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American Beacon Mid-Cap Value Fund

Portfolio information as of September 30, 2014
  • Summary
  • Performance
  • Overview

Investment Objective

A multi-manager Fund seeking long-term capital appreciation and current income primarily through investments in mid-market capitalization U.S. stocks.

a TEAM OF MANAGERS

The Fund is sub-advised by three complementary asset managers:

  • Barrow: Constructs portfolios on a bottom-up basis, reflecting price-to-earnings and price-to-book ratios below the market and a dividend yield above the market.

  • LMCG: Focuses on stocks they believe are inexpensive and offer a high probability of modest outperformance rather than a low probability of high outperformance.

  • Pzena: Buys good businesses when they go on sale, focusing on companies whose stock price is low relative to normal earnings power; current earnings are below normal; and management has a reasonable plan for earnings recovery.

STRENGTH IN DIVERSIFICATION

The multi-manager approach brings diversification to the Fund and helps protect it from single-manager risk.

  • The Fund typically holds 140 to 160 positions.

  • Bottom-up portfolio construction lends itself to a portfolio that is well diversified at the security, industry and stock level.

  • Fund assets may include common and preferred stocks, convertible securities, American Depositary Receipts and foreign stocks traded on U.S. exchanges.

Total Fund Assets

$608.9 Million  

Sub-Advisors (%)

Lee Munder Capital Group, LLC 33.4
Pzena Investment Management, LLC 33.3
Barrow, Hanley, Mewhinney & Strauss, LLC 33.3

asset class spotlight:
Mid-cap stocks*



The Fund may invest in futures contracts, which are a type of derivative investment. Investing in derivatives could result in losing more than the amount invested. Investing in foreign securities entails additional risk not associated with domestic securities, such as currency fluctuations, economic and political instability and differences in accounting standards. The intrinsic value of stocks selected for the Fund may never be realized by the market, and the prices of value stocks may go down. While investing in value stocks may limit downside risk over time, the Fund may produce more modest gains than riskier stock funds as a trade-off for this potentially lower risk. The Fund invests in small and/or mid-sized companies, which involves additional risks such as limited liquidity and greater volatility than larger companies. Please see the prospectus for a complete discussion of the Fund’s risks. There can be no assurances that the investment objectives of this Fund will be met.

For a prospectus containing more information, including expenses, click here. Read it carefully before you invest or send money. Past performance is no guarantee of future results.

American Beacon Funds and American Beacon Mid-Cap Value Fund are service marks of American Beacon Advisors, Inc.