UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

FORM N-CSR

Certified Shareholder Report of

Registered Management Investment Companies

 

Investment Company Act File Number: 811-02333

 

New Perspective Fund

(Exact Name of Registrant as Specified in Charter)

 

333 South Hope Street, 55th Floor

Los Angeles, California 90071

(Address of Principal Executive Offices)

 

Registrant's telephone number, including area code: (949) 975-5000

 

Date of fiscal year end: September 30

 

Date of reporting period: September 30, 2022

 

Brian C. Janssen

New Perspective Fund

6455 Irvine Center Drive

Los Angeles, California 90071

(Name and Address of Agent for Service)

 
 

 

ITEM 1 – Reports to Stockholders

  

New Perspective Fund®
 
Annual report
for the year ended
September 30, 2022

 

 

Tap into the
growth potential of
global equities


 

 

New Perspective Fund seeks to provide you with long-term growth of capital.

 

This fund is one of more than 40 offered by Capital Group, home of American Funds, one of the nation’s largest mutual fund families. For over 90 years, Capital Group has invested with a long-term focus based on thorough research and attention to risk.

 

Fund results shown in this report, unless otherwise indicated, are for Class F-2 and Class A shares at net asset value. If a sales charge (maximum 5.75% for Class A shares) had been deducted, the results would have been lower. Results are for past periods and are not predictive of results for future periods. Current and future results may be lower or higher than those shown. Prices and returns will vary, so investors may lose money. Investing for short periods makes losses more likely. For current information and month-end results, visit capitalgroup.com.

 

Refer to page 4 for Class F-2 and Class A share results with relevant sales charges deducted and fund expenses. For other share class results, visit capitalgroup.com and americanfundsretirement.com.

 

The total annual fund operating expense ratios are 0.52% for Class F-2 shares and 0.72% for Class A shares as of the prospectus dated December 1, 2022 (unaudited).

 

Investment results assume all distributions are reinvested and reflect applicable fees and expenses. When applicable, results reflect fee waivers and/or expense reimbursements, without which they would have been lower. Visit capitalgroup.com for more information.

 

Investing outside the United States may be subject to risks, such as currency fluctuations, periods of illiquidity and price volatility, as more fully described in the prospectus. These risks may be heightened in connection with investments in developing countries. Small-company stocks entail additional risks, and they can fluctuate in price more than larger company stocks. Refer to the fund prospectus and the Risk Factors section of this report for more information on these and other risks associated with investing in the fund.

 

Investments are not FDIC-insured, nor are they deposits of or guaranteed by a bank or any other entity, so they may lose value.

 

Contents

 

1 Letter to investors
   
4 The value of a long-term perspective
   
6 Investment portfolio
   
13 Financial statements
   
42 Board of trustees and other officers

 

Fellow investors:

 

Global stocks declined, pressured by high inflation, rising interest rates and slowing economic growth in many of the world’s largest economies. In this environment, shares of New Perspective Fund declined, and results trailed the benchmark over the 12-month period.

 

The fund’s F-2 shares lost 26.90% for the fiscal year ended September 30, 2022, compared to a 20.66% decline recorded by its primary benchmark, the MSCI ACWI (All Country World Index). The fund’s results include a dividend of more than 36 cents per share and a capital gain of more than $4.43 per share paid in December 2021. Over longer periods, the fund has consistently outpaced its benchmark, as shown in the chart below.

 

Markets waver as inflation surges

World equity markets started the fiscal year on an upswing, hitting a series of record highs in the fourth quarter of 2021. However, investor sentiment changed as inflation began to rise — in some cases reaching levels not seen since the 1980s. That prompted the U.S. Federal Reserve and central banks around the world to aggressively raise interest rates in an effort to bring consumer prices under control.

 

Rising rates put pressure on growth-oriented stocks as investors revised valuation assumptions based on a world in which rates no longer remain pinned at or below zero. As a result, stocks with the highest valuations were generally hit hardest, including those of technology and consumer-tech companies that led the bull market of the past decade. In contrast, value-oriented stocks generally fared better.

 

Geopolitical tensions also weighed on markets. Russia’s invasion of Ukraine in February shattered international peace accords, sent commodity prices soaring and triggered fears of a new Cold War. Elsewhere in Europe, shifting political winds toppled three prime ministers — in Italy, the United Kingdom and Sweden.

 

Results at a glance

 

For periods ended September 30, 2022, with all distributions reinvested

 

    Cumulative total returns   Average annual total returns
    1 year   5 years   10 years   Lifetime1
                 
New Perspective Fund (Class F-2 shares)2     –26.90 %       6.81 %       9.74 %       11.93 %   
New Perspective Fund (Class A shares)     –27.04       6.59       9.51       11.71  
MSCI ACWI (All Country World Index)3,4     –20.66       4.44       7.28       8.27  
   
1 Lifetime returns are as of March 13, 1973, the inception date of Class A shares.
2 Class F-2 shares were first offered on August 1, 2008. Class F-2 share results prior to the date of first sale are hypothetical based on the results of the original share class of the fund without a sales charge, adjusted for typical estimated expenses. Refer to capitalgroup.com for more information on specific expense adjustments and the actual dates of first sale.
3 MSCI ACWI is a free float-adjusted market capitalization-weighted index that is designed to measure equity market results in the global developed and emerging markets, consisting of more than 40 developed and emerging market country indexes. The index is unmanaged and, therefore, has no expenses. Investors cannot invest directly in an index. Source: MSCI.
4 From March 13, 1973, through December 31, 1987, the MSCI World Index was used because the MSCI ACWI did not exist. MSCI World Index results reflect dividends net of withholding taxes, and MSCI ACWI results reflect dividends gross of withholding taxes through December 31, 2000, and dividends net of withholding taxes thereafter.

 

New Perspective Fund 1
 

Most sectors decline

Nearly all sectors of the MSCI ACWI lost ground, led by a drop in communication services stocks. Within the sector, social media, gaming and entertainment companies reversed gains made during the COVID-19 pandemic when “stay at home” stocks staged a powerful rally. As economies around the world reopened, some of these companies reported significant declines in engagement and subscribers. Shares of telecom providers also fell as some of the largest companies lowered earnings expectations amid signs of slowing global economic growth.

 

Consumer discretionary stocks retreated on recession worries and climbing rates. Concerns that high inflation would crimp consumer spending impacted stocks of travel and leisure companies, e-commerce sites and traditional retailers. On the other hand, fast-food companies, deep-discount retailers and auto parts stores found support among consumers searching for lower priced options. Information technology stocks also dropped as rising rates called into question high valuations, particularly among young tech companies.

 

Consumer staples and utilities stocks generated returns better than the overall market. Both sectors attracted investors looking for perceived safe havens — companies with reliable cash flows that tend to hold up better during periods of market volatility and economic uncertainty. Several food and beverage companies enjoyed modest share price increases, as well as certain electric utility companies.

 

The energy sector rallied as pent-up demand from reopening economies and the war in Ukraine drove oil and gas prices higher. Russia’s position as a major energy supplier was upended by international sanctions imposed by the United States and European Union, among others, further hampering supplies. Many of the world’s largest oil and exploration companies reported soaring profits as oil prices periodically climbed above $100 a barrel.

 

Inside the portfolio

Across all sectors, the fund remains invested in leading companies with potentially long growth runways. This is expressed through large positions in technology and consumer-oriented companies, which account for a substantial share of the portfolio — though they have been steadily reduced over the past few years. The fund’s top holdings include companies in the electric vehicle, software, social media, e-commerce and semiconductor industries. Health care companies have gained prominence in the portfolio as new and innovative treatments for serious diseases present attractive investment opportunities.

 

The fund’s largest detractors came from the information technology and communication services sectors. They include social media giant Meta Platforms (Facebook), digital payments firm PayPal and semiconductor equipment maker ASML. Each company dealt with unique challenges

 

2 New Perspective Fund
 

during the fiscal year, but one element they shared was the large-scale derating of fast-growing tech and consumer-tech companies in the face of rising interest rates.

 

Meta reported a decline in quarterly revenue for the first time in its history as advertising income softened. PayPal shares dipped sharply after the company issued 2022 revenue growth guidance below analysts’ expectations. Shares of ASML also fell as a plant fire, supply chain headwinds and trade tensions between China and the U.S. weighed on the company. A relatively light exposure to the energy sector also detracted, compared to the benchmark index, as these stocks rallied.

 

Top contributors to results included electric vehicle maker Tesla and biotech firm Vertex Pharmaceuticals. Tesla shares reached record highs in the fourth quarter of 2021 amid surging EV sales, including a 100,000-vehicle order from Hertz. Tesla shares subsequently declined in the 2022 down market but remained in positive territory for the full fiscal year. Vertex shares advanced as the company raised its 2022 earnings outlook amid higher-than-expected sales of its market-leading cystic fibrosis treatment. Other meaningful contributors in the health care sector included Eli Lilly and Regeneron Pharmaceuticals.

 

Looking ahead

Since our shareholder letter a year ago, market sentiment has clearly shifted. We are living through a pivotal time in history, marked by geopolitical realignment and the end of a 40-year period of declining interest rates. Going foward, we believe it is likely that new market leadership will emerge and will likely include some of the companies we hold now as well as a mix of others that can deliver real earnings growth in this environment. Indeed, global equity markets may be less one dimentional and not necessarily driven by a small group of U.S. stocks. Moreover, corporate earnings are likely to be a bigger driver of stock prices — a welcome return to fundamentals.

 

In our view, New Perspective Fund is well positioned to navigate this environment. Throughout its 49-year history, the fund has successfully invested through periods of significant change, including the inflationary years of the 1970s, the collapse of the Soviet Union in the early 1990s and the global financial crisis of 2007 to 2009. Then, as now, the fund remains flexible. The portfolio is built on a company-by-company basis with no systematic style bias. It can freely reorientate to capture structural changes in the global economy while continuing to benefit from enduring trends. Maintaining a truly long-term perspective is paramount to successful investing, especially during times like these.

 

Against this backdrop, we remain optimistic about the companies chosen for the portfolio through our system of fundamental, bottom-up security selection. We believe well-managed multinationals are ideally positioned to survive turbulent times and emerge stronger on the other side.

 

We thank you for your commitment to New Perspective Fund.

 

Sincerely,

 

 

Joanna F. Jonsson
Co-President

 

 

Robert W. Lovelace
Co-President

 

November 8, 2022

 

For current information about the fund, visit capitalgroup.com.

 

New Perspective Fund 3
 

The value of a long-term perspective

 

Class F-2 shares were first offered on August 1, 2008. Class F-2 share results prior to the date of first sale are hypothetical based on the results of the original share class of the fund without a sales charge, adjusted for typical estimated expenses. Visit capitalgroup.com for more information on specific expense adjustments and the actual dates of first sale.

 

The results shown are before taxes on fund distributions and sale of fund shares.

 

1 The maximum initial sales charge was 8.5% prior to July 1, 1988.
2 As outlined in the prospectus, the sales charge is reduced for accounts (and aggregated investments) of $25,000 or more and is eliminated for purchases of $1 million or more. There is no sales charge on dividends or capital gain distributions that are reinvested in additional shares.
3 The market index is unmanaged and, therefore, has no expenses. Investors cannot invest directly in an index. Source: MSCI.
4 From March 13, 1973, through December 31, 1987, the MSCI World Index was used because the MSCI ACWI did not exist. MSCI World Index results reflect dividends net of withholding taxes, and MSCI ACWI results reflect dividends gross of withholding taxes through December 31, 2000, and dividends net of withholding taxes thereafter.
5 For the period March 13, 1973, commencement of operations, through September 30, 1973.

 

 

4 New Perspective Fund
 

How a hypothetical $10,000 investment has grown (from March 13, 1973, to September 30, 2022, with all distributions reinvested)

Fund results shown are for Class F-2 and Class A shares. Class A share results reflect deduction of the maximum sales charge of 5.75% on the $10,000 investment.1 Thus, the net amount invested was $9,425.2 Results are for past periods and are not predictive of results for future periods. Current and future results may be lower or higher than those shown. Prices and returns will vary, so investors may lose money. Investing for short periods makes losses more likely. For current information and month-end results, visit capitalgroup.com.

 

 

New Perspective Fund 5
 

Investment portfolio September 30, 2022

 

Sector diversification Percent of net assets

 

 

Country diversification by domicile   Percent of
net assets
United States     55.27 %
Eurozone*     11.98  
United Kingdom     4.08  
Denmark     2.89  
Japan     2.83  
Switzerland     2.30  
Taiwan     2.29  
Canada     2.27  
Hong Kong     1.87  
Other countries     6.60  
Short-term securities & other assets less liabilities     7.62  

 

* Countries using the euro as a common currency; those represented in the fund’s portfolio are Belgium, France, Germany, Ireland, Italy, the Netherlands and Spain.

 

Common stocks 92.34%   Shares     Value
(000)
 
Information technology 17.74%                
Microsoft Corp.     17,569,501     $ 4,091,937  
Taiwan Semiconductor Manufacturing Company, Ltd.     164,346,941       2,160,223  
ASML Holding NV     2,451,167       1,016,723  
ASML Holding NV (New York registered) (ADR)     1,217,878       505,845  
Broadcom, Inc.     2,436,358       1,081,767  
GoDaddy, Inc., Class A1,2     7,886,320       558,982  
TE Connectivity, Ltd.     4,441,193       490,130  
Mastercard, Inc., Class A     1,691,442       480,945  
Motorola Solutions, Inc.     1,978,836       443,200  
Apple, Inc.     3,052,971       421,921  
ON Semiconductor Corp.2     6,526,353       406,787  
SAP SE     4,271,919       352,155  
STMicroelectronics NV (EUR denominated)     11,066,239       341,444  
Visa, Inc., Class A     1,899,487       337,444  
Wolfspeed, Inc.2     3,220,162       332,836  
Trimble, Inc.2     6,120,400       332,154  
Applied Materials, Inc.     3,941,922       322,962  
ServiceNow, Inc.2     841,725       317,844  
Edenred SA     6,913,449       317,764  
Keyence Corp.     795,340       264,055  
Samsung Electronics Co., Ltd.     6,087,416       223,672  
Amadeus IT Group SA, Class A, non-registered shares2     4,715,700       218,285  
Synopsys, Inc. (USA)2     692,419       211,541  
PayPal Holdings, Inc.2     1,968,409       169,421  
Block, Inc., Class A2     2,599,628       142,954  
Block, Inc., Class A (CDI)2     214,694       11,118  
Nice, Ltd. (ADR)2,3     771,857       145,294  
Adobe, Inc.2     526,679       144,942  
HubSpot, Inc.2     517,602       139,815  
NVIDIA Corp.     1,122,296       136,235  
Fidelity National Information Services, Inc.     1,730,192       130,751  
Infosys, Ltd. (ADR)     7,612,222       129,179  
Capgemini SE     798,953       127,681  
Hexagon AB, Class B     12,155,973       112,701  
Smartsheet, Inc., Class A2     2,855,795       98,125  
MediaTek, Inc.     5,550,000       96,593  
Halma PLC     4,260,165       95,926  
Tokyo Electron, Ltd.     383,653       94,989  
Adyen NV2     74,105       92,190  
Micron Technology, Inc.     1,695,890       84,964  
Alteryx, Inc., Class A2     1,383,029       77,228  
Concentrix Corp.     447,297       49,932  
Workday, Inc., Class A2     293,205       44,632  
Worldline SA, non-registered shares2     902,840       35,306  

 

6 New Perspective Fund
 
Common stocks (continued)   Shares     Value
(000)
 
Information technology (continued)                
Shopify, Inc., Class A, subordinate voting shares2     1,299,482     $ 35,008  
Sinch AB2,3     23,049,702       30,222  
Cloudflare, Inc., Class A2     387,395       21,427  
Dassault Systemes SE     538,033       18,494  
FleetCor Technologies, Inc.2     90,311       15,910  
              17,511,653  
                 
Consumer discretionary 16.41%                
Tesla, Inc.2     24,403,990       6,473,158  
Amazon.com, Inc.2     12,688,451       1,433,795  
LVMH Moët Hennessy-Louis Vuitton SE     1,702,044       1,000,521  
Home Depot, Inc.     2,501,354       690,224  
Booking Holdings, Inc.2     395,182       649,367  
Hermès International     404,693       475,659  
Kering SA     1,002,152       443,170  
EssilorLuxottica     3,008,977       407,703  
Prosus NV, Class N     7,328,207       381,902  
NIKE, Inc., Class B     4,578,660       380,578  
YUM! Brands, Inc.     3,061,183       325,526  
lululemon athletica, Inc.2     904,142       252,762  
Hilton Worldwide Holdings, Inc.     2,065,810       249,178  
Royal Caribbean Cruises, Ltd.2     6,354,263       240,827  
Restaurant Brands International, Inc.     4,332,743       230,415  
Renault SA2     8,548,240       229,593  
MercadoLibre, Inc.2     260,306       215,476  
Galaxy Entertainment Group, Ltd.     31,994,000       186,808  
Entain PLC     15,139,864       181,810  
Evolution AB     2,160,821       170,170  
Flutter Entertainment PLC2     1,554,573       169,829  
Trip.com Group, Ltd. (ADR)2     5,133,663       140,200  
General Motors Company     4,299,667       137,976  
Airbnb, Inc., Class A2     1,278,874       134,333  
Hilton Grand Vacations, Inc.2     4,066,838       133,758  
Industria de Diseño Textil, SA     6,466,540       133,569  
Naspers, Ltd., Class N     985,788       122,170  
Suzuki Motor Corp.     3,581,925       111,112  
Sands China, Ltd.2     38,494,000       95,307  
Etsy, Inc.2     907,001       90,818  
McDonald’s Corp.     318,503       73,491  
Wynn Macau, Ltd.2,3     106,140,000       67,880  
Nitori Holdings Co., Ltd.     724,400       60,618  
adidas AG     499,218       57,935  
Valeo SA, non-registered shares     2,928,304       44,014  
Cie. Financière Richemont SA, Class A     103,442       9,706  
              16,201,358  
                 
Health care 15.89%                
Novo Nordisk A/S, Class B     14,016,389       1,397,069  
Novo Nordisk A/S, Class B (ADR)     691,436       68,888  
Eli Lilly and Company     4,367,010       1,412,073  
AstraZeneca PLC     11,120,167       1,222,885  
AstraZeneca PLC (ADR)     1,153,660       63,267  
Thermo Fisher Scientific, Inc.     1,985,901       1,007,229  
Regeneron Pharmaceuticals, Inc.2     1,346,197       927,355  
Vertex Pharmaceuticals, Inc.2     2,937,843       850,623  
Zoetis, Inc., Class A     5,354,396       794,003  
Danaher Corp.     2,576,315       665,436  
Seagen, Inc.2     4,487,254       613,991  
Pfizer, Inc.     13,153,249       575,586  
Alnylam Pharmaceuticals, Inc.2     2,730,131       546,463  
Insulet Corp.2     1,955,449       448,580  
Intuitive Surgical, Inc.2     2,318,155       434,515  
Edwards Lifesciences Corp.2     4,849,560       400,719  
Bristol-Myers Squibb Company     5,368,425       381,641  
Abbott Laboratories     3,508,473       339,480  
BeiGene, Ltd. (ADR)2     2,277,635       307,071  
IDEXX Laboratories, Inc.2     869,643       283,330  
Catalent, Inc.2     3,581,670       259,170  

 

New Perspective Fund 7
 
Common stocks (continued)     Shares       Value
(000)
 
Health care (continued)                
NovoCure, Ltd.2     3,371,079     $ 256,135  
Sanofi     2,666,041       203,473  
CRISPR Therapeutics AG2,3     3,101,795       202,702  
Mettler-Toledo International, Inc.2     177,400       192,323  
AbbVie, Inc.     1,087,161       145,908  
Lonza Group AG     266,415       129,560  
Bayer AG     2,796,485       129,052  
Grifols, SA, Class B (ADR)2     12,117,833       74,646  
Grifols, SA, Class A, non-registered shares2     5,675,905       48,592  
Siemens Healthineers AG     2,757,546       119,448  
Genmab A/S2     335,883       108,268  
WuXi Biologics (Cayman), Inc.2     17,372,000       104,083  
Olympus Corp.     5,372,400       103,396  
Eurofins Scientific SE, non-registered shares     1,572,745       93,262  
Carl Zeiss Meditec AG, non-registered shares     863,452       90,929  
BioNTech SE (ADR)3     671,360       90,553  
Novartis AG     1,160,330       88,456  
Teva Pharmaceutical Industries, Ltd. (ADR)2     10,940,984       88,294  
Incyte Corp.2     1,163,044       77,505  
Tandem Diabetes Care, Inc.2     1,532,982       73,353  
Amplifon SpA     2,652,315       69,458  
DexCom, Inc.2     859,725       69,242  
Ultragenyx Pharmaceutical, Inc.2     1,228,978       50,892  
Shionogi & Co., Ltd.     700,500       33,888  
Straumann Holding AG     284,386       25,882  
Merck KGaA     56,400       9,205  
Viatris, Inc.     674,006       5,743  
              15,683,622  
                 
Financials 10.12%                
AIA Group, Ltd.     143,251,483       1,189,354  
JPMorgan Chase & Co.     8,668,280       905,835  
CME Group, Inc., Class A     4,124,967       730,655  
Chubb, Ltd.     3,815,421       693,949  
London Stock Exchange Group PLC     7,017,082       591,705  
Aon PLC, Class A     1,770,131       474,165  
ICICI Bank, Ltd.     22,240,773       232,976  
ICICI Bank, Ltd. (ADR)     10,690,180       224,173  
BlackRock, Inc.     738,636       406,457  
DNB Bank ASA     24,622,852       389,828  
Bank of America Corp.     12,781,637       386,005  
DBS Group Holdings, Ltd.     16,269,400       376,148  
Brookfield Asset Management, Inc., Class A     7,986,942       326,586  
Arch Capital Group, Ltd.2     6,553,103       298,428  
Moody’s Corp.     1,126,350       273,827  
Morgan Stanley     3,247,336       256,572  
SVB Financial Group2     726,023       243,784  
AXA SA     8,366,495       183,182  
S&P Global, Inc.     578,102       176,524  
Prudential PLC     16,725,488       164,329  
Hong Kong Exchanges and Clearing, Ltd.     4,726,264       160,471  
Blackstone, Inc., nonvoting shares     1,906,369       159,563  
Société Générale     7,152,733       141,919  
UniCredit SpA     13,781,733       139,363  
Zurich Insurance Group AG     345,171       137,214  
Hiscox, Ltd.     13,873,960       135,642  
Goldman Sachs Group, Inc.     380,406       111,478  
TMX Group, Ltd.     1,200,188       110,396  
Arthur J. Gallagher & Co.     549,143       94,024  
Citigroup, Inc.     2,175,150       90,639  
Tradeweb Markets, Inc., Class A     1,385,875       78,191  
Skandinaviska Enskilda Banken AB, Class A     4,087,767       38,802  
Macquarie Group, Ltd.     341,652       33,156  
EQT AB     1,714,952       32,992  
              9,988,332  

 

8 New Perspective Fund
 
Common stocks (continued)   Shares     Value
(000)
 
Industrials 9.13%                
Caterpillar, Inc.     4,534,996     $ 744,102  
Carrier Global Corp.     17,302,795       615,287  
Airbus SE, non-registered shares     6,810,393       588,365  
DSV A/S     4,766,597       552,478  
Canadian Pacific Railway, Ltd.     8,067,534       538,266  
Safran SA     4,716,668       428,861  
Daikin Industries, Ltd.     2,462,500       380,506  
Copart, Inc.2     3,332,284       354,555  
Schneider Electric SE     3,134,365       351,647  
Mitsui & Co., Ltd.3     14,870,700       319,035  
Equifax, Inc.     1,601,243       274,501  
ABB, Ltd.     10,198,317       262,617  
BAE Systems PLC     29,658,002       260,570  
ASSA ABLOY AB, Class B     12,345,588       230,707  
Chart Industries, Inc.2     1,140,728       210,293  
Ryanair Holdings PLC (ADR)2     3,347,734       195,575  
TransDigm Group, Inc.     347,385       182,315  
Honeywell International, Inc.     1,052,695       175,768  
Komatsu, Ltd.3     9,595,800       173,530  
Regal Rexnord Corp.     1,152,198       161,723  
Uber Technologies, Inc.2     5,934,695       157,269  
Delta Air Lines, Inc.2     5,141,393       144,267  
Spirax-Sarco Engineering PLC     1,187,369       136,393  
RELX PLC     5,574,602       136,091  
Aalberts NV, non-registered shares     4,098,484       133,922  
FedEx Corp.     812,083       120,570  
Recruit Holdings Co., Ltd.     4,046,483       116,795  
Nidec Corp.3     2,048,832       115,415  
Boeing Company2     897,248       108,639  
SMC Corp.     268,500       108,319  
L3Harris Technologies, Inc.     514,602       106,950  
Rockwell Automation     491,233       105,669  
Brenntag SE     1,497,662       91,388  
Techtronic Industries Co., Ltd.     7,595,516       71,758  
ITT, Inc.     918,134       59,991  
General Electric Co.     936,768       57,995  
Axon Enterprise, Inc.2     437,681       50,662  
Experian PLC     1,679,433       49,236  
Northrop Grumman Corp.     83,511       39,277  
Epiroc AB, Class B     2,960,445       37,235  
Hitachi, Ltd.     858,700       36,359  
AB Volvo, Class B     2,233,632       31,517  
              9,016,418  
                 
Consumer staples 6.53%                
Nestlé SA     11,902,845       1,288,836  
Costco Wholesale Corp.     1,523,077       719,304  
Philip Morris International, Inc.     7,932,467       658,474  
Carlsberg A/S, Class B     4,006,605       467,489  
Bunge, Ltd.     5,307,346       438,228  
Mondelez International, Inc.     6,468,811       354,685  
Monster Beverage Corp.2     3,622,788       315,038  
British American Tobacco PLC     8,302,619       296,897  
L’Oréal SA, bonus shares     686,197       218,497  
L’Oréal SA, non-registered shares     157,391       50,116  
Anheuser-Busch InBev SA/NV     4,814,803       217,812  
Walgreens Boots Alliance, Inc.     6,265,868       196,748  
Pernod Ricard SA3     999,969       182,777  
Reckitt Benckiser Group PLC     2,742,866       181,280  
Constellation Brands, Inc., Class A     575,840       132,259  
General Mills, Inc.     1,714,538       131,351  
Carrefour SA, non-registered shares     8,390,000       116,234  
Kao Corp.     2,594,900       105,219  
KOSÉ Corp.     902,400       91,860  
Unilever PLC (EUR denominated)     939,866       41,451  
Unilever PLC (GBP denominated)     826,885       36,383  
Archer Daniels Midland Company     922,777       74,237  

 

New Perspective Fund 9
 
Common stocks (continued)   Shares     Value
(000)
 
Consumer staples (continued)                
Danone SA     1,484,853     $ 69,962  
Procter & Gamble Company     294,877       37,228  
Uni-Charm Corp.     748,600       24,469  
              6,446,834  
                 
Communication services 5.98%                
Alphabet, Inc., Class C2     13,222,646       1,271,358  
Alphabet, Inc., Class A2     11,583,546       1,107,966  
Meta Platforms, Inc., Class A2     11,118,546       1,508,564  
Netflix, Inc.2     3,189,169       750,858  
América Móvil, SAB de CV, Series L (ADR)     18,627,650       306,797  
Tencent Holdings, Ltd.     7,271,900       245,587  
MTN Group, Ltd.     23,162,491       152,071  
Electronic Arts, Inc.     1,211,131       140,140  
Cellnex Telecom, SA, non-registered shares     3,833,289       118,186  
Sea, Ltd., Class A (ADR)2     1,305,812       73,191  
Warner Music Group Corp., Class A     3,063,218       71,097  
Endeavor Group Holdings, Inc., Class A2     3,442,911       69,753  
Adevinta ASA2     10,487,961       61,532  
Pinterest, Inc., Class A2     1,012,871       23,600  
Z Holdings Corp.     2,360,400       6,133  
              5,906,833  
                 
Materials 5.19%                
Vale SA, ordinary nominative shares (ADR)     48,883,504       651,128  
Vale SA, ordinary nominative shares     9,098,381       121,507  
Sherwin-Williams Company     3,137,193       642,340  
Koninklijke DSM NV     3,848,559       436,503  
Linde PLC     1,548,009       417,328  
Shin-Etsu Chemical Co., Ltd.     4,011,300       398,337  
Sika AG     1,666,377       333,689  
Albemarle Corp.     1,007,463       266,414  
First Quantum Minerals, Ltd.     14,734,150       250,129  
Air Liquide SA, non-registered shares     1,963,630       223,592  
Asahi Kasei Corp.3     32,006,473       211,679  
Sociedad Química y Minera de Chile SA, Class B (ADR)     2,216,399       201,138  
Gerdau SA (ADR)     42,723,072       193,108  
Mosaic Co.     3,922,518       189,575  
International Flavors & Fragrances, Inc.     2,025,192       183,948  
Nutrien, Ltd. (CAD denominated)3     1,480,100       123,435  
Freeport-McMoRan, Inc.     3,993,765       109,150  
LANXESS AG     2,785,238       81,562  
Grupo México, SAB de CV, Series B     18,140,000       61,357  
Glencore PLC     2,377,300       12,554  
Barrick Gold Corp.     725,989       11,253  
              5,119,726  
                 
Energy 3.55%                
Reliance Industries, Ltd.     27,116,480       784,298  
Cenovus Energy, Inc. (CAD denominated)     26,438,723       406,146  
BP PLC     77,798,137       369,958  
ConocoPhillips     3,419,528       349,955  
TotalEnergies SE     7,127,255       335,479  
Schlumberger, Ltd.     7,104,994       255,069  
EOG Resources, Inc.     1,781,098       199,002  
Aker BP ASA     6,015,892       172,499  
Hess Corp.     1,264,587       137,827  
Baker Hughes Co., Class A     6,560,441       137,507  
Tourmaline Oil Corp.     2,511,080       130,503  
Equinor ASA     3,193,514       105,334  
TC Energy Corp. (CAD denominated)3     2,025,359       81,580  
INPEX Corp.     3,783,900       35,500  
Gazprom PJSC (ADR)2,4     42,438,325       5 
LUKOIL Oil Co. PJSC (ADR)4     580,410       5 
Rosneft Oil Co. PJSC4,6     40,028,340       5 
              3,500,657  

 

 

10 New Perspective Fund
 
Common stocks (continued)   Shares     Value
(000)
 
Utilities 1.26%                
AES Corp.     17,962,018     $ 405,942  
Sempra Energy     2,178,499       326,644  
Ørsted AS     3,306,274       263,088  
Engie SA     13,228,568       151,783  
National Grid PLC     4,842,640       49,975  
Enel SpA     12,164,992       49,852  
              1,247,284  
                 
Real estate 0.54%                
Equinix, Inc. REIT     406,888       231,454  
Goodman Logistics (HK), Ltd. REIT     16,520,815       165,067  
ESR Group, Ltd.     29,099,000       73,399  
American Tower Corp. REIT     315,748       67,791  
              537,711  
                 
Total common stocks (cost: $63,357,760,000)             91,160,428  
                 
Preferred securities 0.04%                
Health care 0.02%                
Grifols, SA, Class B, nonvoting non-registered preferred shares2     3,807,492       23,817  
                 
Information technology 0.02%                
Samsung Electronics Co., Ltd., nonvoting preferred shares     596,200       19,399  
                 
Total preferred securities (cost: $73,052,000)             43,216  
                 
Rights & warrants 0.00%                
Consumer discretionary 0.00%                
Compagnie Financière Richemont SA, Class A, warrants, expire 20232     817,171       364  
                 
Total rights & warrants (cost: $0)             364  
                 
Short-term securities 8.08%                
Money market investments 7.62%                
Capital Group Central Cash Fund 2.81%1,7     75,254,742       7,524,722  
                 
Money market investments purchased with collateral from securities on loan 0.46%                
Capital Group Central Cash Fund 2.81%1,7,8     1,580,440       158,028  
State Street Institutional U.S. Government Money Market Fund, Premier Class 2.94%7,8     108,300,000       108,300  
Goldman Sachs Financial Square Government Fund, Institutional Shares 2.93%7,8     90,200,000       90,200  
Invesco Short-Term Investments Trust – Government & Agency Portfolio, Institutional Class 2.88%7,8     36,263,199       36,263  
Dreyfus Treasury Obligations Cash Management, Institutional Shares 2.85%7,8     31,500,000       31,500  
Morgan Stanley Institutional Liquidity Funds – Government Portfolio, Institutional Class 2.80%7,8     18,000,000       18,000  
BlackRock Liquidity Funds – FedFund, Institutional Shares 2.76%7,8     9,000,000       9,000  
              451,291  
                 
Total short-term securities (cost: $7,975,663,000)             7,976,013  
Total investment securities 100.46% (cost: $71,406,475,000)             99,180,021  
Other assets less liabilities (0.46)%             (452,308 )
                 
Net assets 100.00%           $ 98,727,713  

 

New Perspective Fund 11
 

 

Investments in affiliates1

 

    Value of
affiliates at
10/1/2021
(000)
    Additions
(000)
    Reductions
(000)
    Net
realized
gain (loss)
(000)
    Net
unrealized
appreciation
(depreciation)
(000)
    Value of
affiliates at
9/30/2022
(000)
    Dividend
income
(000)
 
Common stocks 0.57%                                                        
Information technology 0.57%                                                        
GoDaddy, Inc., Class A2   $ 556,337     $     $ 7,197     $ 860     $ 8,982     $ 558,982     $  
Sinch AB2,3,9     634,485       286,307       113,688       (494,790 )     (282,092 )            
                                              558,982          
Materials 0.00%                                                        
LANXESS AG9     254,188       60,659       75,175       (60,853 )     (97,257 )           3,128  
Total common stocks                                             558,982          
Short-term securities 7.78%                                                        
Money market investments 7.62%                                                        
Capital Group Central Cash Fund 2.81%7     5,313,747       12,443,568       10,231,538       (589 )     (466 )     7,524,722       53,248  
Money market investments purchased with collateral from securities on loan 0.16%                                                        
Capital Group Central Cash Fund 2.81%7,8     29,828       128,20010                               158,028       11 
Total short-term securities                                             7,682,750          
Total 8.35%                           $ (555,372 )   $ (370,833 )   $ 8,241,732     $ 56,376  

 

Restricted security6

 

    Acquisition
date
  Cost
(000)
    Value
(000)
    Percent
of net
assets
 
Rosneft Oil Co. PJSC4   8/2/2022     $250,965       $— 5      .00 %

 

1 Affiliate of the fund or part of the same “group of investment companies” as the fund, as defined under the Investment Company Act of 1940, as amended.
2 Security did not produce income during the last 12 months.
3 All or a portion of this security was on loan. The total value of all such securities was $643,061,000, which represented .65% of the net assets of the fund. Refer to Note 5 for more information on securities lending.
4 Value determined using significant unobservable inputs.
5 Amount less than one thousand.
6 Restricted security, other than Rule 144A, subject to legal or contractual restrictions on resale. The total value of all such restricted securities was less than $1,000, which represented less than 0.01% of the net assets of the fund.
7 Rate represents the seven-day yield at 9/30/2022.
8 Security purchased with cash collateral from securities on loan. Refer to Note 5 for more information on securities lending.
9 Affiliated issuer during the reporting period but no longer an affiliate at 9/30/2022. Refer to the investment portfolio for the security value at 9/30/2022.
10 Represents net activity. Refer to Note 5 for more information on securities lending.
11 Dividend income is included with securities lending income in the fund’s statement of operations and is not shown in this table.

 

Key to abbreviations

ADR = American Depositary Receipts

CAD = Canadian dollars

CDI = CREST Depository Interest

EUR = Euros

GBP = British pounds

REIT = Real Estate Investment Trust

 

Refer to the notes to financial statements.

 

12 New Perspective Fund
 

Financial statements

 

Statement of assets and liabilities
at September 30, 2022
(dollars in thousands)

 

Assets:                
Investment securities, at value (includes $643,061 of investment securities on loan):                
Unaffiliated issuers (cost: $63,313,296)   $ 90,938,289          
Affiliated issuers (cost: $8,093,179)     8,241,732     $ 99,180,021  
Cash             13,133  
Cash denominated in currencies other than U.S. dollars (cost: $9,224)             9,299  
Receivables for:                
Sales of investments     415,187          
Sales of fund’s shares     108,856          
Dividends and interest     167,920       691,963  
              99,894,416  
Liabilities:                
Collateral for securities on loan             451,291  
Payables for:                
Purchases of investments     425,340          
Repurchases of fund’s shares     113,663          
Investment advisory services     32,333          
Services provided by related parties     16,465          
Trustees’ deferred compensation     5,977          
U.S. and non-U.S. taxes     116,234          
Other     5,400       715,412  
Net assets at September 30, 2022           $ 98,727,713  
                 
Net assets consist of:                
Capital paid in on shares of beneficial interest           $ 66,718,591  
Total distributable earnings             32,009,122  
Net assets at September 30, 2022           $ 98,727,713  

 

(dollars and shares in thousands, except per-share amounts)

 

Shares of beneficial interest issued and outstanding (no stated par value) —
unlimited shares authorized (2,177,132 total shares outstanding)

 

    Net assets     Shares
outstanding
    Net asset value
per share
 
Class A   $ 44,810,176       986,434     $ 45.43  
Class C     1,026,355       24,127       42.54  
Class T     12       *     45.46  
Class F-1     1,239,564       27,497       45.08  
Class F-2     13,239,726       292,255       45.30  
Class F-3     8,348,650       183,351       45.53  
Class 529-A     2,372,961       53,038       44.74  
Class 529-C     69,617       1,642       42.39  
Class 529-E     73,880       1,676       44.09  
Class 529-T     16       *     45.43  
Class 529-F-1     9       *     44.59  
Class 529-F-2     205,151       4,515       45.44  
Class 529-F-3     10       *     45.40  
Class R-1     49,991       1,187       42.12  
Class R-2     426,655       10,022       42.57  
Class R-2E     55,112       1,247       44.18  
Class R-3     1,152,729       26,193       44.01  
Class R-4     1,586,933       35,545       44.65  
Class R-5E     205,038       4,551       45.06  
Class R-5     1,379,901       30,348       45.47  
Class R-6     22,485,227       493,504       45.56  

 

* Amount less than one thousand.

 

Refer to the notes to financial statements.

 

New Perspective Fund 13
 

Financial statements (continued)

 

Statement of operations
for the year ended September 30, 2022
(dollars in thousands)

 

Investment income:                
Income:                
Dividends (net of non-U.S. taxes of $88,433; also includes $56,376 from affiliates)   $ 1,722,229          
Securities lending income (net of fees)     7,294          
Interest from unaffiliated issuers     1,761     $ 1,731,284  
Fees and expenses*:                
Investment advisory services     466,437          
Distribution services     186,196          
Transfer agent services     71,377          
Administrative services     38,139          
529 plan services     2,033          
Reports to shareholders     2,420          
Registration statement and prospectus     1,697          
Trustees’ compensation     (1,016 )        
Auditing and legal     316          
Custodian     6,667          
Other     278          
Total fees and expenses before waiver     774,544          
Less waiver of fees and expenses:                
Investment advisory services waiver     23          
Total fees and expenses after waiver             774,521  
Net investment income             956,763  
                 
Net realized gain and unrealized depreciation:                
Net realized gain (loss) on:                
Investments (net of non-U.S. taxes of $5,159):                
Unaffiliated issuers     4,567,799          
Affiliated issuers     (555,372 )        
In-kind redemptions     329,240          
Currency transactions     (5,186 )     4,336,481  
Net unrealized depreciation on:                
Investments (net of non-U.S. taxes of $51,316):                
Unaffiliated issuers     (41,903,213 )        
Affiliated issuers     (370,833 )        
Currency translations     (2,956 )     (42,277,002 )
Net realized gain and unrealized depreciation             (37,940,521 )
                 
Net decrease in net assets resulting from operations           $ (36,983,758 )

 

* Additional information related to class-specific fees and expenses is included in the notes to financial statements.

 

Refer to the notes to financial statements.

 

14 New Perspective Fund
 

Financial statements (continued)

 

Statements of changes in net assets (dollars in thousands)

 

    Year ended September 30,  
    2022     2021  
Operations:                
Net investment income   $ 956,763     $ 814,190  
Net realized gain     4,336,481       11,574,877  
Net unrealized (depreciation) appreciation     (42,277,002 )     20,213,639  
Net (decrease) increase in net assets resulting from operations     (36,983,758 )     32,602,706  
                 
Distributions paid to shareholders     (9,964,566 )     (5,300,914 )
                 
Net capital share transactions     4,708,538       2,082,922  
                 
Total (decrease) increase in net assets     (42,239,786 )     29,384,714  
                 
Net assets:                
Beginning of year     140,967,499       111,582,785  
End of year   $ 98,727,713     $ 140,967,499  

 

Refer to the notes to financial statements.

 

New Perspective Fund 15
 

Notes to financial statements

 

1. Organization

 

New Perspective Fund (the “fund”) is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end, diversified management investment company. The fund seeks to provide long-term growth of capital.

 

The fund has 21 share classes consisting of six retail share classes (Classes A, C, T, F-1, F-2 and F-3), seven 529 college savings plan share classes (Classes 529-A, 529-C, 529-E, 529-T, 529-F-1, 529-F-2 and 529-F-3) and eight retirement plan share classes (Classes R-1, R-2, R-2E, R-3, R-4, R-5E, R-5 and R-6). The 529 college savings plan share classes can be used to save for college education. The retirement plan share classes are generally offered only through eligible employer-sponsored retirement plans. The fund’s share classes are described further in the following table:

 

Share class   Initial sales charge   Contingent deferred sales
charge upon redemption
  Conversion feature
Classes A and 529-A   Up to 5.75% for Class A; up to 3.50% for Class 529-A   None (except 1.00% for certain redemptions within 18 months of purchase without an initial sales charge)   None
Classes C and 529-C   None   1.00% for redemptions within one year of purchase   Class C converts to Class A after eight years and Class 529-C converts to Class 529-A after five years
Class 529-E   None   None   None
Classes T and 529-T*   Up to 2.50%   None   None
Classes F-1, F-2, F-3, 529-F-1, 529-F-2 and 529-F-3   None   None   None
Classes R-1, R-2, R-2E, R-3, R-4, R-5E, R-5 and R-6   None   None   None

 

* Class T and 529-T shares are not available for purchase.

 

Holders of all share classes have equal pro rata rights to the assets, dividends and liquidation proceeds of the fund. Each share class has identical voting rights, except for the exclusive right to vote on matters affecting only its class. Share classes have different fees and expenses (“class-specific fees and expenses”), primarily due to different arrangements for distribution, transfer agent and administrative services. Differences in class-specific fees and expenses will result in differences in net investment income and, therefore, the payment of different per-share dividends by each share class.

 

2. Significant accounting policies

 

The fund is an investment company that applies the accounting and reporting guidance issued in Topic 946 by the U.S. Financial Accounting Standards Board. The fund’s financial statements have been prepared to comply with U.S. generally accepted accounting principles (“U.S. GAAP”). These principles require the fund’s investment adviser to make estimates and assumptions that affect reported amounts and disclosures. Actual results could differ from those estimates. Subsequent events, if any, have been evaluated through the date of issuance in the preparation of the financial statements. The fund follows the significant accounting policies described in this section, as well as the valuation policies described in the next section on valuation.

 

Security transactions and related investment income — Security transactions are recorded by the fund as of the date the trades are executed with brokers. Realized gains and losses from security transactions are determined based on the specific identified cost of the securities. In the event a security is purchased with a delayed payment date, the fund will segregate liquid assets sufficient to meet its payment obligations. Dividend income is recognized on the ex-dividend date and interest income is recognized on an accrual basis. Market discounts, premiums and original issue discounts on fixed-income securities are amortized daily over the expected life of the security.

 

Class allocations — Income, fees and expenses (other than class-specific fees and expenses), realized gains and losses and unrealized appreciation and depreciation are allocated daily among the various share classes based on their relative net assets. Class-specific fees and expenses, such as distribution, transfer agent and administrative services, are charged directly to the respective share class.

 

Distributions paid to shareholders — Income dividends and capital gain distributions are recorded on the ex-dividend date.

 

16 New Perspective Fund
 

Currency translation — Assets and liabilities, including investment securities, denominated in currencies other than U.S. dollars are translated into U.S. dollars at the exchange rates supplied by one or more pricing vendors on the valuation date. Purchases and sales of investment securities and income and expenses are translated into U.S. dollars at the exchange rates on the dates of such transactions. The effects of changes in exchange rates on investment securities are included with the net realized gain or loss and net unrealized appreciation or depreciation on investments in the fund’s statement of operations. The realized gain or loss and unrealized appreciation or depreciation resulting from all other transactions denominated in currencies other than U.S. dollars are disclosed separately.

 

In-kind redemptions — The fund normally redeems shares in cash; however, under certain conditions and circumstances, payment of the redemption price wholly or partly with portfolio securities or other fund assets may be permitted. A redemption of shares in-kind is based upon the closing value of the shares being redeemed as of the trade date. Realized gains or losses resulting from redemptions of shares in-kind are reflected separately in the fund’s statement of operations.

 

3. Valuation

 

Capital Research and Management Company (“CRMC”), the fund’s investment adviser, values the fund’s investments at fair value as defined by U.S. GAAP. The net asset value per share is calculated once daily as of the close of regular trading on the New York Stock Exchange, normally 4 p.m. New York time, each day the New York Stock Exchange is open.

 

Methods and inputs — The fund’s investment adviser uses the following methods and inputs to establish the fair value of the fund’s assets and liabilities. Use of particular methods and inputs may vary over time based on availability and relevance as market and economic conditions evolve.

 

Equity securities, including depositary receipts, are generally valued at the official closing price of, or the last reported sale price on, the exchange or market on which such securities are traded, as of the close of business on the day the securities are being valued or, lacking any sales, at the last available bid price. Prices for each security are taken from the principal exchange or market on which the security trades.

 

Fixed-income securities, including short-term securities, are generally valued at evaluated prices obtained from third-party pricing vendors. Vendors value such securities based on one or more of the inputs described in the following table. The table provides examples of inputs that are commonly relevant for valuing particular classes of fixed-income securities in which the fund is authorized to invest. However, these classifications are not exclusive, and any of the inputs may be used to value any other class of fixed-income security.

 

Fixed-income class   Examples of standard inputs
All   Benchmark yields, transactions, bids, offers, quotations from dealers and trading systems, new issues, spreads and other relationships observed in the markets among comparable securities; and proprietary pricing models such as yield measures calculated using factors such as cash flows, financial or collateral performance and other reference data (collectively referred to as “standard inputs”)
Corporate bonds, notes & loans; convertible securities   Standard inputs and underlying equity of the issuer
Bonds & notes of governments & government agencies   Standard inputs and interest rate volatilities
Mortgage-backed; asset-backed obligations   Standard inputs and cash flows, prepayment information, default rates, delinquency and loss assumptions, collateral characteristics, credit enhancements and specific deal information

 

Securities with both fixed-income and equity characteristics, or equity securities traded principally among fixed-income dealers, are generally valued in the manner described for either equity or fixed-income securities, depending on which method is deemed most appropriate by the fund’s investment adviser. The Capital Group Central Cash Fund (“CCF”), a fund within the Capital Group Central Fund Series (“Central Funds”), is valued based upon a floating net asset value, which fluctuates with changes in the value of CCF’s portfolio securities. The underlying securities are valued based on the policies and procedures in CCF’s statement of additional information.

 

New Perspective Fund 17
 

Securities and other assets for which representative market quotations are not readily available or are considered unreliable by the fund’s investment adviser are fair valued as determined in good faith under fair valuation guidelines adopted by the fund’s investment adviser and approved by the board of trustees as further described. The investment adviser follows fair valuation guidelines, consistent with U.S. Securities and Exchange Commission rules and guidance, to consider relevant principles and factors when making fair value determinations. The investment adviser considers relevant indications of value that are reasonably and timely available to it in determining the fair value to be assigned to a particular security, such as the type and cost of the security, contractual or legal restrictions on resale of the security, relevant financial or business developments of the issuer, actively traded similar or related securities, dealer or broker quotes, conversion or exchange rights on the security, related corporate actions, significant events occurring after the close of trading in the security, and changes in overall market conditions. In addition, the closing prices of equity securities that trade in markets outside U.S. time zones may be adjusted to reflect significant events that occur after the close of local trading but before the net asset value of each share class of the fund is determined. Fair valuations of investments that are not actively trading involve judgment and may differ materially from valuations that would have been used had greater market activity occurred.

 

Processes and structure — The fund’s board of trustees has designated the fund’s investment adviser to make fair value determinations, subject to board oversight. The investment adviser has established a Joint Fair Valuation Committee (the “Fair Valuation Committee”) to administer, implement and oversee the fair valuation process, and to make fair value decisions. The Fair Valuation Committee regularly reviews its own fair value decisions, as well as decisions made under its standing instructions to the investment adviser’s valuation team. The Fair Valuation Committee reviews changes in fair value measurements from period to period and may, as deemed appropriate, update the fair valuation guidelines to better reflect the results of back testing and address new or evolving issues. The Fair Valuation Committee reports any changes to the fair valuation guidelines to the board of trustees. The fund’s board and audit committee also regularly review reports that describe fair value determinations and methods.

 

The fund’s investment adviser has also established a Fixed-Income Pricing Review Group to administer and oversee the fixed-income valuation process, including the use of fixed-income pricing vendors. This group regularly reviews pricing vendor information and market data. Pricing decisions, processes and controls over security valuation are also subject to additional internal reviews facilitated by the investment adviser’s global risk management group.

 

Classifications — The fund’s investment adviser classifies the fund’s assets and liabilities into three levels based on the inputs used to value the assets or liabilities. Level 1 values are based on quoted prices in active markets for identical securities. Level 2 values are based on significant observable market inputs, such as quoted prices for similar securities and quoted prices in inactive markets. Certain securities trading outside the U.S. may transfer between Level 1 and Level 2 due to valuation adjustments resulting from significant market movements following the close of local trading. Level 3 values are based on significant unobservable inputs that reflect the investment adviser’s determination of assumptions that market participants might reasonably use in valuing the securities. The valuation levels are not necessarily an indication of the risk or liquidity associated with the underlying investment. For example, U.S. government securities are reflected as Level 2 because the inputs used to determine fair value may not always be quoted prices in an active market. The following table presents the fund’s valuation levels as of September 30, 2022 (dollars in thousands):

 

    Investment securities
      Level 1       Level 2       Level 3       Total  
Assets:                                
Common stocks:                                
Information technology   $ 11,902,112     $ 5,609,541     $     $ 17,511,653  
Consumer discretionary     11,851,882       4,349,476             16,201,358  
Health care     11,706,716       3,976,906             15,683,622  
Financials     6,041,251       3,947,081             9,988,332  
Industrials     4,403,674       4,612,744             9,016,418  
Consumer staples     3,057,552       3,389,282             6,446,834  
Communication services     5,323,324       583,509             5,906,833  
Materials     3,421,810       1,697,916             5,119,726  
Energy     1,697,589       1,803,068       *     3,500,657  
Utilities     732,586       514,698             1,247,284  
Real estate     299,245       238,466             537,711  
Preferred securities           43,216             43,216  
Rights & warrants     364                   364  
Short-term securities     7,976,013                   7,976,013  
Total   $ 68,414,118     $ 30,765,903     $ *   $ 99,180,021  

 

* Amount less than one thousand.

 

18 New Perspective Fund
 

4. Risk factors

 

Investing in the fund may involve certain risks including, but not limited to, those described below.

 

Market conditions — The prices of, and the income generated by, the securities held by the fund may decline sometimes rapidly or unpredictably due to various factors, including events or conditions affecting the general economy or particular industries or companies; overall market changes; local, regional or global political, social or economic instability; governmental, governmental agency or central bank responses to economic conditions; and currency exchange rate, interest rate and commodity price fluctuations.

 

Economies and financial markets throughout the world are highly interconnected. Economic, financial or political events, trading and tariff arrangements, wars, terrorism, cybersecurity events, natural disasters, public health emergencies (such as the spread of infectious disease) and other circumstances in one country or region, including actions taken by governmental or quasi-governmental authorities in response to any of the foregoing, could have impacts on global economies or markets. As a result, whether or not the fund invests in securities of issuers located in or with significant exposure to the countries affected, the value and liquidity of the fund’s investments may be negatively affected by developments in other countries and regions.

 

Issuer risks — The prices of, and the income generated by, securities held by the fund may decline in response to various factors directly related to the issuers of such securities, including reduced demand for an issuer’s goods or services, poor management performance, major litigation, investigations or other controversies related to the issuer, changes in financial condition or credit rating, changes in government regulations affecting the issuer or its competitive environment and strategic initiatives such as mergers, acquisitions or dispositions and the market response to any such initiatives.

 

Investing in growth-oriented stocks — Growth-oriented common stocks and other equity-type securities (such as preferred stocks, convertible preferred stocks and convertible bonds) may involve larger price swings and greater potential for loss than other types of investments.

 

Investing outside the U.S. — Securities of issuers domiciled outside the U.S., or with significant operations or revenues outside the U.S., may lose value because of adverse political, social, economic or market developments (including social instability, regional conflicts, terrorism and war) in the countries or regions in which the issuers operate or generate revenue. These securities may also lose value due to changes in foreign currency exchange rates against the U.S. dollar and/or currencies of other countries. Issuers of these securities may be more susceptible to actions of foreign governments, such as nationalization, currency blockage or the imposition of price controls, sanctions, or punitive taxes, each of which could adversely impact the value of these securities. Securities markets in certain countries may be more volatile and/or less liquid than those in the U.S. Investments outside the U.S. may also be subject to different regulatory, legal, accounting, auditing, financial reporting and recordkeeping requirements, and may be more difficult to value, than those in the U.S. In addition, the value of investments outside the U.S. may be reduced by foreign taxes, including foreign withholding taxes on interest and dividends. Further, there may be increased risks of delayed settlement of securities purchased or sold by the fund, which could impact the liquidity of the fund’s portfolio. The risks of investing outside the U.S. may be heightened in connection with investments in emerging markets.

 

Management — The investment adviser to the fund actively manages the fund’s investments. Consequently, the fund is subject to the risk that the methods and analyses, including models, tools and data, employed by the investment adviser in this process may be flawed or incorrect and may not produce the desired results. This could cause the fund to lose value or its investment results to lag relevant benchmarks or other funds with similar objectives.

 

5. Certain investment techniques

 

Securities lending — The fund has entered into securities lending transactions in which the fund earns income by lending investment securities to brokers, dealers or other institutions. Each transaction involves three parties: the fund, acting as the lender of the securities, a borrower, and a lending agent that acts as an intermediary.

 

Securities lending transactions are entered into by the fund under a securities lending agent agreement with the lending agent. The lending agent facilitates the exchange of securities between the fund and approved borrowers, ensures that securities loans are properly coordinated and documented, marks-to-market the value of collateral daily, secures additional collateral from a borrower if it falls below preset terms, and may reinvest cash collateral on behalf of the fund according to agreed parameters. The lending agent provides indemnification to the fund against losses resulting from a borrower default. Although risk is mitigated by the collateral and indemnification, the fund could experience a delay in recovering its securities and a potential loss of income or value if a borrower fails to return securities, collateral investments decline in value or the lending agent fails to perform.

 

New Perspective Fund 19
 

The borrower is required to post highly liquid assets, such as cash or U.S. government securities, as collateral for the loan in an amount at least equal to the value of the securities loaned. Investments made with cash collateral are recognized as assets in the fund’s investment portfolio. The same amount is recorded as a liability in the fund’s statement of assets and liabilities. While securities are on loan, the fund will continue to receive the equivalent of the interest, dividends or other distributions paid by the issuer, as well as a portion of the interest on the investment of the collateral. Additionally, although the fund does not have the right to vote on securities while they are on loan, the fund has a right to consent on corporate actions and a right to recall loaned securities to vote. A borrower is obligated to return loaned securities at the conclusion of a loan or, during the pendency of a loan, on demand from the fund.

 

As of September 30, 2022, the total value of securities on loan was $643,061,000, and the total value of collateral received was $676,409,000. Collateral received includes cash of $451,291,000 and U.S. government securities of $225,118,000. Investment securities purchased from cash collateral are disclosed in the fund’s investment portfolio as short-term securities. Securities received as collateral are not recognized as fund assets. The contractual maturity of cash collateral received under the securities lending agreement is classified as overnight and continuous.

 

6. Taxation and distributions

 

Federal income taxation — The fund complies with the requirements under Subchapter M of the Internal Revenue Code applicable to regulated investment companies and intends to distribute substantially all of its net taxable income and net capital gains each year. The fund is not subject to income taxes to the extent such distributions are made. Therefore, no federal income tax provision is required.

 

As of and during the year ended September 30, 2022, the fund did not have a liability for any unrecognized tax benefits. The fund recognizes interest and penalties, if any, related to unrecognized tax benefits as income tax expense in the statement of operations. During the period, the fund did not incur any significant interest or penalties.

 

The fund’s tax returns are generally not subject to examination by federal, state and, if applicable, non-U.S. tax authorities after the expiration of each jurisdiction’s statute of limitations, which is typically three years after the date of filing but can be extended in certain jurisdictions.

 

Non-U.S. taxation — Dividend and interest income are recorded net of non-U.S. taxes paid. The fund may file withholding tax reclaims in certain jurisdictions to recover a portion of amounts previously withheld. As a result of rulings from European courts, the fund filed for additional reclaims related to prior years. These reclaims are recorded when the amount is known and there are no significant uncertainties on collectability. During the year ended September 30, 2022, the fund recognized $2,916,000 in reclaims (net of $7,303,000 in fees and the effect of realized gain or loss from currency translations) and $1,443,000 in interest related to European court rulings, which is included in dividend income and interest income, respectively, in the fund’s statement of operations. Gains realized by the fund on the sale of securities in certain countries, if any, may be subject to non-U.S. taxes. If applicable, the fund records an estimated deferred tax liability based on unrealized gains to provide for potential non-U.S. taxes payable upon the sale of these securities.

 

Distributions — Distributions determined on a tax basis may differ from net investment income and net realized gains for financial reporting purposes. These differences are due primarily to different treatment for items such as currency gains and losses; short-term capital gains and losses; capital losses related to sales of certain securities within 30 days of purchase; unrealized appreciation of certain investments in securities outside the U.S.; cost of investments sold and income on certain investments. The fiscal year in which amounts are distributed may differ from the year in which the net investment income and net realized gains are recorded by the fund for financial reporting purposes. The fund may also designate a portion of the amount paid to redeeming shareholders as a distribution for tax purposes.

 

During the year ended September 30, 2022, the fund reclassified $689,697,000 from total distributable earnings to capital paid in on shares of beneficial interest to align financial reporting with tax reporting.

 

20 New Perspective Fund
 

As of September 30, 2022, the tax basis components of distributable earnings, unrealized appreciation (depreciation) and cost of investments were as follows (dollars in thousands):

 

Undistributed ordinary income   $ 823,352  
Undistributed long-term capital gains     3,373,790  
Gross unrealized appreciation on investments     34,354,808  
Gross unrealized depreciation on investments     (6,667,793 )
Net unrealized appreciation on investments     27,687,015  
Cost of investments     71,493,006  

 

Distributions paid were characterized for tax purposes as follows (dollars in thousands):

 

    Year ended September 30, 2022     Year ended September 30, 2021  
Share class   Ordinary
income
    Long-term
capital gains
    Total
distributions
paid
    Ordinary
income
    Long-term
capital gains
    Total
distributions
paid
 
Class A   $ 212,420     $ 4,260,431     $ 4,472,851     $ 72,537     $ 2,283,311     $ 2,355,848  
Class C           113,317       113,317             64,882       64,882  
Class T     *     1       1       *     1       1  
Class F-1     4,611       123,163       127,774       1,528       81,396       82,924  
Class F-2     104,361       1,280,310       1,384,671       51,643       643,271       694,914  
Class F-3     72,932       753,086       826,018       35,746       357,168       392,914  
Class 529-A     10,151       227,774       237,925       3,187       122,632       125,819  
Class 529-C           8,087       8,087             5,292       5,292  
Class 529-E     61       7,447       7,508             4,188       4,188  
Class 529-T     *     1       1       *     1       1  
Class 529-F-1     *     1       1       *     *     *
Class 529-F-2     1,401       17,623       19,024       620       8,374       8,994  
Class 529-F-3     *     1       1       *     1       1  
Class R-1           5,258       5,258             3,173       3,173  
Class R-2           45,072       45,072             26,217       26,217  
Class R-2E           5,132       5,132             3,155       3,155  
Class R-3           118,689       118,689             71,423       71,423  
Class R-4     7,215       167,504       174,719       2,663       97,168       99,831  
Class R-5E     1,755       23,331       25,086       872       11,398       12,270  
Class R-5     12,060       135,522       147,582       6,943       76,886       83,829  
Class R-6     197,997       2,047,852       2,245,849       115,755       1,149,483       1,265,238  
Total   $ 624,964     $ 9,339,602     $ 9,964,566     $ 291,494     $ 5,009,420     $ 5,300,914  

 

* Amount less than one thousand.
Class 529-F-2 and 529-F-3 shares began investment operations on October 30, 2020.

 

7. Fees and transactions with related parties

 

CRMC, the fund’s investment adviser, is the parent company of American Funds Distributors®, Inc. (“AFD”), the principal underwriter of the fund’s shares, and American Funds Service Company® (“AFS”), the fund’s transfer agent. CRMC, AFD and AFS are considered related parties to the fund.

 

Investment advisory services — The fund has an investment advisory and service agreement with CRMC that provides for monthly fees accrued daily. At the beginning of the year, these fees were based on a series of decreasing annual rates beginning with 0.600% on the first $500 million of daily net assets and decreasing to 0.350% on such assets in excess of $115 billion. On December 9, 2021, the fund’s board of trustees approved an amended investment advisory and service agreement effective February 1, 2022, decreasing the annual rate to 0.348% on daily net assets in excess of $144 billion. CRMC waived investment advisory services fees of $23,000 in advance of the amended investment advisory agreement. CRMC does not intend to recoup this waiver. As a result, the fees shown on the fund’s statement of operations of $466,437,000 were reduced to $466,414,000, both of which were equivalent to an annualized rate of 0.367% of average daily net assets.

 

New Perspective Fund 21
 

Class-specific fees and expenses — Expenses that are specific to individual share classes are accrued directly to the respective share class. The principal class-specific fees and expenses are further described below:

 

Distribution services — The fund has plans of distribution for all share classes, except Class F-2, F-3, 529-F-2, 529-F-3, R-5E, R-5 and R-6 shares. Under the plans, the board of trustees approves certain categories of expenses that are used to finance activities primarily intended to sell fund shares and service existing accounts. The plans provide for payments, based on an annualized percentage of average daily net assets, ranging from 0.25% to 1.00% as noted in this section. In some cases, the board of trustees has limited the amounts that may be paid to less than the maximum allowed by the plans. All share classes with a plan may use up to 0.25% of average daily net assets to pay service fees, or to compensate AFD for paying service fees, to firms that have entered into agreements with AFD to provide certain shareholder services. The remaining amounts available to be paid under each plan are paid to dealers to compensate them for their sales activities.

 

Share class   Currently approved limits   Plan limits
Class A     0.25 %     0.25 %
Class 529-A     0.25       0.50  
Classes C, 529-C and R-1     1.00       1.00  
Class R-2     0.75       1.00  
Class R-2E     0.60       0.85  
Classes 529-E and R-3     0.50       0.75  
Classes T, F-1, 529-T, 529-F-1 and R-4     0.25       0.50  

 

For Class A and 529-A shares, distribution-related expenses include the reimbursement of dealer and wholesaler commissions paid by AFD for certain shares sold without a sales charge. These share classes reimburse AFD for amounts billed within the prior 15 months but only to the extent that the overall annual expense limits are not exceeded. As of September 30, 2022, there were no unreimbursed expenses subject to reimbursement for Class A or 529-A shares.

 

Transfer agent services — The fund has a shareholder services agreement with AFS under which the fund compensates AFS for providing transfer agent services to each of the fund’s share classes. These services include recordkeeping, shareholder communications and transaction processing. In addition, the fund reimburses AFS for amounts paid to third parties for performing transfer agent services on behalf of fund shareholders.

 

Administrative services — The fund has an administrative services agreement with CRMC under which the fund compensates CRMC for providing administrative services to all share classes. Administrative services are provided by CRMC and its affiliates to help assist third parties providing non-distribution services to fund shareholders. These services include providing in-depth information on the fund and market developments that impact fund investments. Administrative services also include, but are not limited to, coordinating, monitoring and overseeing third parties that provide services to fund shareholders. The agreement provides the fund the ability to charge an administrative services fee at the annual rate of 0.05% of the average daily net assets attributable to each share class of the fund. Currently the fund pays CRMC an administrative services fee at the annual rate of 0.03% of the average daily net assets attributable to each share class of the fund for CRMC’s provision of administrative services.

 

529 plan services — Each 529 share class is subject to service fees to compensate the Virginia College Savings Plan (“Virginia529”) for its oversight and administration of the CollegeAmerica 529 college savings plan. The fees are based on the combined net assets invested in Class 529 and ABLE shares of the American Funds. Class ABLE shares are offered on other American Funds by Virginia529 through ABLEAmerica®, a tax-advantaged savings program for individuals with disabilities. Virginia529 is not considered a related party to the fund.

 

Prior to January 1, 2022, the quarterly fees were based on a series of decreasing annual rates beginning with 0.09% on the first $20 billion of the combined net assets invested in the American Funds and decreasing to 0.03% on such assets in excess of $100 billion. Effective January 1, 2022, the quarterly fees were amended to a series of decreasing annual rates beginning with 0.09% on the first $20 billion of the combined net assets invested in the American Funds and decreasing to 0.03% on such assets in excess of $75 billion. The fees for any given calendar quarter are accrued and calculated on the basis of the average net assets of Class 529 and ABLE shares of the American Funds for the last month of the prior calendar quarter. For the year ended September 30, 2022, the 529 plan services fees were $2,033,000, which were equivalent to 0.058% of the average daily net assets of each 529 share class.

 

22 New Perspective Fund
 

For the year ended September 30, 2022, class-specific expenses under the agreements were as follows (dollars in thousands):

 

Share class   Distribution
services
    Transfer agent
services
    Administrative
services
    529 plan
services
 
Class A       $141,121         $38,908         $17,401     Not applicable  
Class C       14,109         943         425     Not applicable  
Class T               *       *   Not applicable  
Class F-1       4,018         2,051         493     Not applicable  
Class F-2   Not applicable         18,724         5,187     Not applicable  
Class F-3   Not applicable         125         3,144     Not applicable  
Class 529-A       6,964         1,901         923         $1,775  
Class 529-C       993         61         30         58  
Class 529-E       485         31         29         56  
Class 529-T               *       *       *
Class 529-F-1               *       *       *
Class 529-F-2   Not applicable         111         75         144  
Class 529-F-3   Not applicable         *       *       *
Class R-1       649         59         20     Not applicable  
Class R-2       4,250         1,991         170     Not applicable  
Class R-2E       419         144         21     Not applicable  
Class R-3       7,708         2,351         462     Not applicable  
Class R-4       5,480         2,241         658     Not applicable  
Class R-5E   Not applicable         467         89     Not applicable  
Class R-5   Not applicable         933         549     Not applicable  
Class R-6   Not applicable         336         8,463     Not applicable  
Total class-specific expenses       $186,196         $71,377         $38,139         $2,033  

 

* Amount less than one thousand.

 

Trustees’ deferred compensation — Trustees who are unaffiliated with CRMC may elect to defer the cash payment of part or all of their compensation. These deferred amounts, which remain as liabilities of the fund, are treated as if invested in shares of the fund or other American Funds. These amounts represent general, unsecured liabilities of the fund and vary according to the total returns of the selected funds. Trustees’ compensation of $(1,016,000) in the fund’s statement of operations reflects $485,000 in current fees (either paid in cash or deferred) and a net decrease of $1,501,000 in the value of the deferred amounts.

 

Affiliated officers and trustees — Officers and certain trustees of the fund are or may be considered to be affiliated with CRMC, AFD and AFS. No affiliated officers or trustees received any compensation directly from the fund.

 

Investment in CCF — The fund holds shares of CCF, an institutional prime money market fund managed by CRMC. CCF invests in high-quality, short-term money market instruments. CCF is used as the primary investment vehicle for the fund’s short-term instruments. CCF shares are only available for purchase by CRMC, its affiliates, and other funds managed by CRMC or its affiliates, and are not available to the public. CRMC does not receive an investment advisory services fee from CCF.

 

Security transactions with related funds — The fund purchased investment securities from, and sold investment securities to, other funds managed by CRMC (or funds managed by certain affiliates of CRMC) under procedures adopted by the fund’s board of trustees. The funds involved in such transactions are considered related by virtue of having a common investment adviser (or affiliated investment advisers), common trustees and/or common officers. Each transaction was executed at the current market price of the security and no brokerage commissions or fees were paid in accordance with Rule 17a-7 of the 1940 Act. During the year ended September 30, 2022, the fund engaged in such purchase and sale transactions with related funds in the amounts of $1,537,170,000 and $836,916,000, respectively, which generated $88,805,000 of net realized gains from such sales.

 

Interfund lending — Pursuant to an exemptive order issued by the SEC, the fund, along with other CRMC-managed funds (or funds managed by certain affiliates of CRMC), may participate in an interfund lending program. The program provides an alternate credit facility that permits the funds to lend or borrow cash for temporary purposes directly to or from one another, subject to the conditions of the exemptive order. The fund did not lend or borrow cash through the interfund lending program at any time during the year ended September 30, 2022.

 

New Perspective Fund 23
 

8. Indemnifications

 

The fund’s organizational documents provide board members and officers with indemnification against certain liabilities or expenses in connection with the performance of their duties to the fund. In the normal course of business, the fund may also enter into contracts that provide general indemnifications. The fund’s maximum exposure under these arrangements is unknown since it is dependent on future claims that may be made against the fund. The risk of material loss from such claims is considered remote. Insurance policies are also available to the fund’s board members and officers.

 

9. Capital share transactions

 

Capital share transactions in the fund were as follows (dollars and shares in thousands):

 

    Sales1     Reinvestments of
 distributions
    Repurchases1     Net increase
(decrease)
 
Share class   Amount     Shares     Amount     Shares     Amount     Shares     Amount     Shares  
                                                                 
Year ended September 30, 2022                                  
                                   
Class A   $ 3,095,317       52,679     $ 4,369,044       67,979     $ (5,944,839 )     (102,528 )   $ 1,519,522       18,130  
Class C     155,349       2,800       112,508       1,858       (364,174 )     (6,709 )     (96,317 )     (2,051 )
Class T                                                
Class F-1     161,053       2,764       126,426       1,982       (296,575 )     (5,215 )     (9,096 )     (469 )
Class F-2     3,661,017       63,378       1,318,970       20,612       (4,429,575 )     (78,610 )     550,412       5,380  
Class F-3     2,240,510       38,735       818,463       12,737       (2,110,526 )     (36,968 )     948,447       14,504  
Class 529-A     261,941       4,516       237,893       3,757       (389,605 )     (6,849 )     110,229       1,424  
Class 529-C     16,246       297       8,087       134       (39,760 )     (722 )     (15,427 )     (291 )
Class 529-E     7,650       133       7,507       120       (15,468 )     (271 )     (311 )     (18 )
Class 529-T                 2       2                  2       2 
Class 529-F-1                 1       2                  1       2 
Class 529-F-2     50,274       857       19,021       296       (31,463 )     (540 )     37,832       613  
Class 529-F-3                 1       2                  1       2 
Class R-1     8,666       163       5,200       87       (16,125 )     (289 )     (2,259 )     (39 )
Class R-2     85,104       1,551       45,011       742       (156,847 )     (2,784 )     (26,732 )     (491 )
Class R-2E     16,066       281       5,132       82       (18,738 )     (323 )     2,460       40  
Class R-3     226,377       3,949       118,563       1,899       (396,613 )     (6,953 )     (51,673 )     (1,105 )
Class R-4     231,797       4,009       174,708       2,765       (560,810 )     (9,949 )     (154,305 )     (3,175 )
Class R-5E     104,801       1,803       25,086       394       (180,238 )     (3,081 )     (50,351 )     (884 )
Class R-5     219,563       3,683       147,451       2,297       (374,646 )     (6,497 )     (7,632 )     (517 )
Class R-6     4,135,453       73,292       2,237,982       34,800       (4,419,700 )     (76,696 )     1,953,735       31,396  
Total net increase (decrease)   $ 14,677,184       254,890     $ 9,777,056       152,541     $ (19,745,702 )     (344,984 )   $ 4,708,538       62,447  

 

Refer to the end of the table for footnotes.

 

24 New Perspective Fund
 
    Sales1     Reinvestments of
distributions
    Repurchases1     Net increase
(decrease)
 
Share class   Amount     Shares     Amount     Shares     Amount     Shares     Amount     Shares  
                                                                 
Year ended September 30, 2021        
                                                                 
Class A   $ 4,845,776       76,906     $ 2,301,515       38,571     $ (5,942,231 )     (94,739 )   $ 1,205,060       20,738  
Class C     251,881       4,221       64,349       1,135       (383,023 )     (6,403 )     (66,793 )     (1,047 )
Class T                                                
Class F-1     249,033       4,016       81,101       1,369       (707,223 )     (11,178 )     (377,089 )     (5,793 )
Class F-2     4,616,699       73,686       661,320       11,128       (3,709,773 )     (59,072 )     1,568,246       25,742  
Class F-3     2,921,159       46,248       389,189       6,523       (1,789,777 )     (28,326 )     1,520,571       24,445  
Class 529-A     339,337       5,466       125,801       2,138       (423,235 )     (6,770 )     41,903       834  
Class 529-C     23,765       400       5,289       94       (53,029 )     (890 )     (23,975 )     (396 )
Class 529-E     10,888       178       4,187       72       (18,466 )     (296 )     (3,391 )     (46 )
Class 529-T                 1       2                  1       2 
Class 529-F-1     4,541       84       2      2      (178,950 )     (3,473 )     (174,409 )     (3,389 )
Class 529-F-23     233,643       4,270       8,992       151       (33,214 )     (519 )     209,421       3,902  
Class 529-F-33     10       2      1       2                  11       2 
Class R-1     11,249       189       3,145       56       (22,051 )     (376 )     (7,657 )     (131 )
Class R-2     119,789       2,012       26,201       462       (181,942 )     (3,080 )     (35,952 )     (606 )
Class R-2E     18,381       307       3,155       54       (27,498 )     (447 )     (5,962 )     (86 )
Class R-3     297,140       4,899       71,343       1,228       (521,635 )     (8,550 )     (153,152 )     (2,423 )
Class R-4     325,662       5,323       99,826       1,699       (563,478 )     (9,186 )     (137,990 )     (2,164 )
Class R-5E     137,241       2,259       12,269       207       (71,770 )     (1,154 )     77,740       1,312  
Class R-5     255,199       4,090       83,756       1,405       (435,743 )     (6,986 )     (96,788 )     (1,491 )
Class R-6     5,727,091       90,738       1,260,974       21,122       (8,444,938 )     (134,015 )     (1,456,873 )     (22,155 )
Total net increase (decrease)   $ 20,388,484       325,292     $ 5,202,414       87,414     $ (23,507,976 )     (375,460 )   $ 2,082,922       37,246  

 

1 Includes exchanges between share classes of the fund.
2 Amount less than one thousand.
3 Class 529-F-2 and 529-F-3 shares began investment operations on October 30, 2020.

 

10. Investment transactions

 

The fund engaged in purchases and sales of investment securities, excluding short-term securities and U.S. government obligations, if any, of $25,070,478,000 and $31,936,209,000, respectively, during the year ended September 30, 2022.

 

New Perspective Fund 25
 

Financial highlights

 

          (Loss) income from
investment operations1 
    Dividends and distributions                                      
Year ended   Net asset
value,
beginning
of year
    Net
investment
income
(loss)
    Net (losses)
gains on
securities
(both
realized and
unrealized)
    Total from
investment
operations
    Dividends
(from net
investment
income)
    Distributions
(from capital
gains)
    Total
dividends
and
distributions
    Net asset
value,
end
of year
    Total return2,3      Net assets,
end of
year
(in millions)
    Ratio of
expenses
to average net
assets before
reimbursement4 
    Ratio of
expenses
to average net
assets after
reimbursement3,4 
    Ratio of
net income
(loss)
to average
net assets3 
 
Class A:                                                                                                        
9/30/2022   $ 66.78     $ .38     $ (17.08 )   $ (16.70 )   $ (.22 )   $ (4.43 )   $ (4.65 )   $ 45.43       (27.04 )%   $ 44,810       .72 %     .72 %     .65 %
9/30/2021     53.81       .32       15.15       15.47       (.08 )     (2.42 )     (2.50 )     66.78       29.31       64,660       .72       .72       .50  
9/30/2020     44.52       .27       10.76       11.03       (.48 )     (1.26 )     (1.74 )     53.81       25.33       50,986       .75       .75       .57  
9/30/2019     46.89       .37       .12       .49       (.45 )     (2.41 )     (2.86 )     44.52       2.55       42,567       .75       .75       .85  
9/30/2018     43.54       .38       5.34       5.72       (.19 )     (2.18 )     (2.37 )     46.89       13.48       43,958       .74       .74       .85  
Class C:                                                                                                        
9/30/2022     63.06       (.07 )     (16.02 )     (16.09 )           (4.43 )     (4.43 )     42.54       (27.60 )     1,026       1.47       1.47       (.12 )
9/30/2021     51.23       (.15 )     14.40       14.25             (2.42 )     (2.42 )     63.06       28.36       1,651       1.47       1.47       (.25 )
9/30/2020     42.46       (.08 )     10.25       10.17       (.14 )     (1.26 )     (1.40 )     51.23       24.39       1,395       1.49       1.49       (.18 )
9/30/2019     44.80       .03       .14       .17       (.10 )     (2.41 )     (2.51 )     42.46       1.76       1,442       1.52       1.52       .07  
9/30/2018     41.82       .02       5.14       5.16             (2.18 )     (2.18 )     44.80       12.62       1,576       1.53       1.53       .06  
Class T:                                                                                                        
9/30/2022     66.82       .51       (17.07 )     (16.56 )     (.37 )     (4.43 )     (4.80 )     45.46       (26.87 )5      6      .48 5      .48 5      .88 5 
9/30/2021     53.83       .46       15.15       15.61       (.20 )     (2.42 )     (2.62 )     66.82       29.60 5      6      .50 5      .50 5      .73 5 
9/30/2020     44.53       .38       10.76       11.14       (.58 )     (1.26 )     (1.84 )     53.83       25.62 5      6      .50 5      .50 5      .82 5 
9/30/2019     46.91       .46       .11       .57       (.54 )     (2.41 )     (2.95 )     44.53       2.80 5      6      .53 5      .53 5      1.07 5 
9/30/2018     43.57       .47       5.34       5.81       (.29 )     (2.18 )     (2.47 )     46.91       13.71 5      6      .53 5      .53 5      1.04 5 
Class F-1:                                                                                                        
9/30/2022     66.29       .34       (16.95 )     (16.61 )     (.17 )     (4.43 )     (4.60 )     45.08       (27.10 )     1,239       .77       .77       .58  
9/30/2021     53.43       .27       15.06       15.33       (.05 )     (2.42 )     (2.47 )     66.29       29.24       1,854       .78       .78       .43  
9/30/2020     44.21       .24       10.69       10.93       (.45 )     (1.26 )     (1.71 )     53.43       25.27       1,804       .79       .79       .52  
9/30/2019     46.57       .33       .12       .45       (.40 )     (2.41 )     (2.81 )     44.21       2.47       1,677       .82       .82       .78  
9/30/2018     43.26       .36       5.30       5.66       (.17 )     (2.18 )     (2.35 )     46.57       13.40       1,795       .81       .81       .79  
Class F-2:                                                                                                        
9/30/2022     66.61       .49       (17.01 )     (16.52 )     (.36 )     (4.43 )     (4.79 )     45.30       (26.90 )     13,240       .51       .51       .85  
9/30/2021     53.67       .45       15.10       15.55       (.19 )     (2.42 )     (2.61 )     66.61       29.60       19,110       .51       .51       .72  
9/30/2020     44.40       .38       10.73       11.11       (.58 )     (1.26 )     (1.84 )     53.67       25.61       14,016       .53       .53       .80  
9/30/2019     46.81       .46       .09       .55       (.55 )     (2.41 )     (2.96 )     44.40       2.74       10,234       .54       .54       1.07  
9/30/2018     43.47       .47       5.33       5.80       (.28 )     (2.18 )     (2.46 )     46.81       13.71       8,560       .54       .54       1.05  
Class F-3:                                                                                                
9/30/2022     66.93       .56       (17.10 )     (16.54 )     (.43 )     (4.43 )     (4.86 )     45.53       (26.83 )     8,349       .41       .41       .96  
9/30/2021     53.90       .53       15.16       15.69       (.24 )     (2.42 )     (2.66 )     66.93       29.72       11,301       .41       .41       .83  
9/30/2020     44.58       .43       10.77       11.20       (.62 )     (1.26 )     (1.88 )     53.90       25.74       7,784       .42       .42       .91  
9/30/2019     46.98       .51       .08       .59       (.58 )     (2.41 )     (2.99 )     44.58       2.85       5,324       .44       .44       1.18  
9/30/2018     43.63       .52       5.34       5.86       (.33 )     (2.18 )     (2.51 )     46.98       13.81       4,260       .45       .45       1.16  
Class 529-A:                                                                                                
9/30/2022     65.84       .35       (16.82 )     (16.47 )     (.20 )     (4.43 )     (4.63 )     44.74       (27.08 )     2,373       .75       .75       .61  
9/30/2021     53.09       .29       14.94       15.23       (.06 )     (2.42 )     (2.48 )     65.84       29.26       3,398       .76       .76       .46  
9/30/2020     43.94       .25       10.61       10.86       (.45 )     (1.26 )     (1.71 )     53.09       25.27       2,696       .79       .79       .53  
9/30/2019     46.31       .33       .12       .45       (.41 )     (2.41 )     (2.82 )     43.94       2.47       2,163       .82       .82       .78  
9/30/2018     43.05       .35       5.27       5.62       (.18 )     (2.18 )     (2.36 )     46.31       13.41       2,227       .82       .82       .78  

 

Refer to the end of the table for footnotes.

 

26 New Perspective Fund
 

Financial highlights (continued)

 

          (Loss) income from
investment operations1 
    Dividends and distributions                                      
Year ended   Net asset
value,
beginning
of year
    Net
investment
income
(loss)
    Net (losses)
gains on
securities
(both
realized and
unrealized)
    Total from
investment
operations
    Dividends
(from net
investment
income)
    Distributions
(from capital
gains)
    Total
dividends
and
distributions
    Net asset
value,
end
of year
    Total return2,3      Net assets,
end of
year
(in millions)
    Ratio of
expenses
to average net
assets before
reimbursement4
    Ratio of
expenses
to average net
assets after
reimbursement3,4 
    Ratio of
net income
(loss)
to average
net assets3 
 
Class 529-C:                                                                                                
9/30/2022   $ 62.88     $ (.10 )   $ (15.96 )   $ (16.06 )   $     $ (4.43 )   $ (4.43 )   $ 42.39       (27.65 )%   $ 70       1.52 %     1.52 %     (.19 )%
9/30/2021     51.12       (.18 )     14.36       14.18             (2.42 )     (2.42 )     62.88       28.30       121       1.52       1.52       (.30 )
9/30/2020     42.35       (.11 )     10.24       10.13       (.10 )     (1.26 )     (1.36 )     51.12       24.35       119       1.54       1.54       (.24 )
9/30/2019     44.66       .01       .15       .16       (.06 )     (2.41 )     (2.47 )     42.35       1.71       240       1.57       1.57       .02  
9/30/2018     41.72       (.01 )     5.13       5.12             (2.18 )     (2.18 )     44.66       12.54       286       1.58       1.58       (.03 )
Class 529-E:                                                                                                
9/30/2022     64.94       .20       (16.58 )     (16.38 )     (.04 )     (4.43 )     (4.47 )     44.09       (27.25 )     74       .99       .99       .36  
9/30/2021     52.46       .14       14.76       14.90             (2.42 )     (2.42 )     64.94       28.94       110       1.00       1.00       .23  
9/30/2020     43.44       .14       10.49       10.63       (.35 )     (1.26 )     (1.61 )     52.46       24.99       91       1.01       1.01       .30  
9/30/2019     45.79       .23       .14       .37       (.31 )     (2.41 )     (2.72 )     43.44       2.24       82       1.04       1.04       .55  
9/30/2018     42.58       .24       5.22       5.46       (.07 )     (2.18 )     (2.25 )     45.79       13.15       89       1.05       1.05       .55  
Class 529-T:                                                                                                
9/30/2022     66.78       .49       (17.07 )     (16.58 )     (.34 )     (4.43 )     (4.77 )     45.43       (26.91 )5      6      .53 5      .53 5      .84 5 
9/30/2021     53.80       .43       15.14       15.57       (.17 )     (2.42 )     (2.59 )     66.78       29.53 5      6      .55 5      .55 5      .68 5 
9/30/2020     44.51       .36       10.75       11.11       (.56 )     (1.26 )     (1.82 )     53.80       25.55 5      6      .56 5      .56 5      .77 5 
9/30/2019     46.89       .44       .11       .55       (.52 )     (2.41 )     (2.93 )     44.51       2.73 5      6      .57 5      .57 5      1.03 5 
9/30/2018     43.56       .45       5.34       5.79       (.28 )     (2.18 )     (2.46 )     46.89       13.65 5      6      .59 5      .59 5      .99 5 
Class 529-F-1:                                                                                                
9/30/2022     65.65       .44       (16.75 )     (16.31 )     (.32 )     (4.43 )     (4.75 )     44.59       (26.96 )5      6      .60 5      .60 5      .77 5 
9/30/2021     52.99       (.02 )     15.34       15.32       (.24 )     (2.42 )     (2.66 )     65.65       29.51 5      6      .51 5      .51 5      (.04 )5 
9/30/2020     43.86       .35       10.60       10.95       (.56 )     (1.26 )     (1.82 )     52.99       25.55       180       .56       .56       .76  
9/30/2019     46.28       .43       .09       .52       (.53 )     (2.41 )     (2.94 )     43.86       2.72       142       .59       .59       1.03  
9/30/2018     43.00       .45       5.27       5.72       (.26 )     (2.18 )     (2.44 )     46.28       13.67       119       .59       .59       1.00  
Class 529-F-2:                                                                                                
9/30/2022     66.78       .50       (17.06 )     (16.56 )     (.35 )     (4.43 )     (4.78 )     45.44       (26.91 )     205       .51       .51       .87  
9/30/20217,8      52.26       .44       16.68       17.12       (.18 )     (2.42 )     (2.60 )     66.78       33.39 9      260       .54 10      .54 10      .75 10 
Class 529-F-3:                                                                                                
9/30/2022     66.74       .52       (17.04 )     (16.52 )     (.39 )     (4.43 )     (4.82 )     45.40       (26.85 )     6      .46       .46       .90  
9/30/20217,8      52.26       .48       16.67       17.15       (.25 )     (2.42 )     (2.67 )     66.74       33.44 9      6      .52 10      .47 10      .82 10 
Class R-1:                                                                                                
9/30/2022     62.49       (.07 )     (15.87 )     (15.94 )           (4.43 )     (4.43 )     42.12       (27.61 )     50       1.49       1.49       (.13 )
9/30/2021     50.81       (.17 )     14.27       14.10             (2.42 )     (2.42 )     62.49       28.29       77       1.50       1.50       (.28 )
9/30/2020     42.09       (.09 )     10.17       10.08       (.10 )     (1.26 )     (1.36 )     50.81       24.38       69       1.52       1.52       (.21 )
9/30/2019     44.41       .02       .15       .17       (.08 )     (2.41 )     (2.49 )     42.09       1.73       71       1.54       1.54       .05  
9/30/2018     41.49       .02       5.08       5.10             (2.18 )     (2.18 )     44.41       12.59       88       1.54       1.54       .04  

 

Refer to the end of the table for footnotes.

 

New Perspective Fund 27
 

Financial highlights (continued)

 

          (Loss) income from
investment operations1
    Dividends and distributions                                      
Year ended   Net asset
value,
beginning
of year
    Net
investment
income
(loss)
    Net (losses)
gains on
securities
(both
realized and
unrealized)
    Total from
investment
operations
    Dividends
(from net
investment
income)
    Distributions
(from capital
gains)
    Total
dividends
and
distributions
    Net asset
value,
end
of year
    Total return2,3      Net assets,
end of
year
(in millions)
    Ratio of
expenses
to average net
assets before
reimbursement4 
    Ratio of
expenses
to average net
assets after
reimbursement3,4 
    Ratio of
net income
(loss)
to average
net assets3 
 
Class R-2:                                                                                                
9/30/2022   $ 63.12     $ (.08 )   $ (16.04 )   $ (16.12 )   $     $ (4.43 )   $ (4.43 )   $ 42.57       (27.63 )%   $ 427       1.51 %     1.51 %     (.15 )%
9/30/2021     51.30       (.17 )     14.41       14.24             (2.42 )     (2.42 )     63.12       28.30       663       1.50       1.50       (.28 )
9/30/2020     42.52       (.09 )     10.27       10.18       (.14 )     (1.26 )     (1.40 )     51.30       24.38       571       1.52       1.52       (.20 )
9/30/2019     44.85       .02       .15       .17       (.09 )     (2.41 )     (2.50 )     42.52       1.73       518       1.54       1.54       .06  
9/30/2018     41.87       .02       5.14       5.16             (2.18 )     (2.18 )     44.85       12.60       570       1.54       1.54       .05  
Class R-2E:                                                                                                
9/30/2022     65.16       .09       (16.64 )     (16.55 )           (4.43 )     (4.43 )     44.18       (27.42 )     55       1.21       1.21       .15  
9/30/2021     52.74       .01       14.83       14.84             (2.42 )     (2.42 )     65.16       28.69       79       1.21       1.21       .02  
9/30/2020     43.68       .04       10.55       10.59       (.27 )     (1.26 )     (1.53 )     52.74       24.73       68       1.23       1.23       .09  
9/30/2019     46.02       .16       .13       .29       (.22 )     (2.41 )     (2.63 )     43.68       2.05       65       1.24       1.24       .38  
9/30/2018     42.85       .15       5.26       5.41       (.06 )     (2.18 )     (2.24 )     46.02       12.92       60       1.24       1.24       .33  
Class R-3:                                                                                                
9/30/2022     64.83       .17       (16.56 )     (16.39 )           (4.43 )     (4.43 )     44.01       (27.30 )     1,153       1.06       1.06       .30  
9/30/2021     52.40       .10       14.75       14.85             (2.42 )     (2.42 )     64.83       28.88       1,770       1.06       1.06       .16  
9/30/2020     43.39       .11       10.48       10.59       (.32 )     (1.26 )     (1.58 )     52.40       24.91       1,557       1.07       1.07       .25  
9/30/2019     45.73       .21       .13       .34       (.27 )     (2.41 )     (2.68 )     43.39       2.21       1,488       1.09       1.09       .50  
9/30/2018     42.52       .22       5.22       5.44       (.05 )     (2.18 )     (2.23 )     45.73       13.09       1,728       1.09       1.09       .49  
Class R-4:                                                                                                
9/30/2022     65.70       .34       (16.77 )     (16.43 )     (.19 )     (4.43 )     (4.62 )     44.65       (27.08 )     1,587       .76       .76       .59  
9/30/2021     52.98       .29       14.92       15.21       (.07 )     (2.42 )     (2.49 )     65.70       29.26       2,544       .76       .76       .47  
9/30/2020     43.85       .25       10.60       10.85       (.46 )     (1.26 )     (1.72 )     52.98       25.30       2,166       .77       .77       .55  
9/30/2019     46.23       .34       .11       .45       (.42 )     (2.41 )     (2.83 )     43.85       2.49       1,977       .79       .79       .81  
9/30/2018     42.96       .35       5.28       5.63       (.18 )     (2.18 )     (2.36 )     46.23       13.44       2,149       .79       .79       .80  
Class R-5E:                                                                                                
9/30/2022     66.28       .46       (16.92 )     (16.46 )     (.33 )     (4.43 )     (4.76 )     45.06       (26.94 )     205       .56       .56       .78  
9/30/2021     53.43       .43       15.03       15.46       (.19 )     (2.42 )     (2.61 )     66.28       29.54       360       .55       .55       .69  
9/30/2020     44.22       .36       10.68       11.04       (.57 )     (1.26 )     (1.83 )     53.43       25.56       220       .56       .56       .76  
9/30/2019     46.69       .48       .05       .53       (.59 )     (2.41 )     (3.00 )     44.22       2.72       123       .57       .57       1.13  
9/30/2018     43.40       .31       5.47       5.78       (.31 )     (2.18 )     (2.49 )     46.69       13.68       36       .57       .57       .68  
Class R-5:                                                                                                
9/30/2022     66.84       .53       (17.08 )     (16.55 )     (.39 )     (4.43 )     (4.82 )     45.47       (26.86 )     1,380       .46       .46       .90  
9/30/2021     53.84       .48       15.16       15.64       (.22 )     (2.42 )     (2.64 )     66.84       29.65       2,063       .46       .46       .77  
9/30/2020     44.53       .40       10.77       11.17       (.60 )     (1.26 )     (1.86 )     53.84       25.68       1,742       .46       .46       .85  
9/30/2019     46.92       .48       .10       .58       (.56 )     (2.41 )     (2.97 )     44.53       2.82       1,606       .49       .49       1.11  
9/30/2018     43.56       .50       5.34       5.84       (.30 )     (2.18 )     (2.48 )     46.92       13.79       1,798       .49       .49       1.10  
Class R-6:                                                                                                
9/30/2022     66.97       .56       (17.11 )     (16.55 )     (.43 )     (4.43 )     (4.86 )     45.56       (26.83 )     22,485       .41       .41       .96  
9/30/2021     53.94       .52       15.17       15.69       (.24 )     (2.42 )     (2.66 )     66.97       29.71       30,946       .41       .41       .81  
9/30/2020     44.61       .43       10.78       11.21       (.62 )     (1.26 )     (1.88 )     53.94       25.74       26,119       .42       .42       .91  
9/30/2019     47.00       .51       .09       .60       (.58 )     (2.41 )     (2.99 )     44.61       2.88       19,586       .44       .44       1.18  
9/30/2018     43.64       .52       5.34       5.86       (.32 )     (2.18 )     (2.50 )     47.00       13.82       16,772       .44       .44       1.15  

 

Refer to the end of the table for footnotes.

 

28 New Perspective Fund
 

Financial highlights (continued)

 

    Year ended September 30,
    2022   2021   2020   2019   2018
Portfolio turnover rate for all share classes11      21 %     22 %     26 %12      20 %     23 %

 

1    Based on average shares outstanding.
2    Total returns exclude any applicable sales charges, including contingent deferred sales charges.
3    This column reflects the impact, if any, of certain reimbursements from CRMC. During one of the years shown, CRMC reimbursed a portion of transfer agent services fees for Class 529-F-3 shares.
4    Ratios do not include expenses of any Central Funds. The fund indirectly bears its proportionate share of the expenses of any Central Funds.
5    All or a significant portion of assets in this class consisted of seed capital invested by CRMC and/or its affiliates. Fees for distribution services are not charged or accrued on these seed capital assets. If such fees were paid by the fund on seed capital assets, fund expenses would have been higher and net income and total return would have been lower.
6    Amount less than $1 million.
7    Based on operations for a period that is less than a full year.
8    Class 529-F-2 and 529-F-3 shares began investment operations on October 30, 2020.
9   Not annualized.
10    Annualized.
11    Rates do not include the fund’s portfolio activity with respect to any Central Funds.
12    Includes the value of securities sold due to redemptions of shares in-kind. The rates would have been 25% for the year ended September 30, 2020, if the value of securities sold due to in-kind redemptions were excluded.

 

Refer to the notes to financial statements.

 

New Perspective Fund 29
 

Report of Independent Registered Public Accounting Firm

 

To the Shareholders and Board of Trustees of New Perspective Fund:

 

Opinion on the Financial Statements and Financial Highlights

 

We have audited the accompanying statement of assets and liabilities of of New Perspective Fund (the “Fund”), including the investment portfolio, as of September 30, 2022, the related statement of operations for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, the financial highlights for each of the five years in the period then ended, and the related notes. In our opinion, the financial statements and financial highlights present fairly, in all material respects, the financial position of the Fund as of September 30, 2022, and the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period then ended, and the financial highlights for each of the five years in the period then ended, in conformity with accounting principles generally accepted in the United States of America.

 

Basis for Opinion

 

These financial statements and financial highlights are the responsibility of the Fund’s management. Our responsibility is to express an opinion on the Fund’s financial statements and financial highlights based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Fund in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

 

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement, whether due to error or fraud. The Fund is not required to have, nor were we engaged to perform, an audit of its internal control over financial reporting. As part of our audits we are required to obtain an understanding of internal control over financial reporting but not for the purpose of expressing an opinion on the effectiveness of the Fund’s internal control over financial reporting. Accordingly, we express no such opinion.

 

Our audits included performing procedures to assess the risks of material misstatement of the financial statements and financial highlights, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements and financial highlights. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements and financial highlights. Our procedures included confirmation of securities owned as of September 30, 2022, by correspondence with the custodian and brokers; when replies were not received from brokers, we performed other auditing procedures. We believe that our audits provide a reasonable basis for our opinion.

 

Deloitte & Touche LLP

 

Costa Mesa, California
November 8, 2022

 

We have served as the auditor of one or more American Funds investment companies since 1956.

 

30 New Perspective Fund
 
Expense example unaudited

 

As a fund shareholder, you incur two types of costs: (1) transaction costs, such as initial sales charges on purchase payments and contingent deferred sales charges on redemptions (loads), and (2) ongoing costs, including management fees, distribution and service (12b-1) fees, and other expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in the fund so you can compare these costs with the ongoing costs of investing in other mutual funds. The example is based on an investment of $1,000 invested at the beginning of the period and held for the entire six-month period (April 1, 2022, through September 30, 2022).

 

Actual expenses:

The first line of each share class in the table on the following page provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first line under the heading titled “Expenses paid during period” to estimate the expenses you paid on your account during this period.

 

Hypothetical example for comparison purposes:

The second line of each share class in the table on the following page provides information about hypothetical account values and hypothetical expenses based on the actual expense ratio for the share class and an assumed rate of return of 5.00% per year before expenses, which is not the actual return of the share class. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the fund and other funds. To do so, compare this 5.00% hypothetical example with the 5.00% hypothetical examples that appear in the shareholder reports of the other funds.

 

Notes:

Retirement plan participants may be subject to certain fees charged by the plan sponsor, and Class F-1, F-2, F-3, 529-F-1, 529-F-2 and 529-F-3 shareholders may be subject to fees charged by financial intermediaries, typically ranging from 0.75% to 1.50% of assets annually depending on services offered. You can estimate the impact of these fees by adding the amount of the fees to the total estimated expenses you paid on your account during the period as calculated above. In addition, your ending account value would be lower by the amount of these fees.

 

Note that the expenses shown in the table on the following page are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads). Therefore, the second line of each share class in the table is useful in comparing ongoing costs only and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.

 

New Perspective Fund 31
 

Expense example (continued)

 

    Beginning
account value
4/1/2022
    Ending
account value
9/30/2022
    Expenses paid
during period*
    Annualized
expense ratio
 
Class A – actual return   $ 1,000.00     $ 760.32     $ 3.18       .72 %
Class A – assumed 5% return     1,000.00       1,021.46       3.65       .72  
Class C – actual return     1,000.00       757.34       6.52       1.48  
Class C – assumed 5% return     1,000.00       1,017.65       7.49       1.48  
Class T – actual return     1,000.00       761.23       2.12       .48  
Class T – assumed 5% return     1,000.00       1,022.66       2.43       .48  
Class F-1 – actual return     1,000.00       760.09       3.44       .78  
Class F-1 – assumed 5% return     1,000.00       1,021.16       3.95       .78  
Class F-2 – actual return     1,000.00       761.09       2.30       .52  
Class F-2 – assumed 5% return     1,000.00       1,022.46       2.64       .52  
Class F-3 – actual return     1,000.00       761.35       1.81       .41  
Class F-3 – assumed 5% return     1,000.00       1,023.01       2.08       .41  
Class 529-A – actual return     1,000.00       760.09       3.40       .77  
Class 529-A – assumed 5% return     1,000.00       1,021.21       3.90       .77  
Class 529-C – actual return     1,000.00       757.09       6.78       1.54  
Class 529-C – assumed 5% return     1,000.00       1,017.35       7.79       1.54  
Class 529-E – actual return     1,000.00       759.14       4.41       1.00  
Class 529-E – assumed 5% return     1,000.00       1,020.05       5.06       1.00  
Class 529-T – actual return     1,000.00       760.95       2.34       .53  
Class 529-T – assumed 5% return     1,000.00       1,022.41       2.69       .53  
Class 529-F-1 – actual return     1,000.00       760.79       2.69       .61  
Class 529-F-1 – assumed 5% return     1,000.00       1,022.01       3.09       .61  
Class 529-F-2 – actual return     1,000.00       760.95       2.25       .51  
Class 529-F-2 – assumed 5% return     1,000.00       1,022.51       2.59       .51  
Class 529-F-3 – actual return     1,000.00       761.36       2.08       .47  
Class 529-F-3 – assumed 5% return     1,000.00       1,022.71       2.38       .47  
Class R-1 – actual return     1,000.00       757.28       6.56       1.49  
Class R-1 – assumed 5% return     1,000.00       1,017.60       7.54       1.49  
Class R-2 – actual return     1,000.00       757.32       6.61       1.50  
Class R-2 – assumed 5% return     1,000.00       1,017.55       7.59       1.50  
Class R-2E – actual return     1,000.00       758.31       5.33       1.21  
Class R-2E – assumed 5% return     1,000.00       1,019.00       6.12       1.21  
Class R-3 – actual return     1,000.00       759.04       4.67       1.06  
Class R-3 – assumed 5% return     1,000.00       1,019.75       5.37       1.06  
Class R-4 – actual return     1,000.00       760.09       3.35       .76  
Class R-4 – assumed 5% return     1,000.00       1,021.26       3.85       .76  
Class R-5E – actual return     1,000.00       760.88       2.47       .56  
Class R-5E – assumed 5% return     1,000.00       1,022.26       2.84       .56  
Class R-5 – actual return     1,000.00       761.26       2.03       .46  
Class R-5 – assumed 5% return     1,000.00       1,022.76       2.33       .46  
Class R-6 – actual return     1,000.00       761.49       1.81       .41  
Class R-6 – assumed 5% return     1,000.00       1,023.01       2.08       .41  
   
* The “expenses paid during period” are equal to the “annualized expense ratio,” multiplied by the average account value over the period, multiplied by the number of days in the period, and divided by 365 (to reflect the one-half year period).
   
32 New Perspective Fund
 
Tax information unaudited

 

We are required to advise you of the federal tax status of certain distributions received by shareholders during the fiscal year. The fund hereby designates the following amounts for the fund’s fiscal year ended September 30, 2022:

 

Long-term capital gains   $ 9,701,198,000  
Qualified dividend income     100%  
Section 163(j) interest dividends   $ 30,649,000  
Corporate dividends received deduction   $ 497,943,000  
U.S. government income that may be exempt from state taxation   $ 11,945,000  

 

Individual shareholders should refer to their Form 1099 or other tax information, which will be mailed in January 2023, to determine the calendar year amounts to be included on their 2022 tax returns. Shareholders should consult their tax advisors.

 

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New Perspective Fund 41
 

Board of trustees and other officers

 

Independent trustees1

 

Name and year of birth   Year first
elected
a trustee
of the fund2
  Principal occupation(s) during past five years   Number of
portfolios in
fund complex
overseen by
trustee3
  Other directorships4
held by trustee
Vanessa C. L. Chang, 1952   2000   Former Director, EL & EL Investments (real estate)   22   Edison International/Southern California Edison; Transocean Ltd. (offshore drilling contractor)
Pablo R. González Guajardo, 1967   2014   CEO, Kimberly-Clark de México, SAB de CV   22   América Móvil, SAB de CV (telecommunications company); Grupo Lala, SAB de CV (dairy company); Grupo Sanborns, SAB de CV (retail stores and restaurants; Kimberly-Clark de México, SAB de CV (consumer staples)
Martin E. Koehler, 1957   2015   Independent management consultant   6   None
Pascal Millaire, 1983   2019   CEO and Director, CyberCube Analytics, Inc. (cyber risk software for insurers); former Vice President and General Manager, Symantec Corporation (cybersecurity company)   3   None
William I. Miller, 1956
Chair of the Board (Independent and Non-Executive)
  1992   President, The Wallace Foundation   3   Cummins, Inc.
Josette Sheeran, 1954   2015   President and Director, Canoo Inc., Trustee and former Executive Chair, The McCain Institute; former Professor of Practice, Arizona State University; President Emeritus and former CEO, Asia Society; former United Nations Special Envoy for Haiti   7   None
Christopher E. Stone, 1956   2020   Professor of Practice of Public Integrity, University of Oxford, Blavatnik School of Government; former President, Open Society Foundations   9   None
Amy Zegart, PhD, 1967   2019   Senior Fellow, Hoover Institution, Stanford University; Senior Fellow, Freeman Spogli Institute, Stanford University   6   Kratos Defense & Security Solutions

 

Interested trustees5,6

 

 

Name, year of birth and
position with fund
  Year first
elected
a trustee
or officer
of the fund2
  Principal occupation(s) during past five years and
positions held with affiliated entities or the principal
underwriter of the fund
  Number of
portfolios in
fund complex
overseen by
trustee3
  Other directorships4
held by trustee
Joanna F. Jonsson, 1963
Co-President and Trustee
  2008   Partner — Capital World Investors, Capital Research and Management Company; Vice Chair, President and Director, Capital Research and Management Company; Director, The Capital Group Companies, Inc.7   3   None
Carl M. Kawaja, 1964
Trustee
  2019   Partner — Capital World Investors, Capital Research and Management Company; Partner — Capital World Investors, Capital Bank and Trust Company7; Chairman and Director, Capital Research and Management Company   3   None

 

The fund’s statement of additional information includes further details about fund trustees and is available without charge upon request by calling American Funds Service Company at (800) 421-4225 or by visiting the Capital Group website at capitalgroup.com. The address for all trustees and officers of the fund is 333 South Hope Street, Los Angeles, CA 90071, Attention: Secretary.

 

42 New Perspective Fund
 

Other officers6

 

Name, year of birth and
position with fund
  Year first
elected
an officer
of the fund2
  Principal occupation(s) during past five years and positions held with affiliated entities or
the principal underwriter of the fund
Robert W. Lovelace, 1962
Co-President    
  2001   Partner — Capital International Investors, Capital Research and Management Company; Partner — Capital International Investors, Capital Bank and Trust Company7; Vice Chairman of the Board, President and Director, The Capital Group Companies, Inc.7; Chief Executive Officer and Director, Capital Research and Management Company
Walt Burkley, 1966
Principal Executive Officer  
  2012   Senior Vice President and Senior Counsel — Fund Business Management Group, Capital Research and Management Company; Director, Capital Research Company7; Director, Capital Research and Management Company
Michael W. Stockton, 1967
Executive Vice President
  2013   Senior Vice President — Fund Business Management Group, Capital Research and Management Company
Barbara Burtin, 1977
Senior Vice President
  2021   Partner — Capital World Investors, Capital Research and Management Company; Director, Capital Strategy Research, Inc.7
Noriko Honda Chen, 1967
Senior Vice President
  2015   Partner — Capital International Investors, Capital Research and Management Company; President and Director, Capital Research Company7; Director, The Capital Group Companies, Inc.7; Director, Capital International K.K.7
Patrice Collette, 1967
Senior Vice President
  2021   Partner — Capital World Investors, Capital International, Inc.7
Brady L. Enright, 1967
Senior Vice President
  2008   Partner — Capital World Investors, Capital Research and Management Company; Partner — Capital World Investors, Capital Bank and Trust Company7
Jonathan Knowles, PhD, 1961
Senior Vice President
  1998   Partner — Capital World Investors, Capital International, Inc.7
Andraz Razen, 1975
Senior Vice President
  2019   Partner — Capital World Investors, Capital Research Company7
Steven T. Watson, 1955
Senior Vice President
  2019   Partner — Capital International Investors, Capital International, Inc.7; Director, Capital International, Inc.7
Jennifer L. Butler, 1966
Secretary
  2013   Assistant Vice President — Fund Business Management Group, Capital Research and Management Company
Brian C. Janssen, 1972
Treasurer
  2010   Senior Vice President — Investment Operations, Capital Research and Management Company
Michael R. Tom, 1988
Assistant Secretary
  2021   Associate — Fund Business Management Group, Capital Research and Management Company
Sandra Chuon, 1972
Assistant Treasurer
  2019   Vice President — Investment Operations, Capital Research and Management Company
Gregory F. Niland, 1971
Assistant Treasurer
  2016   Vice President — Investment Operations, Capital Research and Management Company

 

1 The term independent trustee refers to a trustee who is not an “interested person” of the fund within the meaning of the Investment Company Act of 1940.
2 Trustees and officers of the fund serve until their resignation, removal or retirement.
3 Funds managed by Capital Research and Management Company or its affiliates.
4 This includes all directorships/trusteeships (other than those in the American Funds or other funds managed by Capital Research and Management Company or its affiliates) that are held by each trustee as a trustee or director of a public company or a registered investment company.
5 The term interested trustee refers to a trustee who is an “interested person” within the meaning of the Investment Company Act of 1940, on the basis of their affiliation with the fund’s investment adviser, Capital Research and Management Company, or affiliated entities (including the fund’s principal underwriter).
6 All of the trustees and/or officers listed, with the exception of Barbara Burtin, are officers and/or directors/trustees of one or more of the other funds for which Capital Research and Management Company serves as investment adviser.
7 Company affiliated with Capital Research and Management Company.
   
New Perspective Fund 43
 

Office of the fund

333 South Hope Street
Los Angeles, CA 90071-1406

 

Investment adviser

Capital Research and Management Company
333 South Hope Street
Los Angeles, CA 90071-1406

 

Transfer agent for shareholder accounts

American Funds Service Company
(Write to the address nearest you.)

 

P.O. Box 6007
Indianapolis, IN 46206-6007

 

P.O. Box 2280
Norfolk, VA 23501-2280

 

Custodian of assets

JPMorgan Chase Bank
270 Park Avenue
New York, NY 10017-2070

 

Counsel

Dechert LLP

One Bush Street, Suite 1600
San Francisco, CA 94104-4446

 

Independent registered public accounting firm

Deloitte & Touche LLP
695 Town Center Drive
Suite 1000
Costa Mesa, CA 92626-7188

 

Principal underwriter

American Funds Distributors, Inc.
333 South Hope Street
Los Angeles, CA 90071-1406

 

44 New Perspective Fund
 

Investors should carefully consider investment objectives, risks charges and expenses. This and other important information is contained in the fund prospectus and summary prospectus, which can be obtained from your financial professional and should be read carefully before investing. You may also call American Funds Service Company (AFS) at (800) 421-4225 or visit the Capital Group website at capitalgroup.com.

 

“American Funds Proxy Voting Procedures and Principles” — which describes how we vote proxies relating to portfolio securities — is available on our website or upon request by calling AFS. The fund files its proxy voting record with the U.S. Securities and Exchange Commission (SEC) for the 12 months ended June 30 by August 31. The proxy voting record is available free of charge on the SEC website at sec.gov and on our website.

 

New Perspective Fund files a complete list of its portfolio holdings