American Beacon Retirement Income Fund

Fund information as of December 31, 2009
Fund Overview
Total Fund Assets: $114.9 Million
  Investor Class        
       
Inception Date 6/30/03    
Fund NAV $10.25    
CUSIP 02368A398    
Trading Symbol AANPX    
           
 
Investor Class shares are offered to all investors, including investors using intermediary organizations such as discount brokers or plan sponsors and retirement accounts.
 
Investment Advisors
 
American Beacon Advisors, Inc 73.8%
Calamos Advisors LLC 26.2%
   
Expense Ratios
 
  Investor Class        
           
Gross Expense Ratio 1.04%        
Net Expense Ratio1 N/A        
           
1The net expense ratio is net of expense reimbursements that American Beacon Advisors has voluntarily agreed to reimburse through February 28, 2010. The voluntary expense reimbursement can be chanted at any time by the manager without notice.
 
Investment Objective
A multi-manager Fund seeking income and capital appreciation by investing primarily in investment grade fixed-income securities and, to a lesser degree, in convertible and non-convertible debt obligations without regard to credit quality, as well as equity securities, warrants and options.
 
Investment Style

Approximately 75% of the Fund's total assets are invested in fixed-income securities considered investment grade at the time of purchase. In an attempt to enhance the return of the Fund beyond the income offered by investment grade fixed-income securities, the Fund's remaining total assets are invested in convertible and non-convertible debt obligations without regard to credit quality, as well as equity securities, warrants and options. The Fund seeks to maintain a weighted average duration of three-to-seven years in the investment grade fixed-income portion of the Fund. The average term to maturity of the fixed-income securities held in Calamos' portion of the Fund will typically range from three to ten years. In addition to fixed-income securites, Calamos may invest up to 40% of its portion of the Fund's total assets in equity stocks and U.S. dollar-denominated American Depositary Receipts.
 
Retirement Income Fund Total Returns
                           
 
QTR		  
YTD		  
1 YR		  
3 YR*		  
5 YR*		  
10 YR*
   Since
Inception*
                           
Investor Class 1.37   14.21   14.21   5.22   4.51   N/A   4.48
                           
Lipper Intermediate Investment Grade Index** 1.42   14.30   14.30   4.72   4.18   5.74   3.95
75 BC U.S. Gov/Cred Int/25 ML Conv.*** 1.66   15.61   15.61   4.83   4.44   5.24   4.58
 

Performance shown is historical and may not be indicative of future returns. Investment returns and principal value will vary, and shares may be worth more or less at redemption than at original purchase. Performance shown is as of date indicated and current performance may be lower or higher than the performance data quoted. To obtain performance as of the most recent month end, click here. Please note that the recent growth rate in the stock market has helped to produce short-term returns that are not typical and may not continue in the future.
 
Lipper Rankings
Category: Intermediate Investment Grade Debt Funds
  1 YR   3 YR   5 YR   10 YR
# of funds in category 549   458   395   N/A
               
Investor Class 222   219   158   N/A


Past performance is no guarantee of future results.

Lipper Quartile
Investor Class 2nd   2nd   2nd   N/A

Lipper is an independent rating service that ranks mutual funds in various categories by making comparative calculations using total returns.
 
Sector Weightings
Corporate 53.7%
U.S. Treasury 19.2%
Mortgage-Backed 18.6%
Asset-Backed 3.3%
U.S. Agency 2.9%
Other Government Related 2.0%
Convertable Obligations 0.3%
 
Credit Quality
Aaa 46.8%
Aa 7.0%
A 15.3%
Baa 8.1%
Less than Baa 22.8%
 
Asset Allocation
   
Fixed Income 75.4%
Convertible Obligation 13.8%
Cash Equivalents 5.9%
Equities 4.9%
 
Portfolio Statistics
     
Average Credit Quality   Aa2
Weighted Average Maturity (yrs)   6.5
Weighted Average Duration (yrs)   4.9
Weighted Average Coupon   5.0
 
 
Top Five Equity Holdings
PDF View All Holdings
 
Bank of America Corp. (FDIC Guaranteed), 2.100%, Due 4/30/2012 1.8%
Federal Home Loan Mortgage Corporation, Pool # G08079, 5.000%, Due 9/1/2035 1.8%
JP Morgan Chase & Co., 3.700%, Due 1/20/2015 1.3%
Federal Farm Credit Bank, 3.000%, Due 9/22/2014 1.2%
Federal Home Loan Mortgage Corporation, Pool # A73703, 5.000%, Due 4/1/2036 1.2%
 
Total Fund Holdings: 251

You should consider the investment objectives, risks, fees and expenses of any mutual fund carefully before investing. This and other information is available in the Fund's prospectus. Please read the prospectus carefully before investing.

IMPORTANT INFORMATION:
* Annualized.
** Lipper Intermediate Investment Grade Debt Funds. The Lipper Intermediate Investment Grade Debt Funds Index tracks the results of the 30 largest mutual funds in the Lipper Intermediate Investment Grade Debt Funds category. Lipper is an independent mutual fund research and ranking service.
*** 75% Barclays Capital Gov./Credit Intermediate Index / 25% Merrill Lynch All U.S. Convertibles Index. The Barclays Capital Gov./Credit Intermediate Index is an unmanaged index of investment grade corporate and government debt issues with maturities between one and ten years. The Merrill Lynch All U.S. Convertibles Index is an unmanaged index of domestic securities convertible into U.S. dollar-denominated common stock, ADRs or cash equivalents.

Investing in debt securities entails interest rate risk which is the risk that debt securities will decrease in value with increases in market interest rates. The four highest Moody’s ratings for long-term obligations (or issuers thereof) are Aaa, Aa, A and Baa. Obligations rated Aaa are judged to be of the highest quality, with minimal credit risk. Obligations rated Aa are judged to be of high quality and are subject to very low credit risk. Obligations rated A are considered upper-medium grade and are subject to low credit risk. Obligations rated Baa are subject to moderate credit risk. They are considered medium-grade and as such may possess certain speculative characteristics. Moody’s appends numerical modifiers 1, 2, and 3 to each generic rating classification from Aa through Caa. The modifier 1 indicates that the obligation ranks in the higher end of its generic rating category; the modifier 2 indicates a mid-range ranking; and the modifier 3 indicates a ranking in the lower end of that generic rating category.

 

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