American Beacon Mid-Cap Value Fund

Fund information as of September 30, 2008
Fund Overview
Total Fund Assets: $70.9 Million
  Institutional Class   PlanAhead Class®   Service Class
           
Inception Date 11/30/05   2/28/06   6/29/07
Class Assets $2.9 Million   $22.4 Million   $1 Thousand
Fund NAV $7.61   $7.59   $7.55
CUSIP 02368A315   02368A299   02368A273
Trading Symbol AACIX   AMPAX   AMCSX
Investment Minimum $2 Million   $2,500   $2,500
 
Fund Classes
 
Institutional Class shares are for those who make the decisions about where a company's pension funds or corporate cash will be invested or for others with at least $2 million to invest.
PlanAhead Class shares are offered to individual investors, retirement accounts, plan sponsors, discount brokers or other organizations.
Service Class shares are offered to all investors who invest through intermediary organizations, such as broker-dealers or third party administrators.
 
Investment Sub-Advisors
 
Barrow, Hanley, Mewhinney & Strauss, Inc. 50.6%
Pzena Investment Management, LLC 49.4%
Expense Ratios
 
  Institutional Class   PlanAhead Class   Service Class
           
Gross Expense Ratio 1.10%   1.27%   1.81%
Net Expense Ratio1 0.98%   1.23%   1.50%
           
1The net expense ratio is net of expense reimbursements that American Beacon Advisors has contractually agreed to maintain through February 28, 2009.
 
Investment Objective

A multi-manager Fund seeking long-term capital appreciation and current income primarily through investments in mid-market capitalization U.S. stocks with market capitalizations between $1 billion and the market capitalizations of the largest company in the Russell Midcap® Index at the time of investment.
 
Investment Style

The Fund's sub-advisors pursue a value style of investing. They select stocks that, in their opinion, have above-average earnings growth potential and are also selling at a discount to the market. To determine a company's growth prospects, each of the Fund's sub-advisors uses proprietary methods based upon a combination of internal and external research and analysis of changing economic trends. The value determination is based on each company's financial profile, including price-to-earnings ratio, price-to-book value ratio, assets carried below market value, financial strength, dividend yield and growth expectations.

The Fund's assets are invested primarily in stocks of U.S. companies with market capitalizations between $1 billion and the market market capitalizations of the largest company in the Russell Midcap Index at the time of investment. These may consist of common and preferred stocks, convertible securities, U.S. dollar-denominated American Depositary Receipts and U.S. dollar-denominated foreign stocks traded on U.S. exchanges.
 
Mid-Cap Value Fund Total Returns as of 9/30/2008
                         
 
QTR		  
YTD		  
1 YR		  
3 YR*		  
5 YR*		   Since
Inception*		  
                         
Institutional Class -7.31   -18.96   -24.57   -2.66   N/A   2.54  
PlanAhead Class -7.33   -19.08   -24.82   -2.86   N/A   2.42  
Service Class -7.36   -19.25   -24.96   -2.95   N/A   2.33  
                         
Lipper Index** -12.34   -19.02   -22.39   -0.37   N/A   3.74  
Russell Index *** -7.52   -15.46   -20.50   0.51   N/A   6.42  
 

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.
 
Lipper Rankings as of 9/30/2008
 
Category: Mid-Cap Value Funds
  1YR   3YR   5YR   10YR
# of funds in category 359   N/A   N/A   N/A
               
Institutional Class 244   N/A   N/A   N/A
PlanAhead Class 263   N/A   N/A   N/A
Service Class N/A   N/A   N/A   N/A
Lipper Quartile
 
Institutional Class 3rd   N/A   N/A   N/A
PlanAhead Class 3rd   N/A   N/A   N/A
Service Class N/A   N/A   N/A   N/A
 
Lipper is an independent rating service that ranks mutual funds in various categories by making comparative calculations using total returns.
 
Sector Weightings
Consumer Discretionary
   25.2
Financials
   24.7
Industrials
   14.6
Health Care
   10.8
Information Technology
   8.8
Utilities
   7.7
Consumer Staples
   5.1
Energy
   3.1
Materials
   0.0
Telecommunication Services
   0.0
 
Asset Allocation
   
Equity 88.4
Equitized Cash 11.6
 
Portfolio Statistics
     

Equity
 
Price/Earnings Ratio   10.3
Price/Book Ratio   1.7
Wtd. Avg. Mkt. Cap ($ bil)   5.8
   
3-Year Risk Summary  
R2   0.89
Alpha   -1.71
Beta   0.88
Sharpe Ratio   -0.43
Standard Deviation   11.60
 
Top Ten Equity Holdings (%)
PDF View All Holdings
 
L-3 Communications Holdings, Inc.
 3.2%
Alcatel-Lucent
 2.0%
Omnicare, Inc.
 2.0%
Rent-A-Center, Inc.
 1.9%
People’s United Financial, Inc.
 1.9%
Black & Decker Corp.
 1.8%
CA, Inc.
 1.8%
Lorillard, Inc.
 1.7%
Regis Corp.
 1.7%
IMS Health, Inc.
 1.7%
 
Total Fund Holdings: 81

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.

*Annualized
**Lipper Mid-Cap Value Funds. The Lipper Mid-Cap Value Funds Index tracks the results of the 30 largest mutual funds in the Lipper Mid-Cap Value Funds category. Lipper is an independent mutual fund research and ranking service.
***The Russell Midcap® Value Index is an unmanaged index of those stocks in the Russell Midcap® Index with lower price-to-book ratios and lower forecasted growth values. Russell Midcap Value Index is a registered trademark of Frank Russell Company. Lipper is an independent rating service that ranks mutual funds in various categories by making comparative calculations using total returns.

Investing in the securities of mid-capitalization companies involves greater risk and the possibility of greater price volatility than investing in larger capitalization and more established companies.

Performance shown prior to the inception of the Institutional Class is that of the AMR Class, which had a similar expense structure and performance to the Institutional Class. Performance shown prior to the inception of the PlanAhead Class is that of the AMR Class to 11/30/05 and the Institutional Class from 11/30/05 to 2/28/06. The returns have not been adjusted for any difference between the fees and expenses of the PlanAhead Class and the historical fees and expenses of the AMR and Institutional Classes. Because the AMR and Institutional Classes both had lower expenses, their performance was better than the PlanAhead Class would have realized during the same period. Performance shown prior to the inception of the Service Class is that of the AMR Class to 11/30/05, the Institutional Class from 11/30/05 to 2/28/06, and the PlanAhead Class from 2/28/06 to 6/29/07. The returns have not been adjusted for any difference between the fees and expenses of the Service Class and the historical fees and expenses of the AMR, Institutional, and PlanAhead Classes. Because the AMR, Institutional, and PlanAhead Classes had lower expenses, their performance was better than the Service Class would have realized during the same period. A portion of the fees charged to the Institutional and PlanAhead Classes has been waived since 2007 and 2006, respectively. A portion of the fees charged to the Service Class has been waived since its inception. Performance of the Institutional, PlanAhead, and Service Classes prior to waiving fees was lower than the actual returns shown for the respective periods that waivers were in effect.

Distributed by Foreside Fund Services, LLC.