           1,251,971  
Short-term securities 2.16%
Money market investments 2.16%              
Capital Group Central Cash Fund 0.06%5 2,361,500 7,197,885 6,817,148 56 (59) 2,742,234 1,171
Money market investments purchased with collateral from securities on loan 0.00%              
Capital Group Central Cash Fund 0.06%5,6 — 3,0818       3,081 —9
Total short-term securities           2,745,315  
Total 3.14%       $185,797 $(159,581) $3,997,286 $3,154
1 Valued under fair value procedures adopted by authority of the board of trustees. The total value of all such securities was $16,572,725,000, which represented 13.03% of the net assets of the fund. This entire amount relates to certain securities trading outside the U.S. whose values were adjusted as a result of significant market movements following the close of local trading.
2 Security did not produce income during the last 12 months.
3 All or a portion of this security was on loan. The total value of all such securities was $8,745,000, which represented .01% of the net assets of the fund.
4 Affiliate of the fund or part of the same “group of investment companies“ as the fund, as defined under the Investment Company Act of 1940, as amended.
5 Rate represents the seven-day yield at 9/30/2021.
6 Security purchased with cash collateral from securities on loan.
7 Unaffiliated issuer at 9/30/2021.
8 Represents net activity.
9 Dividend income is included with securities lending income and is not shown in this table.
Valuation disclosures
Capital Research and Management Company (“CRMC”), the fund’s investment adviser, values the fund’s investments at fair value as defined by accounting principles generally accepted in the United States of America. The net asset value per share is calculated once daily as of the close of regular trading on the New York Stock Exchange, normally 4 p.m. New York time, each day the New York Stock Exchange is open. Security transactions are recorded by the fund as of the date the trades are executed with brokers. Assets and liabilities, including investment securities, denominated in currencies other than U.S. dollars are translated into U.S. dollars at the exchange rates supplied by one or more pricing vendors on the valuation date.
Methods and inputs — The fund’s investment adviser uses the following methods and inputs to establish the fair value of the fund’s assets and liabilities. Use of particular methods and inputs may vary over time based on availability and relevance as market and economic conditions evolve.
Equity securities are generally valued at the official closing price of, or the last reported sale price on, the exchange or market on which such securities are traded, as of the close of business on the day the securities are being valued or, lacking any sales, at the last available bid price. Prices for each security are taken from the principal exchange or market on which the security trades.
Fundamental Investors — Page 9 of 11
unaudited
Fixed-income securities, including short-term securities, are generally valued at prices obtained from one or more pricing vendors. Vendors value such securities based on one or more of the inputs described in the following table. The table provides examples of inputs that are commonly relevant for valuing particular classes of fixed-income securities in which the fund is authorized to invest. However, these classifications are not exclusive, and any of the inputs may be used to value any other class of fixed-income security.
Fixed-income class Examples of standard inputs
All Benchmark yields, transactions, bids, offers, quotations from dealers and trading systems, new issues, spreads and other relationships observed in the markets among comparable securities; and proprietary pricing models such as yield measures calculated using factors such as cash flows, financial or collateral performance and other reference data (collectively referred to as “standard inputs”)
Corporate bonds, notes & loans; convertible securities Standard inputs and underlying equity of the issuer
Bonds & notes of governments & government agencies Standard inputs and interest rate volatilities
Mortgage-backed; asset-backed obligations Standard inputs and cash flows, prepayment information, default rates, delinquency and loss assumptions, collateral characteristics, credit enhancements and specific deal information
When the fund’s investment adviser deems it appropriate to do so (such as when vendor prices are unavailable or deemed to be not representative), fixed-income securities will be valued in good faith at the mean quoted bid and ask prices that are reasonably and timely available (or bid prices, if ask prices are not available) or at prices for securities of comparable maturity, quality and type.
Securities with both fixed-income and equity characteristics, or equity securities traded principally among fixed-income dealers, are generally valued in the manner described for either equity or fixed-income securities, depending on which method is deemed most appropriate by the fund’s investment adviser. The Capital Group Central Cash Fund (“CCF”), a fund within the Capital Group Central Fund Series (“Central Funds“), is valued based upon a floating net asset value, which fluctuates with changes in the value of CCF’s portfolio securities. The underlying securities are valued based on the policies and procedures in CCF’s statement of additional information.
Securities and other assets for which representative market quotations are not readily available or are considered unreliable by the fund’s investment adviser are fair valued as determined in good faith under fair valuation guidelines adopted by authority of the fund’s board of trustees as further described. The investment adviser follows fair valuation guidelines, consistent with U.S. Securities and Exchange Commission rules and guidance, to consider relevant principles and factors when making fair value determinations. The investment adviser considers relevant indications of value that are reasonably and timely available to it in determining the fair value to be assigned to a particular security, such as the type and cost of the security; contractual or legal restrictions on resale of the security; relevant financial or business developments of the issuer; actively traded similar or related securities; conversion or exchange rights on the security; related corporate actions; significant events occurring after the close of trading in the security; and changes in overall market conditions. In addition, the closing prices of equity securities that trade in markets outside U.S. time zones may be adjusted to reflect significant events that occur after the close of local trading but before the net asset value of each share class of the fund is determined. Fair valuations and valuations of investments that are not actively trading involve judgment and may differ materially from valuations that would have been used had greater market activity occurred.
Processes and structure — The fund’s board of trustees has delegated authority to the fund’s investment adviser to make fair value determinations, subject to board oversight. The investment adviser has established a Joint Fair Valuation Committee (the “Fair Valuation Committee”) to administer, implement and oversee the fair valuation process, and to make fair value decisions. The Fair Valuation Committee regularly reviews its own fair value decisions, as well as decisions made under its standing instructions to the investment adviser’s valuation teams. The Fair Valuation Committee reviews changes in fair value measurements from period to period and may, as deemed appropriate, update the fair valuation guidelines to better reflect the results of back testing and address new or evolving issues. The Fair Valuation Committee reports any changes to the fair valuation guidelines to the board of trustees. The fund’s board and audit committee also regularly review reports that describe fair value determinations and methods.
The fund’s investment adviser has also established a Fixed-Income Pricing Review Group to administer and oversee the fixed-income valuation process, including the use of fixed-income pricing vendors. This group regularly reviews pricing vendor information and market data. Pricing decisions, processes and controls over security valuation are also subject to additional internal reviews facilitated by the investment adviser’s global risk management group.
Fundamental Investors — Page 10 of 11
unaudited
Classifications — The fund’s investment adviser classifies the fund’s assets and liabilities into three levels based on the inputs used to value the assets or liabilities. Level 1 values are based on quoted prices in active markets for identical securities. Level 2 values are based on significant observable market inputs, such as quoted prices for similar securities and quoted prices in inactive markets. Certain securities trading outside the U.S. may transfer between Level 1 and Level 2 due to valuation adjustments resulting from significant market movements following the close of local trading. Level 3 values are based on significant unobservable inputs that reflect the investment adviser’s determination of assumptions that market participants might reasonably use in valuing the securities. The valuation levels are not necessarily an indication of the risk or liquidity associated with the underlying investment. For example, U.S. government securities are reflected as Level 2 because the inputs used to determine fair value may not always be quoted prices in an active market. The following table presents the fund’s valuation levels as of September 30, 2021 (dollars in thousands):
  Investment securities
  Level 1 Level 2 Level 3 Total
Assets:        
Common stocks:        
Information technology $27,023,118 $3,470,764 $— $30,493,882
Communication services 16,108,641 240,536 — 16,349,177
Health care 12,974,050 1,262,724 — 14,236,774
Financials 11,890,556 1,926,811 — 13,817,367
Consumer discretionary 10,030,474 3,558,233 — 13,588,707
Industrials 9,135,544 2,280,175 — 11,415,719
Consumer staples 8,111,660 2,373,500 — 10,485,160
Materials 4,551,856 503,466 — 5,055,322
Energy 3,925,510 135,901 — 4,061,411
Utilities 1,817,904 738,978 — 2,556,882
Real estate 1,856,647 52,371 — 1,909,018
Preferred securities 1,064 29,266 — 30,330
Rights & warrants 85 — — 85
Convertible stocks 378,554 — — 378,554
Short-term securities 2,750,289 — — 2,750,289
Total $110,555,952 $16,572,725 $— $127,128,677
Key to abbreviations
ADR = American Depositary Receipts
CAD = Canadian dollars
EUR = Euros
SDR = Swedish Depositary Receipts
Investments are not FDIC-insured, nor are they deposits of or guaranteed by a bank or any other entity, so they may lose value.
Investors should carefully consider investment objectives, risks, charges and expenses. This and other important information is contained in the fund prospectus and summary prospectus, which can be obtained from your financial professional and should be read carefully before investing. You may also call American Funds Service Company (AFS) at (800) 421-4225 or visit the Capital Group website at capitalgroup.com.
All Capital Group trademarks mentioned are owned by The Capital Group Companies, Inc., an affiliated company or fund. All other company and product names mentioned are the property of their respective companies.
American Funds Distributors, Inc., member FINRA.
© 2021 Capital Group. All rights reserved.
MFGEFP3-010-1121O-S85338 Fundamental Investors — Page 11 of 11