You Can Choose One Fund for a Well-Diversified Retirement Portfolio. [Note to financial professional: Please refer to slide.] Content contained herein is not intended to serve as impartial investment or fiduciary advice. The content has been developed by Capital Group which receives fees for managing, distributing and/or servicing its investments. Investments are not FDIC- insured, nor are they deposits of or guaranteed by a bank or any other entity, so they may lose value. RPGEPO-029-1017O 9638s60034 © 2017 American Funds Distributors, Inc.

Meet Emma and her family. Like many of you, Emma has a full life. She has so many responsibilities that she sometimes has a hard time fitting everything into her day. © American Funds Distributors, Inc.

Emma Has Many Daily Responsibilities Family She has two young children … © American Funds Distributors, Inc.

Emma Has Many Daily Responsibilities Family Career …works full time outside the home… © American Funds Distributors, Inc.

Emma Has Many Daily Responsibilities Family Career …has a household to maintain… Household © American Funds Distributors, Inc.

Emma Has Many Daily Responsibilities Family Career …and has to budget and save for her retirement, too. Most of the time she feels like there just aren’t enough hours in the day. Any of you feel this way? These days, it’s easy to feel overextended. Time is at a premium. Household © American Funds Distributors, Inc.

Emma’s Looking for Ways to Save Time Family Career Lately, Emma has been finding ways to simplify her life. She’s joined a soccer vanpool … Household © American Funds Distributors, Inc.

Emma’s Looking for Ways to Save Time Family Career …is delegating more responsibility to her team at work … Household © American Funds Distributors, Inc.

Emma’s Looking for Ways to Save Time Family Career …and has asked her family to pitch in around the house. Household © American Funds Distributors, Inc.

? Emma’s Looking for Ways to Save Time Family Career Household But what about Emma’s retirement saving? How can she carve time out of her already busy schedule to put together an effective investment portfolio? I’d like to talk to you today about how she dealt with this challenge. Household ? © American Funds Distributors, Inc.

ultimate sophistication.” – Leonardo da Vinci “Simplicity is the ultimate sophistication.” – Leonardo da Vinci If you, like Emma, are looking for simplicity in your life, it’s not a sign of weakness. In fact, it’s quite the opposite. [Note to financial professional: Read quote on slide.] Great minds have always been searching for more efficient ways to do things. © American Funds Distributors, Inc.

Emma Needs Help … Building an appropriate investment mix. Adjusting it over time. Finding opportunities to achieve good results without a huge time commitment. When it comes to building and monitoring her own retirement portfolio, Emma has found the task to be less than simple. She wants to: build a diversified portfolio without making a huge time commitment. adjust her mix of investments over time. © American Funds Distributors, Inc.

Target Date Funds Simplify Retirement Investing Then Consider Choosing This Fund Step 2: And You Plan to Retire (or have retired) in Step 1: If You Were Born in 1993 or later 2058 or later 2060 1988–1992 2053–2057 2055 1983–1987 2048–2052 2050 1978–1982 2043–2047 2045 1973–1977 2038–2042 2040 1968–1972 2033–2037 2035 1963–1967 2028–2032 2030 1958–1962 2023–2027 2025 1953 or earlier 2018 or earlier 2020 To accomplish her goals she can choose a target date fund. With target date funds, all Emma needs to know is the age at which she plans to retire. She can then select the fund with the closest “target date” — the year in which an investor is assumed to retire and begin taking withdrawals. © American Funds Distributors, Inc.

Target Date Funds Simplify Retirement Investing Then Consider Choosing This Fund Step 2: And You Plan to Retire (or have retired) in Step 1: If You Were Born in 1993 or later 2058 or later 2060 1988–1992 2053–2057 2055 1983–1987 2048–2052 2050 1978–1982 2043–2047 2045 1973–1977 2038–2042 2040 1968–1972 2033–2037 2035 1963–1967 2028–2032 2030 1958–1962 2023–2027 2025 1953 or earlier 2018 or earlier 2020 Emma is 47 years old, and plans to retire at age 65. So, for Emma, a 2035 target date fund may be appropriate. One fund. Emma’s fund selection process is over. It’s that simple. © American Funds Distributors, Inc.

One Investment? Now you may be thinking, “I don’t know about this ‘one investment’ idea…I’ve heard that I need to spread my money around in different investments…” You may have even tried to construct a diversified portfolio on your own. Trying to create a complementary mix of investments can be challenging. © American Funds Distributors, Inc.

Target Date Funds Simplify Retirement Investing When you invest in a target date fund: Each target date fund serves as a single diversified portfolio made up of a broad range of investments, which can help reduce volatility when saving for retirement. Experienced investment professionals manage the fund’s assets. Target date funds are a convenient choice for investors who don’t have the time to put together their own investment mix. But let’s take a look at what you’re really getting with a target date investment. Each target date fund serves as a single diversified portfolio made up of a broad range of investments, which can help reduce volatility when saving for retirement. Experienced investment professionals manage the fund’s assets. Target date funds are a convenient choice for investors who don’t have the time to put together their own investment mix. © American Funds Distributors, Inc.

Emma’s Needs Have Changed Over Time Now, you may be thinking. “What works for me today may not be right for me down the road — some things need to change over time.” For example, Emma’s transportation needs have certainly evolved over the years… © American Funds Distributors, Inc.

Emma’s Needs Have Changed Over Time [Build to reveal next vehicle.] © American Funds Distributors, Inc.

Emma’s Needs Have Changed Over Time [Build to reveal third vehicle.] © American Funds Distributors, Inc.

Asset Mix (% of Equities) Emma’s Needs Have Changed Over Time Investment Goals Change as You Near Retirement Asset Mix (% of Equities) Investment Stages 45 (Years) Retirement –30 Transition Distribution Accumulation Grow Balance Sustain …and she recognizes that her investment mix also needs to change as she gets closer to retirement. But she's not sure how and when to adjust her investment portfolio. Luckily, target date funds adjust for you. Investment professionals manage each target date fund’s portfolio, moving it from a more growth-oriented focus to a more income-oriented focus as the fund gets closer to its target date. Some target date funds will continue to be managed professionally years beyond the projected target retirement date, so participants can remain invested in the funds throughout their retirement years. © American Funds Distributors, Inc.

An Online Calculator Is Available for You americanfundsretirement.com Because her target date investment offers Emma a complete and diversified retirement portfolio in a single fund, all she really needs to do now is decide how much to save. She uses a retirement calculator and decides to set aside a small amount from each paycheck and then change her contribution in small increments each year. She also plans to check in with her plan’s financial professional regularly to verify that she’s on track to reach her retirement goals. © American Funds Distributors, Inc.

Emma’s decision to use a target date fund allows her to focus more on other areas of life, like spending time with her family. By discussing her overall savings with her financial professional periodically, she’s confident she can work toward achieving her goal of a financially secure retirement. A target date fund may be a good choice to consider if you want a simple approach to investing that’s designed with a target retirement date in mind. Do remember that although the target date funds are managed for investors on a projected retirement date time frame, the funds’ allocation approach does not guarantee that investors’ retirement goals will be met. I hope Emma’s story has helped you better understand the benefits a target date fund offers. As always, if you have questions about today’s presentation or if you need help with retirement planning, please contact me. I’m happy to help. © American Funds Distributors, Inc.

Investors should carefully consider investment objectives, risks, charges and expenses. This and other important information is contained in the fund prospectuses and summary prospectuses, which can be obtained from a financial professional and should be read carefully before investing. [Note to financial professional: Refer to slide. Give your audience time to read important disclosure.] © American Funds Distributors, Inc.

[Note to financial professional: Thank employees for attending and let them know how to get in touch with you if they need further assistance.] © 2017 American Funds Distributors, Inc.