American Beacon Ionic Inflation Protection ETF
Key Statistics
Historical Performance
Total return including reinvested distributions, from adjusted closing prices.
Price History
Price history is being compiled for this fund.
Top Holdings
Top 14 holdings as of Jan 31, 2026 · source: SEC N-PORT. Full holdings & prospectus →
About CPII
Undernormal circumstances, the Fund invests at least 80% of its net assets, plus the amount of any borrowings for investment purposes, in investmentsthat provide protection against U.S. inflation.Inflationrefers to a general rise in prices throughout the U.S. economy, which the Fund will measure using the non-seasonally adjusted U.S. City Average All Items Consumer Price Index for All Urban Consumers (the “CPI-U”) published monthly by theBureau of Labor Statistics of the U.S. Department of Labor. The Fund seeks to provide investors with protection against the negative impactof inflation by generating positive returns when inflation is elevated and/or rising. For purposes of the 80% policy stated above, theFund considers the following investments to provide protection against U.S. inflation: ■ inflation swaps; ■ options on U.S. interest rate swaps (“swaptions”); ■ U.S. Treasury Inflation-Protected Securities (“TIPS”); and ■ exchange-traded funds (“ETFs”) that themselves have policies to invest at least 80% of their assets in inflation-protected investments. InvestmentProcessIonic Capital Management LLC, the Fund’s investment sub-advisor (the “Sub-Advisor”), utilizesa proprietary process to construct the Fund’s investment portfolio. In seeking to achieve its investment objective, the Fund investsin: (i) inflation swaps designed to increase in value when realized inflation or inflation expectations exceed the fixed-rate referencedin such inflation swaps; (ii) TIPS directly with varied maturities on a rolling basis and indirectly through ETFs; and (iii) swaptionsdesigned to increase in value when inflationary environments lead to increases in nominal interest rates or interest rate expectations.In addition, under certain market conditions, the Sub-Advisor may choose to use interest rate swaps to hedge the Fund’s swaptionexposure. The Fund may also invest in U.S. Treasury bills, notes, and bonds of varying maturities. Additionally, the Fund may invest inother ETFs that primarily invest in such U.S. Treasury securities. The Fund may sell an investment if the Sub-Advisor determines the investmentis no longer in alignment with the Fund’s principal investment strategies, in response to changing market conditions or in responseto Fund cash flows.InflationSwapsSwaps are contracts where one party “swaps” one type of cash flow for a different type of cash flow. Inflationswaps are derivative instruments that trade over-the-counter, which means they trade in a broker-dealer network, as opposed to on a centralizedexchange. The Fund will primarily enter into inflation swaps that reference the CPI-U. For these inflation swaps, one party agrees topay to the other party the percentage increase in CPI-U during the term of the swap, while the other party agrees to pay back a fixedrate. This means the inflation swaps held by the Fund will typically increase in value if inflation increases. Likewise, inflation swapsheld by the Fund will typically decrease in value if inflation decreases. The Sub-Advisor will primarily focus on 5-year, zero-couponinflation swaps tied to the level of CPI-U that are designed to increase in value when realized inflation or inflation expectations exceedthe fixed-rate referenced in those swaps.InterestRate Swaps and SwaptionsInterest rate swaps are essentially the same as inflation swaps, except that the parties payeach other based on interest rate changes. The Fund will generally enter into interest rate swaps that exchange fixed-rate payments forfloating-rate payments, with interest paid at fixed intervals (e.g., quarterly) or only on the expiration date. Further, the Fund willgenerally enter into interest rate swaps only when the Sub-Advisor seeks to hedge the Fund’s swaption exposure.A swaption is an option on a swap agreement that gives the buyer the right, but not the obligation, to enter into a swap on a futuredate in exchange for paying a market-based “premium.” The Fund expects to focus on so-called “payer swaptions,”which give the owner (the Fund) the right to pay fixed-rate payments and, in exchange, receive floating rate payments.Likeinflation swaps, interest rate swaps and swaptions are derivative instruments that trade over-the-counter. The Fund’s interestrate swaps and swaptions will be tied to the level of U.S. interest rates. This means that swaptions held by the Fund will typically increasein value if interest rates rise, and decrease in value if interest rates fall. The Fund will generally purchase swaptions with an expirationof one to three years, although the Fund may purchase swaptions with shorter or longer expirations.U.S.Treasury Inflation-Protected Securities (“TIPS”)TIPS are marketable securities issued by the U.S. Treasury whoseprincipal is adjusted based on changes in the CPI-U. With inflation (an increase in the CPI-U), the principal increases, and with deflation(a decrease in the CPI-U), the principal decreases. The relationship between TIPS and inflation affects both the principal amount paidwhen a TIPS instrument matures and the amount of interest that a TIPS instrument pays semi-annually. When a TIPS instrument matures, theprincipal paid is the greater of the CPI-U adjusted principal or the original principal. TIPS pay interest at a fixed rate. However, becausethe fixed rate is applied to the CPI-U adjusted principal, interest payments can vary in amount from one period to the next. If the rateof inflation increases, the interest payment increases. If the rate of inflation decreases, the interest payment decreases. The Fund maypurchase TIPS of any maturity.TheFund may invest cash balances in a government money market fund advised by the Manager, with respect to which the Manager receives a managementfee. The Fund’s holdings may be frequently adjusted, which could result in high portfolio turnover. TheFund is non-diversified, which means that it is not limited to a percentage of assets that it may invest in any one issuer.
CPII News
Data for CPII is aggregated from third-party providers (Tiingo, Nasdaq, Finnhub) and SEC filings, may be delayed at least 20 minutes, and may be incomplete or contain errors. Nothing here is investment advice. Verify with the official prospectus before investing.