The firm's Parent rating falls to Average from Above Average.
American Beacon is among the few shops where subadvisors manage the entire lineup. A private equity consortium bought the firm in 2008; current majority owner Kelso & Company gained control in 2015 and reorganized it under parent company Resolute Investment Managers, a multi-affiliate brand that Kelso and American Beacon leadership created. Kelso is now looking to exit its investment, and after failing to find a buyer in 2021, it's attempting again in 2022. New ownership could contribute to big changes. As a past example, American Beacon launched a wave of new funds after Kelso took control, many of which have already been liquidated.
Executive turnover gives pause, too. In April 2022, longtime CEO Gene Needles left suddenly, removing a point of continuity amid changing owners. Jeff Ringdahl (Resolute's current CEO and American Beacon's former COO) replaced him. Ringdahl is focused on growth and diversifying the lineup by asset class and vehicle type, so further product launches or acquisitions are likely. Though the firm has hired some strong subadvisors for certain funds, results across its broader lineup are mixed, and fees have grown increasingly uncompetitive relative to some of its peers.