CPPAX

About CPPAX

American Funds Preservation Portfolio Class 529-A is a fund-of-funds within a 529 college savings lineup that prioritizes current income while aiming to preserve capital. It primarily allocates to underlying American Funds fixed income strategies, concentrating in high-quality, short-duration bonds to temper interest-rate sensitivity. The portfolio holds a broad mix of U.S. Treasuries, agency mortgage‑backed securities, and asset‑backed obligations, with minimal equity exposure and monthly distributions that support a predictable income profile. Designed for conservative savers, it targets the short‑term bond category and maintains a relatively low turnover policy, reflecting a steady, risk-aware approach. The fund’s structure leverages Capital Group’s scale and research across mortgage-backed and asset-backed markets to enhance income generation while emphasizing liquidity and credit quality. With a long-standing inception and accessible minimums typical of education-focused share classes, it serves as a core capital preservation sleeve within 529 plans, offering diversified fixed income exposure and benchmarked oversight to the Bloomberg 1–5 Year U.S. Government/Credit A+ Index.