Investing in Global Companies for the Long Term

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Investing in Global Companies for the Long Term American Funds Insurance Series® Semi-annual report for the six months ended June 30, 2021 Investing in global companies for the long term American Funds Insurance Series, by Capital Group, is the underlying investment vehicle for many variable annuities and insurance products. For 90 years, Capital Group has invested with a long-term focus based on thorough research and attention to risk. Investing for short periods makes losses more likely. For current information and month-end results, visit capitalgroup.com/afis. For information about your insurance contract and month-end results, go to the website of the company that issued your contract. Investing outside the United States involves 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. Investing in small-capitalization stocks can involve greater risk than is customarily associated with investing in stocks of larger, more established companies. The return of principal for bond funds and for funds with significant underlying bond holdings is not guaranteed. Fund shares are subject to the same interest rate, inflation and credit risks associated with the underlying bond holdings. High-yield bonds are subject to greater fluctuations in value and risk of loss of income and principal than investment-grade bonds. Bond ratings, which typically range from AAA/Aaa (highest) to D (lowest), are assigned by credit rating agencies such as Standard & Poor’s, Moody’s and/or Fitch as an indication of an issuer’s creditworthiness. Hedge instruments, including exchange-traded futures contracts and exchange-traded put options, may not provide an effective hedge of the underlying securities because changes in the prices of such instruments may not track those of the securities they are intended to hedge. In addition, the managed risk strategy may not effectively protect the funds from market declines and will limit the funds’ participation in market gains. The use of the managed risk strategy could cause the funds’ returns to lag those of the applicable underlying funds in certain rising market conditions. Refer to the funds’ prospectuses and the Risk Factors section of this report for more information on these and other risks associated with investing in the funds. Investments are not FDIC-insured, nor are they deposits of or guaranteed by a bank or any other entity, so they may lose value. Fellow investors: Results for the American Funds Insurance Series for the periods ended June 30, 2021, are shown on the following pages, as well as results of the funds’ benchmarks. For additional information about the series, its investment results, holdings and portfolio managers, visit capitalgroup.com/afis. You can also access information about Capital Group’s American Funds and read our insights about the markets, retirement, saving for college, investing fundamentals and more at capitalgroup.com. Contents 1 Letter to investors 104 Asset Allocation Fund 2 Results at a glance 134 Global Balanced Fund Investment portfolios 147 The Bond Fund of America® 28 Global Growth Fund 169 Capital World Bond Fund® 33 Global Small Capitalization Fund 191 American High-Income Trust® 41 Growth Fund 210 American Funds Mortgage Fund® 48 International Fund 217 Ultra-Short Bond Fund 53 New World Fund® 219 U.S. Government Securities Fund® 66 Washington Mutual Investors Fund 227 Managed Risk Growth Fund 71 Capital World Growth and Income 229 Managed Risk International Fund Fund® 231 Managed Risk Washington Mutual 80 Growth-Income Fund Investors Fund 86 International Growth and Income 233 Managed Risk Growth-Income Fund Fund 235 Managed Risk Asset Allocation Fund 90 Capital Income Builder® 237 Financial statements American Funds Insurance Series 1 Fund results shown 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. Share 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/afis. For information about your insurance contract and month-end results, go to the website of the company that issued your contract. Results at a glance For periods ended June 30, 2021, with all distributions reinvested Inception Cumulative total returns Average annual total returns Class 1 shares date 6 months 1 year 5 years 10 years Lifetime Global Growth Fund 4/30/97 11.76% 40.24% 19.97% 13.82% 11.29% MSCI All Country World Index (ACWI)1 12.30 39.26 14.61 9.90 7.24 Global Small Capitalization Fund 4/30/98 10.86 48.91 18.03 10.77 10.78 MSCI All Country World Small Cap Index1 15.43 54.07 14.13 9.90 8.67 Growth Fund 2/8/84 13.03 53.72 25.84 17.88 14.02 Standard & Poor’s 500 Composite Index2 15.25 40.79 17.65 14.84 11.89 International Fund 5/1/90 4.71 34.76 12.27 6.96 8.42 MSCI All Country World Index (ACWI) ex USA1 9.16 35.72 11.08 5.45 6.19 New World Fund 6/17/99 10.21 42.32 15.30 7.72 9.42 MSCI All Country World Index (ACWI)1 12.30 39.26 14.61 9.90 6.07 Washington Mutual Investors Fund 7/5/01 15.14 36.86 12.16 12.34 7.40 Standard & Poor’s 500 Composite Index2 15.25 40.79 17.65 14.84 8.64 Capital World Growth and Income Fund 5/1/06 10.06 34.95 13.80 10.54 8.08 MSCI All Country World Index (ACWI)1 12.30 39.26 14.61 9.90 7.22 Growth-Income Fund 2/8/84 14.30 34.96 16.56 14.03 11.76 Standard & Poor’s 500 Composite Index2 15.25 40.79 17.65 14.84 11.89 International Growth and Income Fund 11/18/08 7.20 34.10 9.45 6.04 9.29 MSCI All Country World Index (ACWI) ex USA1 9.16 35.72 11.08 5.45 9.20 Capital Income Builder 5/1/14 9.85 22.58 7.22 — 5.60 70%/30% MSCI ACWI/Bloomberg Barclays U.S. Aggregate Index3 7.98 26.29 11.27 — 8.26 MSCI All Country World Index (ACWI)1 12.30 39.26 14.61 — 10.10 Bloomberg Barclays U.S. Aggregate Index4 –1.60 –0.33 3.03 — 3.34 Asset Allocation Fund 8/1/89 10.22 26.09 12.00 10.67 8.95 60%/40% S&P 500 Index/Bloomberg Barclays U.S. Aggregate Index5 8.28 23.02 11.89 10.39 8.92 Standard & Poor’s 500 Composite Index2 15.25 40.79 17.65 14.84 10.55 Bloomberg Barclays U.S. Aggregate Index4 –1.60 –0.33 3.03 3.39 5.81 Global Balanced Fund 5/2/11 6.10 20.72 10.11 7.57 7.17 60%/40% MSCI ACWI/Bloomberg Barclays Global Aggregate Index6 5.89 23.58 9.80 6.92 6.55 MSCI All Country World Index (ACWI)1 12.30 39.26 14.61 9.90 9.30 Bloomberg Barclays Global Aggregate Index4 –3.21 2.63 2.34 2.05 2.00 The Bond Fund of America 1/2/96 –0.67 2.45 3.91 3.84 4.80 Bloomberg Barclays U.S. Aggregate Index4 –1.60 –0.33 3.03 3.39 4.99 Capital World Bond Fund 10/4/06 –3.20 4.41 3.07 2.52 4.10 Bloomberg Barclays Global Aggregate Index4 –3.21 2.63 2.34 2.05 3.61 American High-Income Trust 2/8/84 6.62 21.11 8.13 6.02 8.72 Bloomberg Barclays U.S. Corporate High Yield 2% Issuer Capped Index4 3.61 15.34 7.47 6.65 N/A American Funds Mortgage Fund 5/2/11 –0.57 0.53 2.63 2.86 2.91 Bloomberg Barclays U.S. Mortgage Backed Securities Index4 –0.77 –0.42 2.27 2.64 2.72 Ultra-Short Bond Fund 2/8/84 –0.18 –0.27 0.88 0.33 3.26 Bloomberg Barclays Short-Term Government/Corporate Index4 0.11 0.25 1.47 0.90 N/A U.S. Government Securities Fund 12/2/85 –1.31 –0.14 2.85 3.01 5.71 Bloomberg Barclays U.S. Government/ Mortgage-Backed Securities Index4 –1.79 –2.01 2.25 2.72 6.07 2 American Funds Insurance Series Inception Cumulative total returns Average annual total returns Class P1 shares date 6 months 1 year 5 years Lifetime Managed Risk Growth Fund 5/1/13 7.56% 31.22% 18.32% 12.84% S&P 500 Managed Risk Index — Moderate Aggressive7 10.54 21.82 11.49 10.17 Managed Risk International Fund 5/1/13 2.73 20.86 7.91 3.94 S&P EPAC Ex. Korea LargeMidCap Managed Risk Index — Moderate Aggressive7 6.70 18.87 6.94 3.87 Managed Risk Washington Mutual Investors Fund 5/1/13 9.08 17.85 7.15 6.76 S&P 500 Managed Risk Index — Moderate7 8.97 19.02 10.48 9.33 Managed Risk Growth-Income Fund 5/1/13 8.82 18.76 12.42 9.64 S&P 500 Managed Risk Index — Moderate 7 8.97 19.02 10.48 9.33 Managed Risk Asset Allocation Fund 9/28/12 8.62 19.69 9.27 8.33 S&P 500 Managed Risk Index — Moderate Conservative7 7.57 16.61 9.55 8.86 The market indexes shown are unmanaged and, therefore, have no expenses.
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