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American Beacon Advisors and Man AHL Unveil New Mutual Fund

January 2, 2019

IRVING, Texas--(BUSINESS WIRE)--Jan 2, 2019--American Beacon Advisors, Inc. (“American Beacon”), a leading provider of investment advisory services to institutional and retail markets, has announced the launch of the American Beacon AHL TargetRisk Fund, a newly organized mutual fund based on the existing Man AHL TargetRisk multi-asset program. The Fund’s shares became available on December 31, 2018: Institutional Class (AHTIX), Investor Class (AHTPX) and Y Class (AHTYX).

The American Beacon AHL TargetRisk Fund aims to provide capital growth with a balanced, long-only approach, active risk management, and diversification across a broad range of markets. Its proprietary quantitative approach seeks to provide an excess return with a stable level of volatility regardless of market conditions. The Fund allocates its assets across equities, bonds, interest rates, corporate credit, and commodities, investing primarily in derivatives vehicles. The Fund’s sub-advisor is the London-based AHL Partners LLP (“Man AHL”), a wholly owned subsidiary of Man Group plc (“Man Group”), a global active investment management firm and one of the largest publicly listed global hedge fund providers.

“We’re thrilled to partner again with Man AHL to bring this new Fund to market,” Gene Needles, American Beacon’s chairman and chief executive officer, said. “We believe the launch of this strategy as a U.S. ’40 Act vehicle is timely. By design, this Fund is adaptive and capable of dynamically maneuvering through various market environments, potentially making it an attractive solution for investors seeking to diversify their portfolios as the U.S. bull market ages.”

Man AHL brings more than 30 years of experience in systematic trading and employs multiple techniques that aim to mitigate risk and maintain a steady level of volatility, potentially creating a more stable return stream. The TargetRisk strategy applies Man AHL’s three decades of experience in alternatives to long-only investment, and dynamic capital protection techniques aim to reduce drawdowns by adapting exposures using a quantitative approach.

“Since 2014, we’ve found American Beacon to be an ideal strategic partner for us and are pleased to be collaborating with them again,” Matthew Sargaison, co-chief executive officer and chief investment officer at Man AHL, said. “Their understanding of the industry and broad distribution network will allow more investors to access and potentially benefit from the strategy, at a time when many are concerned about market volatility.”

The American Beacon AHL TargetRisk Fund is the second American Beacon fund to be sub-advised by Man AHL, which also sub-advises the American Beacon AHL Managed Futures Strategy Fund (Institutional Class, AHLIX; Investor Class, AHLPX). American Beacon and Man Group also partnered to launch the American Beacon GLG Total Return Fund (Institutional Class, GLGIX; Investor Class, GLGPX) in May 2016.

About American Beacon Advisors

An investment affiliate of Resolute Investment Managers, Inc., American Beacon Advisors, Inc. is a leading provider of investment advisory services to institutional and retail markets. Established in 1986, American Beacon Advisors serves defined benefit plans, defined contribution plans, foundations, endowments, corporations and other institutional investors, as well as retail clients. The firm also provides corporate cash management and fixed-income separate account management. American Beacon Advisors manages the American Beacon Funds, a series of competitively priced mutual funds. The Funds employ a “manager of managers” investment style and currently include international and domestic equity, fixed-income and money market funds. As of September 30, 2018, American Beacon Advisors had $59.1 billion in assets under management; the affiliated companies of Resolute Investment Managers had $71.2 billion in assets under management. For more information, visit www.americanbeaconadvisors.com.

About Man Group

Man Group plc is a global active investment management firm, with $114.1 1 billion of client capital in liquid and private markets, managed by investment specialists based around the world. Headquartered in London, the firm has 15 international offices and operates across 25 jurisdictions. The business has five specialist investment engines, which represent the range of its capabilities: Man AHL, Man Numeric, Man GLG, Man FRM and Man GPM. Further information can be found at www.man.com.

About Man AHL

Man AHL is a specialized investment engine within Man Group, which employs diversified quantitative techniques to offer a range of strategies encompassing traditional momentum, non-traditional momentum, multi-strategy and sector-based approaches. Man AHL’s strategies are primarily alternative and seek to gain potential predictive, alpha-generating insights through rigorous analysis of large data sets. The team of 150 investment professionals, including 110 researchers, is comprised of scientists, technologists and finance practitioners, applying scientific rigor and advanced technology and execution to a diverse range of data in order to build systematic investment strategies, trading continuously over hundreds of global markets. Founded in 1987, Man AHL’s funds under management were $25.1 billion as of September 30, 2018. Further information can be found at www.man.com/ahl.

1 Combined AUM of all affiliated Man Group investment managers. Throughout this communication, reference to “Man Group” refers to all Man Group plc and its subsidiaries. All investment management services are offered through Man Group’s affiliated investment managers.

You should consider the investment objectives, risks, charges and expenses of the Fund carefully before investing. The prospectus and summary prospectus contain this and additional information regarding the Fund. To obtain a prospectus or summary prospectus, call 800.967.9009 or visit americanbeaconfunds.com. The prospectus and summary prospectus should be read carefully before investing.

Important Information: All investing involves risk including the possible loss of principal.

American Beacon AHL TargetRisk Fund: Investing in derivative instruments involves liquidity, credit, interest rate and market risks. The use of quantitative models may lead to high levels of trading and concentration among certain investments, resulting in higher trading costs and return volatility. The Fund’s investments in high-yield or junk-rated securities are subject to greater levels of credit, interest rate, market and liquidity risks than investment-grade securities. In a period of sustained deflation, inflation index-linked securities may not pay any income and may suffer a loss. Investing in foreign and emerging market securities may involve heightened risk due to currency fluctuations and economic and political risks. Regulatory changes may impair the Fund’s ability to qualify for federal income tax treatment as a regulated investment company, which could result in the Fund and shareholders incurring significant income tax expense. The Fund may have high portfolio turnover risk, which could increase the Fund’s transaction costs and possibly have a negative impact on performance. Because the Fund may invest in fewer issuers than a more diversified portfolio, the fluctuating value of a single holding may have a greater effect on the value of the Fund.

American Beacon AHL Managed Futures Strategy Fund: Investing in derivative instruments involves liquidity, credit, interest rate and market risks. The use of quantitative models may lead to high levels of trading and concentration among certain investments, resulting in higher trading costs and return volatility. Investing in foreign and emerging market securities may involve heightened risk due to currency fluctuations and economic and political risks. Regulatory changes may impair the Fund’s ability to qualify for federal income tax treatment as a regulated investment company, which could result in the Fund and shareholders incurring significant income tax expense. The Fund may have high portfolio turnover risk, which could increase the Fund’s transaction costs and possibly have a negative impact on performance. Because the Fund may invest in fewer issuers than a more diversified portfolio, the fluctuating value of a single holding may have a greater effect on the value of the Fund.

American Beacon GLG Total Return Fund: Investing in foreign and emerging market securities may involve heightened risk due to currency fluctuations and economic and political risks. Investing in derivative instruments involves liquidity, credit, interest rate and market risks. The use of fixed-incomesecurities entails interest rate and credit risks. Because the Fund may invest in fewer issuers than a more diversified portfolio, the fluctuating value of a single holding may have a greater effect on the value of the Fund.

Please see each Fund’s prospectus for a complete discussion of each Fund’s respective risks. There can be no assurances that the investment objectives of these Funds will be met.

American Beacon is a registered service mark of American Beacon Advisors, Inc. American Beacon AHL TargetRisk Fund, American Beacon AHL Managed Futures Strategy Fund and American Beacon GLG Total Return Fund are service marks of American Beacon Advisors, Inc.

The American Beacon Funds are distributed by Resolute Investment Distributors, Inc.

View source version on businesswire.com:https://www.businesswire.com/news/home/20190102005114/en/

CONTACT: Danielle Orsino

Water & Wall Group

646-343-9672

danielle@waterandwallgroup.com

KEYWORD: UNITED STATES NORTH AMERICA TEXAS

INDUSTRY KEYWORD: PROFESSIONAL SERVICES BANKING FINANCE

SOURCE: American Beacon Advisors, Inc.

Copyright Business Wire 2019.

PUB: 01/02/2019 09:00 AM/DISC: 01/02/2019 09:01 AM

http://www.businesswire.com/news/home/20190102005114/en

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