My parents have a slug of american funds in a capital group 403b. if I take their 25 years of investing in it and compare that to a risk adjust index portfolio its basically cost them about 100bps a year. some of that is because they are in R2 shares which are i think the most expensive share class. (they don't pay much in 403b fees so I assume thats the reason) When I ran it with F1 it was much closer.

Are you using MFO premium to screen for the =< 20% for the Mag 7?
Just brute force, I'm afraid. Sorted funds by 3 year returns and looked at their portfolios. Time consuming, but it had the benefit of getting me to glance at many funds I'd never heard of. (I've found that playing with numbers though tedious usually offers some enlightenment.)
Also, some of the funds hold over 20% in Mag 7 but under 20% in their top 10 holdings.
For example, M* reports that AICFX had 18.8% of assets in Mag 7 in its top 10 holdings (Microsoft 6.4%, Meta 4.5%, Amazon 3.6%, Nvidia 2.3%, Alphabet C 2.1%). Apple (1.89%) and Alphabet A (1.83%) are among its next ten holdings.
While I'm not much of a fan of American Funds since they became so large and FD came around, I do appreciate their management style and the ability to hover around their indexes while reducing risk in many instances (usually by including 8-15% international stocks)
I used to think of American Funds as Vanguard plus a load, i.e. relatively cheap, well managed, nothing extreme. Perhaps due to growth, American Funds offerings have become more homogenous as you've observed, though now more accessible (e.g. F1 shares). Vanguard has gone in other directions, with various less-than-successful launches such as alternative investments (VASFX closed April 19, 2023) and managed payout funds (three different offerings merged into one in 2014 and payouts terminated in 2020).
The R-1 class his no 12-b-1 fee.
R-5 or higher?

I've been looking through LC Bl funds that have done well over the past three years without having gorged on the Mag 7, while also having turned in good performances YTD. Ideally I'd also like them to have more than a smattering of foreign stocks (indicating more flexibility).
If I use 20% Mag 7 as a threshold (as of a couple of weeks ago), AFIFX comes in well under the wire at 17.5%. And it typically holds over 15% foreign (per M* analysis); currently 16.5%. In contrast, AICFX misses the cut at 22.5% Mag 7 (about 30% more), and it holds just half as much in foreign stocks (8.6%).

Oooh, that's the kind of screening I like. :)
I also like to look at returns from 2022 and 2020.
Are you using MFO premium to screen for the =< 20% for the Mag 7?
BTW, my interest in the old Washington Mutual eligibility list was mostly historical curiosity. It's always interesting to look back at what people believed would be prudent.

AI analysis always reminds me of the sort of stuff humans of my age generated in college papers that were required to fill ten pages when the human didn't really have much to say after two pages.
I have no idea what college students have to churn out these days, but I'm sure most old timers would agree that it isn't as good as it was in their day.

I've encountered MANY AI-generated papers. Heck, students will use AI to generate/type their emails to faculty, too. It's ugly with a capital-U. :(

@WABAC why AMFFX and not their corresponding ETF, CGCV?

No particular reason to begin with. Funds accrete over time, and some slough off after a while. There are only 100 spaces, and I like to keep five open.
But now that I think about it, the OEF version has a longer track record for looking at performance over time. If they're one for one the same I would look at the ER before making a purchase decision.
Do you know if Capital group structures its etf's the way Vanguard does?

Thanks for your input @Old_Joe. I’m hesitant to list funds I own because what’s appropriate for me might be too aggressive or too lame for another. But one I’ve watched for years and finally picked up recently is BAMBX. the “Geritol” of funds. Lewis Braham did a very nice write up on it in Barron’s in November 2020.

good blog, but eddy is assuming behavior derived from typical capital\economic mkt cycles.
he could still be directionally correct, but with far greater number of exceptions due to fiscal policy weight.
there exists some piecemeal research effort to capture this for fwd estimates.
i may post this again elsewhere due to its greater relevance :
https://excessreturnspod.com/podcast/excess-returns/episode/blind-to-power-the-hidden-investing-risk-of-rising-strongmen-peter-atwater

Morningstar announced the nominees for the 2025 Morningstar Awards for Investing Excellence.
Eligibility requirements include an analyst-assigned M* Medalist Rating of Bronze
or higher and a People Pillar rating of Above Average or High.
M* will announce the winners in early July.
Outstanding US Equity Portfolio Manager Nominees
Will Danoff - Fidelity Contrafund
Bill Nygren - Oakmark, Oakmark Select
David Samra - Artisan International Value
https://www.morningstar.com/funds/morningstar-awards-investing-excellence-outstanding-equity-portfolio-manager-nominees
Outstanding Fixed-Income Portfolio Manager Nominees
Richard D. Figuly - JPMorgan Core Bond
Bryan C. Krug - Artisan High Income
Ford E. O’Neil - Fidelity Advisor Total Bond
https://www.morningstar.com/bonds/morningstar-awards-investing-excellence-outstanding-fixed-income-portfolio-manager-nominees
Outstanding Allocation Portfolio Manager Nominees
Michael Gates - BlackRock Target Allocation ETF series
David Giroux - T. Rowe Price Capital Appreciation
Phil Green - BlackRock LifePath Dynamic Fund series
https://www.morningstar.com/funds/morningstar-awards-investing-excellence-outstanding-allocation-portfolio-manager-nominees

”Overall, individual investors are still buying stocks more than they are selling. But a rally-chasing shopping spree cooled significantly in May … Retail traders bought $23 billion worth of equities in May, according to a JPMorgan Chase report, down roughly $17 billion from the month prior. Last week, individual investors sold a net $400 million worth of individual stocks, the bank’s analysts found.”
Link to article (republished at MSN)

Jeff is wise since high yield bonds have positive asset correlation to stocks, while high quality investment grade bonds do not. Junk bonds are vulnerable to severe drawdown such as 2020 pandemic. Treasury, on the other hand, held we well.

https://www.sec.gov/Archives/edgar/data/1111565/000174177325002495/c497.htm
June 11, 2025
BNY MELLON FUNDS TRUST
BNY Mellon Income Stock Fund
Supplement to Summary Prospectus, Prospectus and Statement of Additional Information
The Board of Trustees of BNY Mellon Funds Trust (the “Trust”) has approved, subject to shareholder approval, the conversion of BNY Mellon Income Stock Fund (the “Fund”), which currently operates as a mutual fund, into an exchange-traded fund (“ETF”). If approved by Fund shareholders, the Fund will be converted into an ETF through its reorganization with and into BNY Mellon Enhanced Dividend and Income ETF (the “Acquiring ETF”) pursuant to an Agreement and Plan of Reorganization (the “Agreement”) between the Trust, on behalf of the Fund, and BNY Mellon ETF Trust II (“ETF Trust II”), on behalf of the Acquiring ETF. Accordingly, if the reorganization is approved by Fund shareholders, the Fund will transfer its assets to the Acquiring ETF, in exchange for whole shares of the Acquiring ETF and the assumption by the Acquiring ETF of the Fund’s liabilities (the “Reorganization”). Upon consummation of the Reorganization, Acquiring ETF shares received by the Fund will be distributed to Fund shareholders, with each shareholder receiving a pro rata distribution of the Acquiring ETF shares received by the Fund, for Fund shares held prior to the Reorganization. If approved by Fund shareholders, the Reorganization will be consummated on or about the close of business on December 5, 2025 (the “Closing Date”). After the Reorganization, the Fund will cease operations and will be terminated as a series of the Trust.
Importantly, as described in more detail below, in order to receive Acquiring ETF shares as part of the conversion, Fund shareholders must hold their shares through a brokerage account that can accept shares of an ETF. Please see the Q&A below for additional actions Fund shareholders can take in order to receive ETF shares in the conversion if such shareholders do not currently hold Fund shares through a brokerage account that can accept shares of an ETF.
The Acquiring ETF is a newly-created series of ETF Trust II and will carry on the business of the Fund and assume its performance and financial records. The Acquiring ETF will have the same investment objective and similar investment strategies as the Fund. BNY Mellon Investment Adviser, Inc. (“BNY Adviser”) is the investment adviser to the Fund and BNY Mellon ETF Investment Adviser, LLC (“BNY ETF Adviser”), an affiliate of BNY Adviser, will serve as the investment adviser to the Acquiring ETF. Newton Investment Management North America, LLC (“NIMNA”), the Fund’s current sub-adviser, will serve as the sub-adviser to the Acquiring ETF and, subject to BNY ETF Adviser’s supervision and approval, provide the day-to-day management of the Acquiring ETF’s investments. The current primary portfolio managers of the Fund will manage the Acquiring ETF. The Acquiring ETF will be overseen by a different board, and will have certain different third-party service providers, than the Fund. The Acquiring ETF will not commence investment operations until the Reorganization is consummated.
The Trust’s Board unanimously concluded that reorganizing the Fund into the Acquiring ETF is in the best interests of the Fund and that the interests of the Fund’s shareholders will not be diluted as a result of the Reorganization. BNY Adviser believes that the Reorganization will permit the Fund’s shareholders to pursue similar investment goals in the Acquiring ETF, which has a lower management fee and an estimated lower total annual expense ratio than the Fund. Management also believes that the Reorganization should provide certain other potential benefits for the Fund’s shareholders, including greater tax efficiency, the ability to purchase and sell shares throughout the trading day at the then-prevailing market price on an exchange, less cash drag on performance, and lower portfolio transaction costs.
It is currently contemplated that shareholders of the Fund as of July 14, 2025 (the “Record Date”) will be asked to approve the Agreement on behalf of the Fund at a special meeting of shareholders to be held on or about September 10, 2025.
As a condition to the closing of the Reorganization, the Fund will receive an opinion of counsel to the effect that, for federal income tax purposes, the Reorganization will qualify as a tax-free reorganization and, thus, no gain or loss will be recognized by the Fund, the Fund’s shareholders or the Acquiring ETF as a direct result of the Reorganization. Fund shareholders may, however, be required to recognize gain or loss if their shares are redeemed, in whole or in part, in connection with the Reorganization.
If the Reorganization is approved, each shareholder who holds their Fund shares through an account that may hold Acquiring ETF shares (a “Qualifying Account”), as described below, will become a shareholder of the Acquiring ETF on the Closing Date and will no longer be a shareholder of the Fund. Such shareholders will receive shares of the Acquiring ETF with an aggregate net asset value equal to the aggregate net asset value of their investment in the Fund immediately before the Reorganization. In addition, approximately two business days before the Reorganization, any fractional shares of the Fund held by shareholders will be redeemed at the current net asset value and the Fund will distribute the redemption proceeds in cash to those shareholders.
If the Reorganization is approved, each shareholder who holds their Fund shares through an account that is not permitted to hold Acquiring ETF shares (a “Non-Qualifying Account”), as described below, will not receive Acquiring ETF shares in connection with the Reorganization. Instead, depending on the type of account through which such shareholder holds their Fund shares, the shareholder will either receive cash or Wealth shares of Dreyfus Government Cash Management, a government money market fund advised by BNY Adviser and sub-advised by Dreyfus, a division of Mellon Investments Corporation, an affiliate of BNY Adviser. The redemption or transfer of such shareholder’s investment may be subject to tax.
The Acquiring ETF offers one class of shares and does not issue fractional shares. If the Reorganization is approved, Class A, Class C, Class I, Class Y, and Investor shares of the Fund will be converted into Class M shares of the Fund (without a contingent deferred sales charge (“CDSC”) or other charge). The share class conversion is expected to occur approximately two weeks before the Closing Date. The Fund’s exchange privilege (exchanges into and out of the Fund with other series of the Trust) will be terminated on or about November 21, 2025.
In addition, approximately two weeks before the Reorganization, the Fund may, if deemed advisable by management of BNY Adviser, effect a share split (either forward or reverse) to approximate the net asset value per share of the Acquiring ETF. After such share split (if any), any fractional shares held by shareholders will be redeemed approximately two business days before the Closing Date, as noted above. The distribution to shareholders of such redemption proceeds, which is expected to be a small amount, will likely be a taxable event to shareholders who hold their shares in a taxable account and shareholders are encouraged to consult their tax advisors to determine the effect of such redemption.
If the Reorganization is approved, effective on the first business day of the month following Fund shareholder approval of the Reorganization, (i) the CDSC applicable to Class C shares (and Class A shares, if applicable) of the Fund will not be imposed on redemptions made by shareholders of the Fund, (ii) the applicable front-end sales load will not be imposed on investments in the Fund’s Class A shares, (iii) the Fund’s 12b-1 and shareholder services plan fees will be waived, and (iv) any letters of intent will be closed out. In addition, effective on the first business day following Fund shareholder approval of the Reorganization, no investments for new accounts will be permitted in the Fund (with the exception of new accounts for clients of BNY Wealth, certain retirement plans, certain wrap programs and existing Fund shareholders who are transferring their Fund accounts to a brokerage or other account that is eligible to hold Acquiring ETF shares). The reinvestment of dividends and capital gains distributions will continue to be permitted. To the extent investments are made in the Fund on or after the first business day of the month following Fund shareholder approval of the Reorganization, the Fund’s distributor will not compensate financial institutions (which may include banks, securities dealers and other industry professionals) for selling Class C shares or Class A shares subject to a CDSC at the time of purchase. Approximately two business days prior to the Closing Date, the Fund will be closed to all purchases and redemptions...

Shareholders who have been enduring large taxable capital gain distributions brought on by actively managed fund redemptions stand to get some relief if this application is approved.

I am now reminded of the very limited coverage that all the conservative "news" networks gave the events of Jan 6, as they unfolded in real time at our nation's capital. And how Fox eliminated all the violence and destruction from the video footage they eventually released. Such a peaceful day it was.

This is like saying that the inflation that occurred in 2022 didn't really happen because the events leading to it took 18 months to percolate. Talk about unfurling the "Mission Accomplished" banner prematurely.
It might even take longer than it took in 2020-2022, because the tariffs are not happening all at once, in the trillions of dollars, like the stimulus was dumped on the economy. The tariffs will be far more spread out in time, as people and companies make purchases.

have NEVER been able to find a shuggi interview, but was surprised to hear a few things here :
- would not invest in tsla@95% shareprice cut. uncharacteristic hyberbole; made me quite happy. probably tied to general comments later on ceo\mgmt checklist.
- no discount in price valution ratios for quality firms below largecap space.
- failed to mention what % revenue&profit for his american companies is foreign, lessening need to add intnl equity. (yes, its picky)
giroux makes me feel his multi-asset risk aware GARP approach can meet any challenge, and i have to guard against taking capital gains elsewhere to make him the family's #1 manager displacing primecap group.

Moody's says watch out. Per Reuters:

The rapid growth in retail investors, who put their money into private markets, could create liquidity and asset quality risks, Moody's Ratings warned on Tuesday, highlighting potential vulnerabilities within the private credit sector.
/snip
the shift is also raising concerns about transparency, liquidity, and underwriting standards, as firms race to deploy capital amid limited supply of high-quality assets.

Let's see, limited supply, and yet everybody now wants to retail it. Hmmm.

plus, he disliked musk long before that was cool.
sadly that, plus remaining a whipped value investor, is among the few things we have in common.
https://www.businessinsider.com/elon-musk-attacks-greenlight-capital-david-einhorn-on-twitter-2019-11?op=1

@hank, I thought you are holding D&C Balance fund

@Sven - For about 20 years beginning around 2000 I did have money directly at D&C and owned various funds there including DODBX. I got completely out a year or so after moving everything to Fidelity (around 2020-21). Fidelity makes it difficult to buy & sell D&C funds w/o commission.
What you are probably remembering is I recently posted that one reason I never got seriously into PRWCX (owned a bit in a traditional IRA) was my investment in DODBX (inside a Roth) at the same time.
Thanks for comment.

https://www.cnbc.com/2025/06/08/revenge-tax-trumps-spending-bill.html
“Wall Street investors are shocked by [Section] 899 and apparently did not see it coming,” James Lucier, Capital Alpha Partners managing director, wrote in a June 5 analysis."
If enacted as written, the provision could have “significant implications for the asset management industry,” including cross-border income earned by hedge funds, private equity funds and other entities, Ernst & Young wrote on June 2.
Passive investment income could be subject to a higher U.S. withholding tax, as high as 50% in some cases, the company noted. Some analysts worry that could impact future investment.
The Investment Company Institute, which represents the asset management industry serving individual investors, warned in a May 30 statement that the provision is “written in a manner that could limit foreign investment to the U.S.”

I held OTCFX at TRP for decades. Until I realized that the long term gains that I had accrued were in danger of washing out. I began selling several years ago and am now down to zero. I exited while my annualized gains were still ~17%. It was a good run.
Not sure I will ever wade back in. Can we even predict how tariffs will impact small caps?