FSBTX

About FSBTX

Short-Term Bond Fund of America, Class F-3 is an actively managed mutual fund focused on generating current income while emphasizing capital preservation. The strategy invests primarily in high-quality, U.S. dollar–denominated fixed income, including U.S. Treasury and agency securities, investment-grade corporate bonds, and securitized assets such as asset-backed and mortgage-backed obligations. The portfolio maintains a conservative risk profile, reflected in a substantial allocation to higher-quality credit tiers and a low beta profile over long periods. The fund’s sector mix is diversified across government, corporate, and structured credit to balance interest-rate sensitivity with credit risk, and it seeks shorter duration exposure typical of short-term bond mandates. Managed by Capital Group, the fund distributes income frequently and targets efficient expenses for its share class. Within the fixed income landscape, it serves as a core short-duration holding designed to dampen volatility relative to broader bond markets while providing a steady income stream and liquidity for investors allocating to high-quality short-term debt.