I removed the transaction references from the hornetq-beans.xml, didn't see other transaction references in the other config files in the config/standalone/non-clustered folder.

<!-- The JMS Bridge -->

   <bean name="JMSBridge" class="org.hornetq.jms.bridge.impl.JMSBridgeImpl">

           <constructor>

               <!-- Source ConnectionFactory Factory -->

               <parameter>

                   <inject bean="SourceCFF"/>

               </parameter>

               <!-- Target ConnectionFactory Factory -->

               <parameter>

                   <inject bean="TargetCFF"/>

               </parameter>

               <!-- Source DestinationFactory -->

               <parameter>

                   <inject bean="SourceDestinationFactory"/>

               </parameter>

               <!-- Target DestinationFactory -->

               <parameter>

                   <inject bean="TargetDestinationFactory"/>

               </parameter>

               <!-- Source username (no username here) -->

               <parameter><null /></parameter>

               <!-- Source password (no password here)-->

               <parameter><null /></parameter>

               <!-- Target username (no username here)-->

               <parameter><null /></parameter>

               <!-- Target password (no password here)-->

               <parameter><null /></parameter>

               <!-- Selector -->

               <parameter><null /></parameter>

               <!-- Interval to retry in case of failure (in ms) -->

               <parameter>5000</parameter>

               <!-- Maximum number of retries to connect to the source and target -->

               <parameter>10</parameter>

               <!-- Quality of service -->

               <parameter>ONCE_AND_ONLY_ONCE</parameter>

               <!-- Maximum batch size -->

               <parameter>1</parameter>

               <!-- Maximum batch time (-1 means infinite) -->

               <parameter>-1</parameter>

               <!-- Subscription name (no subscription name here)-->

               <parameter><null /></parameter>

               <!-- client ID  (no client ID here)-->

               <parameter><null /></parameter>

               <!-- concatenate JMS messageID to the target's message header -->

               <parameter>true</parameter>

               <!-- register the JMS Bridge in the JMX MBeanServer -->

               <parameter>

                   <inject bean="MBeanServer"/>

               </parameter>

               <parameter>org.hornetq:service=JMSBridge</parameter>

           </constructor>

      <!--     <property name="transactionManager">

               <inject bean="TransactionManager"/>

           </property>

         --> 

           <!-- HornetQ JMS Server must be started before the bridge -->

           <depends>JMSServerManager</depends>

       </bean>

<!--

       <bean name="TransactionManager" class="com.arjuna.ats.internal.jta.transaction.arjunacore.TransactionManagerImple">

       </bean>

-->

13:37:35,558 INFO  [org.hornetq.core.server] HQ221003: HornetQ Server version 2.3.0.BETA3 (HornetQ sting, 122) [aaea1a2c-671c-11e2-9772-196f933b31ea]

13:37:35,642 ERROR [org.jboss.kernel.plugins.dependency.AbstractKernelController] Error installing to Start: name=JMSBridge state=Create: java.lang.IllegalStateException: unable to create TransactionManager from org.hornetq.integration.jboss.tm.JBoss5TransactionManagerLocator.getTm

        at org.hornetq.jms.bridge.impl.JMSBridgeImpl.getTm(JMSBridgeImpl.java:1000) [hornetq-jms-server.jar:]

Looks like the JMSBridgeImpl expects a TransactionManager to be defined and loaded, the getTM() will throw an exception if it can't load a transaction manager.

TransactionManager tm = getTm();

      // There may already be a JTA transaction associated to the thread

      boolean ok;

      Transaction toResume = null;

      try

      {

         toResume = tm.suspend();

         ok = setupJMSObjects();

      }

      finally

      {

         if (toResume != null)

         {

            tm.resume(toResume);

         }

      }

How can a default transactionmanager be packaged with HornetQ so it won't fail on startup when using the JMSBridge feature?

Will JMSBridge work with  IBM MQSeries endpoints if the HornetQ included with the latest JBoss is used instead of standalone?

I tried #4, which worked for me. 

Downloaded narayana-full-4.17.3.Final,   copied the transaction related jars from the lib folder tree into the hornetq lib folder.     After restart the server was able to load the transaction manager without exceptions.