14 important things you should know about American Funds TAIAX mutual fund

Updated: June 29, 2020
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Before we start: if you’re looking for TAIAX “stock” price, you can quickly find it out by visiting Finny and typing "TAIAX quote". If you’re looking for a quick scoop on TAIAX "stock" (price chart, key stats, buy or sell analysis and holdings), go to Finny and look for "TAIAX". You’ll get all this info in one place.

Are you looking to buy or sell TAIAX? Or perhaps you’re looking for TAIAX fact sheet, and learn about its alternatives? If so, you came to the right place.

In this TAIAX mutual fund review, we’ll address key questions our readers have been asking us about this fund, above and beyond what you can find in its prospectus, and on Morningstar or Yahoo Finance.

Here is what you’ll be able to find in this review:

  • Fact Sheet: TAIAX performance, returns, expense ratio, holdings and dividend yield;
  • Analysis: TAIAX buy or sell; the pros and cons of investing in TAIAX mutual fund;
  • Alternatives: other ETFs and mutual funds you should consider as alternatives to TAIAX.

And here is the list of questions we’ll answer:

  1. Describe American Funds Portfolio Series: American Funds Tax-Advantaged Income Portfolio; Class A Shares (TAIAX).
  2. What are TAIAX holdings?
  3. What is TAIAX performance? What are TAIAX historical returns?
  4. How many up and down years did TAIAX have historically?
  5. What is TAIAX dividend yield?
  6. What is TAIAX minimum initial investment amount?
  7. What is TAIAX expense ratio?
  8. Does TAIAX have any sales loads or 12b-1 distribution expenses?
  9. What is TAIAX tax efficiency (tax-cost ratio)?
  10. What is TAIAX beta? How would you assess TAIAX risk?
  11. What is TAIAX Sharpe ratio?
  12. What is TAIAX Finny Score? TAIAX buy or sell?
  13. What are the pros of investing in TAIAX? What are TAIAX buy reasons?
  14. What are the cons of investing in TAIAX? What are TAIAX sell reasons?

So let’s start. Scroll down to the question that interests you the most.

Fact Sheet

1. Describe American Funds Portfolio Series: American Funds Tax-Advantaged Income Portfolio; Class A Shares (TAIAX).

The Fund seeks to provide current income while secondarily striving for long-term growth of capital. Under normal market conditions, the Fund will seek to generate material portion of its current income from underlying funds that invest in bonds that are exempt from regular income tax, such as municipal bonds.

2. What are TAIAX top holdings?

TAIAX has 0 stock holdings and 0 bond holdings.

The top 5 holdings represent 100.03% of total assets. Here are the top holdings:

Name Symbol % Assets
American High-Income Municipal Bond R-6 N/A 26.66%
American Funds Tax Exempt Bond R-6 N/A 26.58%
American Funds Capital World Gr&Inc R6 RWIGX 18.90%
American Funds American Mutual R6 RMFGX 14.15%
American Funds Washington Mutual R6 RWMGX 13.74%

3. What is TAIAX performance? What are TAIAX historical returns?

TAIAX has generated the following returns:

  • 1-month return is 1.48%;
  • 3-month return is -9.54%;
  • 1-year return is -0.83%;
  • 3-year return is 4.27%;
  • 5-year return is 4.52%.

4. How many up and down years did TAIAX have historically?

In the last 10 years, TAIAX had 9 up years and 1 down year.

5. What is TAIAX dividend yield?

TAIAX yield is 2.31%.

6. What is TAIAX minimum initial investment amount?

TAIAX minimum initial investment amount is $1.00K.

7. What is TAIAX expense ratio?

TAIAX expense ratio is 0.67%. The expense ratio of a fund is the total percentage of fund assets used for administrative, management, and all other expenses.

8. Does TAIAX have any sales loads or 12b-1 distribution expenses?

TAIAX 12b-1 distribution fee is 0.3. TAIAX front-end sales load is 3.75. TAIAX back-end sales load is 0.

9. What is TAIAX tax efficiency (tax-cost ratio)?

  • 1-year ax cost ratio is 1.31%;
  • 3-year ax cost ratio is 0.92%.

10. What is TAIAX beta? How would you assess TAIAX risk?

  • 3-year beta is 0.74;
  • 5-year beta is 0.75.

11. What is TAIAX Sharpe ratio?

  • 3-year Sharpe ratio is 0.25;
  • 5-year Sharpe ratio is 0.42.

Analysis

12. What is TAIAX Finny Score? TAIAX buy or sell?

TAIAX Finny Score is 33. Our quantitative analysis shows 2 reasons to buy TAIAX and 4 reasons to sell it, resulting in the Finny Score of 33.

13. What are the pros of investing in TAIAX? What are TAIAX buy reasons?

The following are TAIAX strengths from our perspective:

  • TAIAX 3-year Beta is 0.74, which is inversely correlated with the index (Morningstar Mod Tgt Risk TR USD). The could be good if you're trying to hedge your portfolio.
  • TAIAX 5-year Beta is 0.75, which is inversely correlated with the index (Morningstar Mod Tgt Risk TR USD). The could be good if you're trying to hedge your portfolio.

14. What are the cons of investing in TAIAX? What are TAIAX negatives?

The following are TAIAX weaknesses from our perspective:

  • TAIAX 3-year return is 4.27%, which is lower than the 3-year return of the benchmark index (S&P 500 TR USD), 9.1%.
  • TAIAX 5-year return is 4.52%, which is lower than the 5-year return of the benchmark index (S&P 500 TR USD), 9.05%.
  • Warning: this fund has a 12b1 and front-end sales fee. The maximum 12b1 fee is 0.3%, while the maximum front-end sales load is 3.75%. A 12b-1 fee is an annual marketing or distribution fee on a mutual fund. Front-end sales load, also known as sales charge, is a fee paid when mutual funds shares are purchased. Those fees are subtracted from your total investable assets.
  • TAIAX expense ratio is 0.67%, which is not negligible. Is the fund expensive to you, and does it align to your investment strategy?
In the TAIAX review, we covered TAIAX key stats (return, performance, yield, expense ratio, and holdings), buy and sell analysis, and alternative investments. If this review was helpful to you, feel free to check out other mutual fund and ETF reviews.
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