American Beacon Advisors Launches American Beacon Global Evolution Frontier Markets Income Fund

FORT WORTH, Texas, Feb. 25, 2014 /PRNewswire/ -- American Beacon Advisors ("American Beacon"), an experienced provider of investment advisory services to retail and institutional clients, today launched the American Beacon Global Evolution Frontier Markets Income Fund (Institutional Class: AGEIX, A Class: AGUAX).

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The American Beacon Global Evolution Frontier Markets Income Fund seeks to achieve its investment objectives by investing at least 80 percent of its net assets in debt instruments that are economically tied to frontier market countries. Frontier market countries are represented by countries typically characterized by developing financial markets as well as developing economies and political systems. A frontier market country is one that is typically located in the Asia-Pacific region, Central or Eastern Europe, the Middle East, Central or South America, the Caribbean or Africa.

"We are excited to bring to U.S. investors a unique opportunity to participate in these markets," said Gene L. Needles, American Beacon President and Chief Executive Officer. "With limited overlap and lower volatility than the most common emerging market indexes, this Fund offers investors and advisors a complement to their total portfolio strategy."

The Fund's sub-advisor, Global Evolution USA, LLC ("Global Evolution"), a unit of Denmark-headquartered Global Evolution A/S, has distinguished itself with its singular focus and long-standing expertise in the sovereign debt of emerging and frontier market countries since its founding in 2007. In making investment decisions for the Fund, Global Evolution begins with a top-down approach to assess global macro-economic factors that affect the relationships between developed, emerging and frontier countries, and a bottom-up process to determine the countries in which the portfolio will invest.

"We will focus this new Fund on capturing excess returns by identifying attractive income strategies within a universe of unappreciated global economic, political, social and financial developments," said Morten Bugge, Global Evolution Chief Investment Officer. 

About American Beacon Advisors

Established in 1986, American Beacon Advisors, Inc. is an experienced provider of investment advisory services to institutional and retail markets. 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 low-cost 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 December 31, 2013, American Beacon Advisors had $53.3 billion in assets under management.

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, please contact your financial advisor, call 800-967-9009 or visit americanbeaconfunds.com. The prospectus and summary prospectus should be read carefully before investing.

Investing in fixed-income securities entails interest rate risk, which is the risk that fixed-income securities will decrease in value with increases in market interest rates. Frontier market debt may be particularly sensitive to interest rate fluctuations. Credit risk is the risk that the issuer of a bond will fail to make timely payment of interest or principal. Emerging and frontier market countries have experienced difficulty in servicing their sovereign debt on a timely basis, which has led to defaults and the restructuring of indebtedness. The decline in an issuer's credit rating can cause the price of its bonds to go down. 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 risks of investing in foreign securities are magnified when investing in emerging and frontier markets. Frontier market countries generally have smaller economies and less developed capital markets or legal, regulatory and political systems than traditional emerging market countries. It may be particularly difficult to enforce the rights of debt holders in frontier and emerging markets. Derivatives may involve certain costs and risks such as liquidity, interest rate, market, credit/counterparty, management and the risk that a position could not be closed when more advantageous. The Fund may invest significantly in a derivative type called a credit-linked note, which is a debt obligation the performance of which is tied to underlying sovereign debt. Investing in derivatives could result in losing more than the amount invested. Because the Fund may invest in fewer issuers than a more diversified portfolio, the fluctuating value of a single holding may have a greater impact on the value of the Fund. Please see the prospectus for a complete discussion of the Fund's risks. There can be no assurances that the investment objectives of the Fund will be met.

Distributed by Foreside Fund Services, LLC.

American Beacon is a registered service mark of American Beacon Advisors, Inc. American Beacon Funds and American Beacon Global Evolution Frontier Markets Income Fund are service marks of American Beacon Advisors, Inc.

SOURCE American Beacon Advisors

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