American Beacon TwentyFour Short Term Bond Fund (TFBYX)
The Fund’s investment objectives are to seek a positive return based on a combination of income and, secondarily, capital growth.
Overview
SHORT-TERM BOND FUND WITH A GLOBAL APPROACH
TwentyFour, a boutique investment firm in New York, provides a global perspective on fixed-income investments that is unique among U.S. managers in the credit sector. The firm is a subsidiary of TwentyFour Asset Management LLP in the U.K. TwentyFour offers highly transparent products and seeks to achieve risk-adjusted returns while retaining a strong focus on capital preservation. Accordingly, TwentyFour has the capability to use a wide range of investment tools to pursue the best possible returns while adhering to rigorous, detail-oriented investment guidelines.
Firm inception: 2008
Portfolio Managers:
- Graeme Anderson; industry since 1986
- Chris Bowie; industry since 1992
- Gordon Shannon; industry since 2007
- Jack Daley; industry since 2011
- Johnathan Owen; industry since 2018
DISTINGUISHING CHARACTERISTICS
- TwentyFour believes environmental, social and governance factors may have an effect on the value of their investments and thus strives to enhance investor returns and play a part in promoting better ESG outcomes.
- Target returns of 250 basis points (2.50%) over short-term interest rates after fees, with volatility below 3%.
- Short-dated, long-only, low-risk income fund with a maximum weighted-average maturity of three years.
- Developed-market global opportunity set.
- All bonds hedged to USD, so investors are not exposed to any currency risk.
- Strong focus on security selection while seeking to generate alpha and lower risks.
- All bond positions are subject to a rigorous screening process to show they have the ability to deliver good return potential with low expected volatility.
| Fund Details as of 11/17/2025 | |
|---|---|
| Ticker | TFBYX |
| Inception Date | 2/18/2020 |
| Fund Share Class NAV | $8.96 |
|
Total Fund Assets ($M) as of 10/31/2025 |
10.2 |
|
Share Class Assets ($M) as of 10/31/2025 |
8.3 |
| Sub-Advisor % as of 9/30/2025 | |
|
TwentyFour Asset Management (US) LP100.0%
|
|
| Benchmark(s) | |
| ICE BofA 1-3 Year US Corporate Index | |
| CUSIP | 024526154 |
| Gross Expense Ratio (%) | 2.36% |
| Net Expense Ratio (%) 1 | 0.58% |
| Actual SEC 30-Day Yield (%) | 3.23 |
| Unsubsidized SEC 30-Day Yield (%) 2 | 0.97 |
Net asset value (NAV) is the value of one share of the portfolio excluding any sales charges.
Performance
Total Return
- Month End (as of 10/31/2025)
- Quarter End (as of 9/30/2025)
| Name/Class | QTR* | YTD* | 1 Year | 3 Year | 5 Year | 10 Year | Since Inception |
|---|---|---|---|---|---|---|---|
| TwentyFour Short Term Bond Fund (Y) | 1.53% | 5.00% | 5.96% | 6.62% | 3.15% | N/A | 3.02% |
| ICE BofA 1-3 Year US Corporate Index | 1.45% | 4.63% | 4.85% | 5.70% | 2.39% | N/A | 2.62% |
| Name/Class | QTR* | YTD* | 1 Year | 3 Year | 5 Year | 10 Year | Since Inception |
|---|---|---|---|---|---|---|---|
| TwentyFour Short Term Bond Fund (Y) | 1.36% | 4.34% | 5.29% | 6.75% | 3.04% | N/A | 2.95% |
| ICE BofA 1-3 Year US Corporate Index | 1.45% | 4.63% | 4.85% | 5.70% | 2.39% | N/A | 2.62% |
Performance shown is historical and is not 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.
*Not Annualized.
Important Information: All investing involves risk, including possible loss of principal. Indexes are unmanaged and one cannot invest directly in an index.
A portion of fees charged to each Class of TwentyFour Short Term Bond Fund has been waived since Fund inception. Performance prior to waiving fees was lower than actual returns shown for periods when fees were waived. Specific information about any Fund may be found in Performance Disclaimers or in the prospectus.
The ICE BofA 1-3 Year U.S. Corporate Index is an unmanaged index that tracks the performance of the U.S. dollar-denominated investment-grade public debt issued in the U.S. domestic bond market. Qualifying bonds must have at least one year but less than three years remaining term to maturity, a fixed coupon schedule and a minimum amount outstanding of $150 million.
The ICE BofA 1-3 Corporate Index is a product of ICE Data Indices, LLC and is used with permission. ICE® is a registered trademark of ICE Data Indices, LLC or its affiliates and BofA® is a registered trademark of Bank of America Corporation licensed by Bank of America Corporation and its affiliates (“BofA”), and may not be used without BofA’s prior written approval. The index data referenced herein is the property of ICE Data Indices, LLC, its affiliates (“ICE Data”) and/or its third party suppliers and, along with the ICE BofA trademarks, has been licensed for use by American Beacon Funds. ICE Data and its Third Party Suppliers accept no liability in connection with the use of such index data or marks. See prospectus for a full copy of the Disclaimer.
Portfolio
Country Weightings
as of 9/30/2025
| United Kingdom | 40.0% |
| United States | 17.4% |
| Germany | 13.2% |
| France | 11.0% |
| Netherlands | 6.5% |
| Spain | 5.2% |
| Sweden | 1.4% |
| Ireland | 1.4% |
| Italy | 1.4% |
| Australia | 1.4% |
Excludes cash and currency forwards.
Top Ten Industry Weightings
as of 9/30/2025
| Major Banks | 15.4% |
| Non-U.S. Government | 14.6% |
| Communications | 8.9% |
| U.S. Treasury | 7.6% |
| Utilities | 7.5% |
| Finance/Rental/Leasing | 7.1% |
| Corporate-Other | 5.5% |
| Multi-Line Insurance | 5.1% |
| Life/Health Insurance | 4.1% |
| Non-Agency Mortgage Backed | 3.8% |
Excludes foreign exchange holdings and cash.
Portfolio Statistics
as of 9/30/2025
| Effective Maturity (years) | 2.56 |
| Effective Duration (years) | 2.22 |
3-Year Risk Summary
as of 9/30/2025
| Standard Deviation | 1.53 |
Top Ten Holdings
as of 9/30/2025
| Holding | ||
|---|---|---|
| Government of Germany, 2.40%, Due 04/18/30 | 8.0% | |
| Rothesay Life Plc, 8.00%, Due 10/30/25 | 2.8% | |
| Nationwide Building Society, 5.75%, Due 10/01/75 | 2.8% | |
| SSE plc, 4.00%, Due 10/01/75 | 2.5% | |
| Societe Generale SA, 5.50%, Due 04/13/29 | 2.1% | |
| Twin Bridges 2021-1 Plc, 6.28%, Due 06/15/26 | 1.8% | |
| HSBC Holdings Plc, 8.20%, Due 11/16/34 | 1.6% | |
| Barclays PLC, 8.41%, Due 11/14/32 | 1.6% | |
| Deutsche Bank AG, New York Branch, 2.13%, Due 11/24/26 | 1.5% | |
| Yorkshire Building Society, 6.38%, Due 11/15/28 | 1.5% | |
| Total Fund Holdings | 65 | |
Duration Distribution
as of 9/30/2025
| 0 to 2 Years | 42.3% |
| 2 to 4 Years | 37.2% |
| 4 to 6 Years | 20.5% |
Asset Allocation
as of 9/30/2025
| Fixed Income | 98.3% |
| Cash | 1.7% |
Maturity Distribution
as of 9/30/2025
| 0 to 3 Years | 59.8% |
| 3 to 5 Years | 37.5% |
| 5 to 10 Years | 2.8% |
Excludes cash.
Currency Weightings
as of 9/30/2025
| U.S. Dollar | 99.8% |
| Non-U.S. Dollar | 0.2% |
Credit Quality
as of 9/30/2025
| U.S. Treasury | 7.6% |
| AAA | 10% |
| A | 4.9% |
| BBB | 64% |
| BB | 8% |
| Not Rated | 5.6% |
Reflects the rating assessed by Standard & Poor’s (S&P). If a security is not rated by S&P, the rating represents the rating assessed by Moody’s as converted to the equivalent S&P major rating category. Excludes cash.
The use of fixed-income securities entails interest rate and credit risks. Derivative instruments may be highly sensitive to market factors, have less liquidity than other investments and involve the potential for losses to exceed the amount invested. Interest rate risk is the risk that debt securities will decrease in value with increases in market interest rates. Credit risk is the risk that a debt issuer will fail to make timely payment of interest or principal; if the credit rating of an issuer declines, then the price of its debt securities may also decline. Investments in high-yield securities (commonly referred to as “junk bonds”), including loans, CLOs, restricted securities and floating-rate securities, are subject to greater levels of credit, interest rate, market and liquidity risks than investment-grade securities. Investing in foreign markets may involve heightened risk due to currency fluctuations and economic and political risks. The Fund may have high portfolio turnover risk, which could increase the Fund’s transaction costs and possibly have a negative impact on performance. To the extent the Fund invests more heavily in particular sectors, its performance will be sensitive to factors affecting those sectors. Financial sector companies are heavily regulated and particularly sensitive to interest rate fluctuations. To the extent the Fund invests more heavily in a particular country or geographic region, its performance will be sensitive to factors affecting that country or region. Geopolitical and other events have led to market disruptions causing adverse changes in the value of investments broadly. Changes in value may be temporary or may last for extended periods. The Fund’s incorporation of environmental, social and/or governance (ESG) considerations in it’s investment strategy may cause it to underperform other funds that do not incorporate these considerations. Please see the prospectus for a complete discussion of the Fund’s risks. There can be no assurance that the investment objective of this Fund will be met.
Prior to November 3, 2025, the American Beacon TwentyFour Short Term Bond Fund was named the American Beacon TwentyFour Sustainable Short Term Bond Fund.
Duration is a measure of price sensitivity relative to changes in interest rates. Standard Deviation is a measure of the historical volatility of the Fund’s returns.
S&P credit ratings for long-term obligations (or issuers thereof) are AAA, AA, A, BBB, BB, B, CCC, CC, C and D in decreasing order. For example, obligations rated AAA are judged to be of the highest quality, BBB to be of medium grade, CCC are judged to be speculative and obligations rated D are in default. Obligations rated in one of the four highest categories are considered to be investment grade while all other ratings are considered non-investment grade.
This may contain information obtained from third parties, including ratings from credit ratings agencies such as Standard & Poor’s. Reproduction and distribution of third-party content in any form is prohibited except with the prior written permission of the related third party. Third-party content providers do not guarantee the accuracy, completeness, timeliness or availability of any information, including ratings, and are not responsible for any errors or omissions (negligent or otherwise), regardless of the cause, or for the results obtained from the use of such content. THIRD-PARTY CONTENT PROVIDERS GIVE NO EXPRESS OR IMPLIED WARRANTIES, INCLUDING, BUT NOT LIMITED TO, ANY WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR USE. THIRD-PARTY CONTENT PROVIDERS SHALL NOT BE LIABLE FOR ANY DIRECT, INDIRECT, INCIDENTAL, EXEMPLARY, COMPENSATORY, PUNITIVE, SPECIAL OR CONSEQUENTIAL DAMAGES, COSTS, EXPENSES, LEGAL FEES OR LOSSES (INCLUDING LOST INCOME OR PROFITS AND OPPORTUNITY COSTS OR LOSSES CAUSED BY NEGLIGENCE) IN CONNECTION WITH ANY USE OF THEIR CONTENT, INCLUDING RATINGS. Credit ratings are statements of opinions and are not statements of fact or recommendations to purchase, hold or sell securities. They do not address the suitability of securities or the suitability of securities for investment purposes and should not be relied on as investment advice.
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