American Funds Developing World Growth and Income Fund – Class R-2 is a diversified mutual fund focused on equities in emerging and developing markets. Managed by Capital Research and Management Company, the fund aims to provide long-term capital growth alongside current income by primarily investing in companies from developing economies that demonstrate both growth potential and the capacity to pay dividends. This dual objective distinguishes the fund within the broader emerging markets category, balancing opportunities for appreciation with a focus on income generation. The portfolio features significant exposure to non-U.S. equities, with only a small allocation to U.S. stocks and bonds, reflecting its global approach. Key holdings typically include leading firms from sectors such as financials, information technology, communication services, and consumer discretionary, providing broad diversification across industries. With more than 100 holdings, the fund offers access to some of the fastest-growing economies worldwide while seeking to mitigate risk through income-producing assets. Designed to appeal to investors seeking to diversify their equity allocations and participate in emerging market growth with an added emphasis on income, this fund plays a meaningful role in global and retirement-focused portfolios.
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