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American Beacon Treasury Inflation Protected Securities Fund

Portfolio information as of June 30, 2007

 

Investment Advisors


American Beacon Advisors, Inc. acts as the manager of the American Beacon Treasury Inflation Protected Securities Fund and currently allocates the Fund's assets, generally on an equal basis, between two sub-advisers:

 

Brown Brothers Harriman & Co. 50.0%
NISA Investment Advisors, LLC 50.0%

 


Investment Style


Ordinarily, at least 80% of the Fund's total assets are invested in inflation-indexed debt securities issued by the U.S. Treasury Department and backed by the full faith and credit of the U.S. Government. Up to 20% of the Fund's assets may be invested in inflation-indexed debt securities issued by U.S. Government agencies or instrumentalities (some of which are not backed by the full faith and credit of the U.S. Government), foreign governments, their agencies or instrumentalities, or U.S. and foreign corporations, as well as fixed income securities that are not indexed to inflation.

Under normal circumstances, the Fund's dollar-weighted average maturity is expected to be between five and twenty years.

Inflation-indexed securities, also known as inflation-protected securities, are fixed income instruments structured such that their interest and principal payments are adjusted in order to provide a total return exceeding inflation over the long term. Each inflation-indexed security is tied to a particular inflation index, such as the Consumer Price Index in the U.S. or a comparable measure of inflation in a foreign country. As changes occur in the inflation rate, as represented by the designated index, the value of the security's principal is adjusted by the same proportion. Interest payments are calculated by multiplying the security's fixed coupon rate determined at issuance by the adjusted principal and dividing by the number of interest payments per year.

 

Asset Allocation

Fixed Income
99.6%
Cash Equivalents
0.4%

 

 

Sector Weightings (%)

 
U.S. Treasury 98.6
Corporates 1.2
U.S. Agency 0.2
   

 

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Fixed Income Credit Quality (%)

 
Aaa 98.9
Aa 0.6
A 0.3
Unclassified 0.2
   

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Maturity Distribution (Years) (%)

0 to 1 0.4
1 to 3 17.0
3 to 5 22.4
5 to 7 20.8
7 to 10 38.9
10 to 15 0.0
15+ 0.0
Unclassified 0.5


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Click here to obtain a fund prospectus or call (800) 388-3344

Distributed by Foreside Fund Services, LLC.

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