Half-year Report

LEGAL ENTITY IDENTIFIER: 549300YM9USHRKIET173

INVESCO ASIA TRUST PLC

Half-Yearly Financial Report for the Six Months to 31 October 2021

Investment Objective

The Company’s objective is to provide long-term capital growth by investing in a diversified portfolio of Asian and Australasian companies. The Company aims to achieve growth in its net asset value (NAV) in excess of the Benchmark Index, the MSCI AC Asia ex Japan Index (total return, net of withholding tax, in sterling terms).

Financial Information and Performance Statistics

The Benchmark index of the Company is the MSCI AC Asia ex Japan Index (total return, net of withholding tax, in sterling terms).

  Total Return Statistics⁽¹⁾

  (dividends reinvested)

				Six Months to	Year ended
				31 October	30 April
				2021	2021
Net asset value (NAV)(1)(2)				–5.5%	56.4%
Share price(1)				–4.9%	58.5%
Benchmark index)(1)(2)				–6.2%	34.8%
Capital Statistics
				At	At
				31 October	30 April
				2021	2021	change %
Net assets (£000)				265,649	281,252	–5.5%
NAV per share(2)				397.36p	420.70p	–5.5%
Share price(1)				367.00p	386.00p	–4.9%
Benchmark index (capital)(1)(2)				1,107.98	1,195.23	–7.3%
Discount(2) per ordinary share				(7.6)%	(8.2)%
Average discount over six months/year(1)(2)				(9.3)%	(10.7)%
Gearing(2):
gross				nil	0.7%
net				nil	nil
net cash				(4.8)%	(0.9)%

(1)  Source: Refinitiv.

(2)  Alternative Performance Measures (APM), see pages 15 and 16 for the explanation and reconciliations of APMs. Further details are provided in the Glossary of Terms and Alternative Performance Measures in the Company’s 2021 Annual Financial Report.

Chairman’s Statement

Highlights:

• Share price total return –4.9% and NAV total return of –5.5%, both outperformed the benchmark index total return of –6.2%;

• Discount narrowed to 7.6%;

• Fiona Yang, appointed Co-Manager, working closely with Ian Hargreaves; and

• Normal format AGM held on 2 September 2021, post pandemic.

After spectacular performance in the Company’s year to 30 April 2021 (NAV up 56.4% vs the MSCI AC Asia ex Japan Index up 34.8%), it is no surprise to record a period of consolidation. In the subsequent six months it is encouraging that both our NAV and share price have slightly outperformed the index, even though all three were down a little in absolute terms. Over the six months to 31 October 2021, the NAV per share total return was –5.5%, the share price total return was –4.9% and the benchmark index total return was –6.2%.

The discount narrowed slightly from 8.2% to 7.6% over the period, trading in a range of 5.9% to 14.1% with an average of 9.3%.

The other highlight of the period was that we were able to hold our Annual General Meeting (AGM) in its normal format on 2 September 2021 with the formal AGM, a presentation from manager Ian Hargreaves and then further informal discussion with shareholders over drinks and nibbles.

We appointed Myriam Madden to the Board on 4 November 2021 with the intention of her taking over from Fleur Meijs as Audit Chair in early 2022. Fleur will take on additional responsibilities at UWC (United World College), an international network of schools, and has indicated she wishes to step down from our Board after serving six years. She has served the Company strongly and we wish her well in her new, time-consuming role. September 2022 will mark the AGM after the ninth anniversary of Owen Jonathan joining the Board, the point at which Directors usually retire. So we will shortly commence a search to find a replacement for Owen and the Board will settle back to its normal number of four Directors after Owen retires.

Shareholders will know that, in order to stimulate more demand for the Company’s shares, we try to provide a strong investment case and a strong corporate proposition at the same time.

The Investment Case

The investment case rests on accessing the attractions of Asian equity markets through the institutional expertise of Ian Hargreaves’ team at Invesco. The Asian team is strong  and well-resourced and we are pleased to have just announced that Fiona Yang, a key member of the team since 2017, is stepping up to become our Co-Manager and will be working even more closely with Ian both on our portfolio and meeting shareholders and potential investors. Their investment process can be summarised as “valuation not value” and has been very successful with what are called institutional clients such as pension funds and sovereign wealth investors.

Cumulative Total Return (dividends reinvested) to 31 October 2021⁽¹⁾

	One	Three	Five	Ten
	Year	Years	Years	Years
Net asset value (NAV)	19.1%	49.3%	61.5%	197.2%
Share price	25.7%	61.2%	69.4%	215.7%
Benchmark index(2)	6.4%	38.0%	48.5%	134.8%

(1)  Source: Refinitiv.

(2)  The benchmark index of the Company was changed on 1 May 2015 to the MSCI AC Asia ex Japan Index from the MSCI AC Asia Pacific ex Japan Index (both indices total return, net of withholding tax, sterling terms).

The Corporate Proposition

We strengthened our corporate proposition a year ago by introducing an enhanced dividend policy by which we pay a dividend of approximately 2% of NAV every six months, using our revenue and capital reserves to supplement portfolio income when necessary. We also announced a performance conditional tender offer through which the Board undertakes to effect a tender offer for up to 25% of the Company’s issued share capital at a 2% discount to prevailing NAV per share (after deduction of tender costs) in the event that the Company’s NAV cum-income total return performance over the five years to 30 April 2025 fails to beat the MSCI AC Asia ex Japan Index (net of withholding tax, total return in GBP) by 0.5% per annum over the five years on a cumulative basis.

The other aspects of our Corporate Proposition are listed in the 2021 Annual Financial Report’s Chairman’s Statement and include a three-yearly continuation vote (the next one being due in September 2022), engaging more individual shareholders, active use of gearing, “skin in the game” of Directors’ and managers’ shareholdings and a new, lower tiered management fee.

Update

From 31 October 2021 to 20 January 2022, the NAV total return has been +2.3%, outperforming the index return of -0.6%. The share price total return has been +1.3%, with the discount widening to 8.7%.

Outlook

It is fairly easy to identify the issues dominating the investment outlook for Asian equities but very difficult to predict which way they will go. Not surprisingly, Covid-19 has dominated the news everywhere over the last two years. If the worst is behind us and the world is starting to return to normal then that should be positive for global equity markets including Asia. Asia is seen as having had a relatively good crisis, with lockdowns and travel restrictions keeping confirmed cases to relatively low levels. But what if their populations are still vulnerable to the latest variants, especially if levels of vaccination and vaccination efficacy are relatively low?

Covid-19 also demonstrated how dependent the world had become on just-in-time supply chain management and has led to widespread disruption of both production and transportation of key components and products. Asian companies that can help reduce this dependence will be in strong demand but there is also the risk that Western companies will turn to more locally sourced suppliers.

ESG is another area that can be seen as both a risk and opportunity for Asian companies. As a whole, ESG standards are perceived as higher amongst European and American companies than in Asia. That is one of the reasons why Asian companies typically trade at cheaper valuations and there is a risk that the gap gets wider. But there is also the opportunity for the valuation gap to narrow as Asian companies embrace ESG. The emphasis of the Glasgow COP-26 summit in November on net zero (companies and countries giving target dates by which they intend to be net zero producers of CO2) brings extra focus and clarity to all. Ian and Fiona discuss our portfolio through a net zero lens in a special section of their portfolio managers’ report.

The recovery from 2020’s lockdowns plus the disruptions to supply chains in 2021 have led to a resurgence of inflation in the Western economies. Again this provides risks and opportunities to companies, depending upon how quickly their input costs and wage bills are rising and what ability they have to raise prices to their customers. It is interesting that there has not been much inflationary pressure within Asian countries. Perhaps that is due to them being less affected by Covid-19; it is too early to tell.

Political considerations also provide substantial risks and opportunities. That has always been true of investing in Asia, with surprise events such as missile firings, army-led coups and violent crackdowns affecting market valuations sharply at various times over the last forty years, along with the current heightened geo-political risk. One approach was to ignore politics, reckoning that such events would only have a temporary impact; but the cumulative effect has been to widen the valuation discount between Asian and Western markets. If you have a tolerance towards political risk then you would consider a widening political discount to be an investment opportunity but you would need to remember that we do not know how China’s approach to Taiwan will develop nor how stable will North Korea be, to name just two such considerations.

All of these issues and others will take time to resolve. There will be companies, sectors and countries that are winners and losers and there will probably be a wide dispersion in their stock market returns. These are certainly interesting times for an active Asian equity investor.

Neil Rogan

Chairman

24 January 2022

Portfolio Manager’s Report

Portfolio Manager

Ian Hargreaves was promoted to Co-Head of the Asian & Emerging Markets Equities team in September 2018. Ian manages pan-Asian portfolios and covers the entire Asian region in his remit. He started his investment career with Invesco Asia Pacific in Hong Kong in 1994 as an investment analyst where he was responsible for coverage of Indonesia, South Korea and the Indian sub-continent, as well as managing several regional institutional client accounts. Ian returned to the UK to join Invesco’s Asian Equities team in 2005, working on the portfolio as part of the investment team. He was appointed as joint Portfolio Manager in 2011 and became the sole Portfolio Manager on 1 January 2015, up until the appointment of Fiona Yang as Co-Manager in January 2022.

Portfolio Manager

Fiona Yang joined Invesco in August 2017 and is a member of the Henley-based Asian & Emerging Markets Equities team. Currently, Fiona is the lead fund manager on the Invesco Asian Equity Income Fund and provides stock and sector research covering the wider Asia ex-Japan region with a focus on China H and A share markets. She started her career with Goldman Sachs in July 2012, initially within their graduate programme, before becoming a member of their Asian Equity sales team, where she was a China product specialist. Fiona will relocate to Invesco’s Singapore office in February, whilst still remaining an integral part of the Henley-based team. In recognition of her skill, growing experience and achievements, Fiona was appointed Co-Manager of the Invesco Asia Trust plc in January 2022.

How has the Company performed in the period under review?

The Company’s net asset value return was –5.5% (total return, in sterling terms) over the six months to 31 October 2021, which compares to the benchmark MSCI AC Asia ex Japan Index total return of –6.2%.

Having recovered strongly from last year’s lows, Asian markets have struggled for direction over the last six months. China concerns have dominated, more than offsetting positive re-opening momentum from markets such as India and Indonesia, where Covid-19 concerns have started to ease as infection rates fall back and vaccination programs accelerate after a slow start.

Given that the authorities in China had already started to tighten credit since 2020, signs of moderating growth were to be expected. The tightening rules on debt in the property sector impacted the most leveraged developers but it was the extent of regulatory tightening on the ‘new economy’ sectors which surprised markets leading to a fall in valuations from over-extended levels.

Against this backdrop, portfolio performance has proved to be relatively resilient, outperforming its benchmark index. Having an underweight position in China has helped, with stock selection in Hong Kong and Indonesia also contributing positively. Exposure to more cyclical and ‘old economy’ sectors has also added value.

Although valuations are now broadly more ‘normal’, beneath the surface we continue to see significant divergence not just between, but within different sectors, with scope to lean into areas of excessive pessimism, while avoiding frothy areas of the market. We are wary of investment narratives which rely on a cyclical recovery being extrapolated too far forward, as we saw with some of last year’s Covid-beneficiaries and the Chinese stock markets. Exuberance towards China has given way to disappointment and pessimism, and a much more favourable risk premium is now being offered to investors as we enter 2022. Meanwhile, South East Asian markets have been relatively weak, which we feel underappreciates their re-opening potential. 

What have been the biggest contributors?

There have been strong returns from stocks in more cyclical areas, which have outperformed supported by reflation/ reopening trends, while previously favoured technology/internet stocks have lagged.

Pacific Basin Shipping was one of the best performers, benefiting from materially improved freight rates as strong demand for minor bulk and grains broadened out from China to the rest of the world. Earnings expectations for 2021 have been raised by nearly 200% over the last 6 months, reflecting the short supply of cargo ships after a long downcycle for bulk shipping. Some analysts see supply/demand imbalances persisting into 2023, in part because society’s decarbonisation agenda disincentivises additional supply, a tailwind for freight prices and profitability.

India was the best performing market in the region, with ICICI Bank, Housing Development Finance Corporation (HDFC) and Shriram Transport Finance significant contributors, as asset quality and earnings proved less sensitive to the pandemic than first feared. Larsen & Toubro (‘L&T’) also made strong gains, with the Indian government placing greater emphasis on public investment to kick-start the economic cycle, while L&T management appear bullish on the prospects for a recovery in private capex, with its bid pipeline improving domestically and internationally. The portfolio’s exposure to Indonesia has also added value, with the reopening of the economy seeing strong share price gains for PT Bank Negara Indonesia Persero, auto conglomerate Astra International and Telkom Indonesia.

While China was a source of weakness, it was also home to some of the portfolio’s best performing stocks, including MingYang Smart Energy. The Chinese wind turbine manufacturer is an expected beneficiary of the authorities’ big plans to reduce carbon emissions, targeting peak carbon emissions by 2030 and carbon neutrality by 2060. With wind power having reached grid parity in China, subsidies for both onshore and offshore wind projects are to be removed. We believe that this will help quash the perception that the sector is dependent on government support, allowing investors to focus more clearly on the long-term growth opportunity available, with the valuation gap to European peers still significant, even after the recent rally.

And detractors?

Several of the biggest detractors were from China, although our underweight position compensated for this on a relative basis. We cover below those stocks impacted by regulatory tightening and property-related concerns separately, given how much attention these topics have drawn. Elsewhere, Aurobindo Pharma underperformed due to relatively weak results and the market’s reaction to a small, misjudged (then cancelled) acquisition. LG has been weak amidst expectations that 3Q earnings (at LG Chem and LG Electronics) would be impacted by provisions related to the GM EV battery recall. Meanwhile, Covid-related chip and component shortages have disrupted supply chains, with miniature lens manufacturer Largan Precision and Hyundai Motor both impacted by the slower than expected recovery, although the medium-term outlook for both remains bright, in our view.

The biggest single detractor was Autohome, the leading internet content provider for autos in China and a relatively new holding for the trust. The market has been quick to discount the threat of intensifying competition, but having reappraised the investment case, we believe that Autohome’s competitive advantages are being underappreciated. The greater quality of their traffic, still more than the next two players combined, gets better conversion rates, which should be sustainable given investment in hard to replicate value-added services. The company’s net cash balance sheet (over 50% of market cap) and free cash flow generation are additional sources of comfort.

What are the regulatory headwinds in China?

The portfolio continues to have selective exposure to Chinese internet companies, which as a group has been struggling with regulatory tightening and concerns over a broader economic slowdown. There are multiple strands to recent policy action, although the emphasis is on the need for more inclusive economic growth and ‘common prosperity’. New measures introduced have been focused on combating anti-trust practices, ensuring data security as well as safeguarding employees and families.

When we examine the absolute earnings impact from these changes, it appears small relative to the market reaction. We added exposure to some of our holdings when the fall in share prices appeared to be excessive during peak negativity. This proved judicious given the subsequent rebound but the bigger issue for earnings is not the direct impact of regulation, but the prospect that company management will restrain profit growth in the hope of avoiding additional regulatory scrutiny. We would distinguish between companies with a corporate culture vulnerable to attracting scrutiny versus those with a more prudent approach to doing business, better aligned to the government’s goals and regulatory trends.

Longer-term, the regulatory tightening may prove positive if it leads to healthier competition. The abundance of capital available to loss-making ventures allowed them to take market share from businesses relying on organic growth. However, it seems far-fetched to expect the government to permanently undermine one of the more vibrant sectors of the economy, particularly one so potentially instrumental in narrowing the technology gap with the US (a key government aim). The sector remains an interesting opportunity set with the levelling of the playing field.

Portfolio activity in this area included adding to NetEase and Tencent on weakness, which reflected our longer-term conviction. We did sell Tencent Music Entertainment, finding it harder to see how it can overcome the extent of the regulatory change on its business. We knew that its exclusivity agreements with major record labels would soon be ending, allowing competitors (like NetEase) to offer the same content. However, increased regulation of social entertainment and live streaming has led the company to lower its revenue guidance, a development that fundamentally undermined the original investment thesis.

Evergrande: China’s Lehman moment?

The market has had to contend with concerns surrounding the over-leveraged property developer China Evergrande Group, and the potential for collateral damage in other areas of the economy. This caused weakness in holdings such as Ping An Insurance and Suofeiya Home Collection, although the one Chinese real estate developer we do own – China Overseas Land and Investment – proved more resilient.

Evergrande’s liquidity issue is the consequence of government-led rules to reduce leverage in the sector. Given the size of the property sector in China it is unsurprising that this slowdown is having ramifications for economic growth more widely. Implementing such measures during a global recovery appeared sensible and we would disagree with the parallels being made with the US mortgage crisis. These are unfounded because China has been reducing financial risks by deleveraging for well over 5 years now while keeping credit growth below nominal GDP growth. Although Tier One cities such as Shanghai or Beijing remain unaffordable on average income, as in most other major cities across the world, affordability rates at the national level have improved over the last few years as incomes have continued to rise. Also, home buyers in China still require large down payments (around 40%) in contrast to the debt fuelled purchases in the US prior to the global financial crisis. A policy misjudgment by tightening too much is a risk but the authorities appear to be already easing at the margins, selectively loosening restrictions on mortgage lending for example. We expect an easing of financial conditions but would not expect a major shift in their dual objective to de-risk the economy while maintaining an acceptable level of growth.

What about the property-related exposure: Ping An and Suofeiya?

Ping An Insurance, one of China’s largest insurance companies, has been undergoing a period of agency reform. When combined with a period of weak demand for insurance products and fears about its exposure to the property market, has dampened sentiment towards the stock.

However, with no exposure to Evergrande and less than 5% of insurance funds invested in property, the risk here is contained. While agency reform is unsettling in the short-term, a better agency force will ultimately improve the quality of its earnings. It is comforting that Ping An has capital ratios well in excess of regulatory limits and recently increased its dividend, demonstrating confidence in its capital position. We are happy to hold and have been adding.

Suofeiya Home Collection is a fitted furniture designer and manufacturer. Evergrande was one of its customers although only representing around 5% of its 2021 revenues. Its exposure to developers is generally limited because it prefers to sell directly to end-consumers (c. 80% of revenues). Although the stock was also weak, the business managed to mitigate the property issues and saw double-digit profit growth quarter-over-quarter in the 3rd quarter of 2021, well ahead of expectations. Our approach is to value  conservatively the revenue contribution and outstanding receivables from Evergrande at zero going forward. Suofeiya’s long-term growth prospects remain intact, with its superior brand and product quality leaving it well placed to gain further market share in what remains a highly fragmented and under-penetrated market. We have added on weakness.

Other changes in positioning?

We invest in companies that we believe are worth more than the market believes. The portfolio continues to have a balance between tech/internet and ‘virus-sensitive’ stocks in more cyclical areas. While the tilt towards cyclicals has increased over the last twelve months, we are still able to find undervalued growth opportunities in companies with sustainable growth prospects and believe that a balanced portfolio with multiple sources of alpha is warranted.

The negative headlines and market volatility in China mean that this has been an area of focus. As can be seen in the chart below, we have been gradually reducing our underweight position in Hong Kong and China. Policymakers remain committed to improving the quality, rather than quantity, of growth and reducing financial risk, while monetary policy in China appears relatively orthodox in comparison with that in developed markets.

Invesco Asia Trust plc – active weight in Hong Kong/China

As well as adding to existing holdings that we like on weakness, we have introduced three new holdings. Market contagion in China has negatively affected Gree Electric Appliances and A-Living Smart City Services, and it is our view that their growth prospects and strong balance sheets are not being reflected in their valuation. Gree is the world’s largest manufacturer of air conditioners and home appliances, which is expected to be a beneficiary of rising demand for smart technology and energy-saving appliances in the home devices space. Penetration rates for such products remains low in China. A-Living is a property management company trading at a significant discount to its peers, despite consistently generating positive free cash flow and having a decent growth outlook. Thirdly, we introduced Tingyi, a leading producer of instant noodles, beverages and convenience food.

Elsewhere, we introduced Newcrest Mining, which despite a more gold-friendly environment is trading at a significant discount to its net asset value. Furthermore, the market does not seem to have given Newcrest much credit for its relatively significant copper exposure, which should reduce the cyclicality of earnings. In turn, we’ve continued to reduce exposure to Taiwanese tech companies after a period of strong performance, with a risk of mean reversion in earnings. We’ve also continued to add exposure to existing holdings in Indonesia, where near-term uncertainty is starting to lift, and valuations still appear attractive.

What is Invesco’s Approach to ‘Net Zero’?

For Invesco as Manager, climate change is a strategic priority. As a result of our commitment to the Net Zero Asset Managers initiative, implementing a Net Zero Alignment (NZA) and engagement strategy will take on growing importance for the Manager.

Although NZA is not yet a target for Invesco Asia Trust plc, companies’ climate transition plans were the most common topic of our targeted ESG engagements in 2021. As can be seen from the chart below, the portfolio’s carbon intensity has already started to trend lower, and is below that of the benchmark index. For that trend to continue, we need to see more net zero commitments from Asian companies.

As at 31 October 2021, the portfolio had investments in 54 different companies, of which 24 have already made a net zero commitment (representing c.37% of the portfolio). For those companies yet to commit, we have been enquiring as to their plans, encouraging them to make a commitment and adopt a NZA target.

This process is still at a relatively early stage, but all these 30 companies already have sustainability reports that cover carbon emissions reduction plans, so it feels like a commitment to NZA is the next logical step. Given the level of engagement that these companies are having with investors such as ourselves, we think it likely that the proportion of companies with a net zero commitment will increase significantly over the next 3-5 years. However, different countries are at different stages in moving towards NZA, and we do not expect progress to be smooth.

For the portfolio’s more mature holdings, it is critically important to understand plans for transition to NZA and any associated costs that may be incurred pursuing them. The Korean steel manufacturer POSCO – one of the world’s largest – makes for a good example in this regard. Currently, the company has a high level of carbon emissions, but as pledged by the Korean government it aims to be carbon neutral by 2050. Its pathway to achieving this is largely through hydrogen-based steelmaking, which may have fundamental implications on cash flow, profitability and valuations if capex rises materially. Although POSCO is one of the sector’s most efficient producers, with seemingly good governance practices, it is clear that we need to closely monitor capex levels, progress on hydrogen-based steelmaking and overall climate policy, as well as focusing on other ESG issues in scope, such as gender diversity and corporate governance.

Are there grounds for optimism?

At headline level the valuations of Asian markets have pulled back from what we considered to be unsustainable levels at the turn of the year (see chart below). We do not believe that this is the end of the cycle, more of a pause as earnings and growth of book value catch-up.

Markets are pricing in a continued improvement in earnings, which feels logical to us given that the recovery from the Covid-pandemic is still at a tentative stage in some parts of world, with a tailwind from stimulus measures and relatively low inventories on a global basis. The financial system is also in a much better place than investors initially feared, a marked difference to the backdrop in the recovery from the global financial crisis.

However, it is reasonable to expect a more gradual uptrend in earnings from here, still positive but with the rate of change likely to have peaked. On one hand, supply chain disruptions remain a feature of the post-Covid backdrop, with unmet demand spilling well into 2022. On the other, inflationary pressures are likely to depress the operating margins of price takers. As markets digest these complexities and potential policy changes, there is much scope for active stock pickers to capitalise on misunderstood, idiosyncratic opportunities, especially given that valuation discrepancies within markets and sectors remain wide.

As conditions gradually normalise, with travel restrictions lifted on the back of higher vaccination rates, we find scope for optimism towards re-opening plays in areas such as Thailand and Indonesia. Consumption has generally been weak, which contrasts with strong demand seen in developed markets, but we would caution extrapolating recent trends too far into the future.

Although the initial benefit of massive monetary and fiscal stimulus measures has been realised and is likely to remain a tailwind to economic activity for a while longer, a riskier point for markets lies ahead as governments in developed markets are forced to start charting a course back to policy orthodoxy. This contrasts with Asia’s conventional policy stance.

Finally, inflationary pressures are likely to remain a focus for investors. We feel that the best way to insure our portfolio against a more adverse inflation outcome is to avoid stocks whose current market valuations cannot be justified by their future cashflows even at current low interest rates. We believe this is an environment that suits our investment approach, with a laser focus on valuation, seeking to find opportunities where the market has failed to correctly price the multi speed nature of the recovery.

Ian Hargreaves

Fiona Yang

Portfolio Managers

24 January 2022

Principal Risks and Uncertainties

The Board has carried out a robust assessment of the risks facing the Company, including emerging risks. These include those that would threaten its business model, future performance, solvency and liquidity. The principal risks that follow are those identified by the Board after consideration of mitigating factors. In the view of the Board, these principal risks and uncertainties are as much applicable to the remaining six months of the financial year as they were to the six months under review.

Category and Principal Risk Description	Mitigating Procedures and Controls
Strategic Risk
Market and Political Risk The Company’s investments are traded on Asian and Australasian stock markets as well as the UK. The principal risk for investors in the Company is a significant fall and/or a prolonged period of decline in these markets. This could be triggered by unfavourable developments within the region or events outside it. The extreme volatility experienced in March 2020 from the market reaction to the Covid-19 virus exemplifies this risk, which had a marked effect on both the valuation of the Company’s portfolio of investments and the discount to net asset value at which the Company’s shares trade. Political developments can also create risks to the value of the Company’s assets, such as US-China trade tensions and unrest in Hong Kong, or impact on the GBP foreign exchange rate. Political risk has always been a feature of investing in stock markets and it is particularly so in Asia. Asia encompasses a variety of political systems and there are many examples of diplomatic skirmishes and military tensions, and sometimes these resort to military engagement. Moreover, the involvement in Asia of the United States and European countries can reduce or raise tensions.	The Company has a diversified investment portfolio by country and by stock. Its investment trust structure means no forced sales need to take place and investments can be held over a longer term horizon. The Manager evaluates and assesses political risk as part of the stock selection and asset allocation policy which is monitored at every Board meeting. However, there are few ways to mitigate absolute market and political risk because it is engendered by factors which are outside the control of the Board and the Manager. These factors include the general health of the world economy, interest rates, inflation, government policies, industry conditions, political, military and diplomatic events, changes to legislation, and changing investor demand and sentiment. Such factors may give rise to high levels of volatility in the prices of investments held by the Company.
Investment Objectives The Company’s investment objectives and structure are no longer meeting investors’ demands.	The Board receives regular reports reviewing the Company’s investment performance against its stated objectives and peer group, and reports from discussions with its brokers and major shareholders. The Board also has a separate annual strategy meeting.
Wide Discount Lack of liquidity and lack of marketability of the Company’s shares leading to stagnant share price and wide discount. A persistently high discount may lead to buybacks of the Company’s shares and result in the shrinkage of the Company.	The Board receives regular reports from both the Manager and the Company’s broker on the Company’s share price performance, level of share price discount to NAV and recent trading activity in the Company’s shares. The Board has introduced initiatives to help address the Company’s share rating including a performance conditional tender in 2025 and the enhanced dividend policy. It may seek to reduce the volatility and absolute level of the share price discount to NAV for shareholders through buying back shares within the stated limit. The Board also receives regular reports on marketing meetings with shareholders and prospective investors and works to ensure that the Company’s investment proposition is actively marketed through relevant messaging across many distribution channels.
Investment Management Risk
Performance Portfolio Manager consistently underperforms the benchmark and/or peer group over 3-5 years.	The Board regularly compares the Company’s NAV performance over both the short and long term to that of the benchmark and peer group as well as reviewing the portfolio’s performance against benchmark (attribution) and risk adjusted performance (volatility, beta, tracking error, Sharpe ratio) of the Company and its peers. The Board also receives reports on and reviews: the portfolio and ESG considerations that are integrated as part of investment decision-making, transactions in the period, active positions, gearing position and, if applicable, hedging.
Key Person Dependency Either or both of the Portfolio Managers (Ian Hargreaves and Fiona Yang) ceases to be Portfolio Manager or are incapacitated or otherwise unavailable.	The appointment of Fiona Yang as Co-Manager has mitigated the risk of key person dependency. Also, the Portfolio Managers work within Invesco’s Asian & Emerging Markets team. Ian Hargreaves and William Lam are Co-Heads of this team. The Portfolio Managers are supported by the wider team.
Currency Fluctuation Risk Exposure to currency fluctuation risk negatively impacts the Company’s NAV. The movement of exchange rates may have an unfavourable or favourable impact on returns as nearly all of the Company’s assets are non-sterling denominated.	With the exception of borrowings in foreign currency, the Company does not normally hedge its currency positions but may do so should the Portfolio Manager or the Board feel this to be appropriate. Contracts are limited to currencies and amounts commensurate with the asset exposure. The foreign currency exposure of the Company is reviewed at Board meetings.
Third Party Service Providers Risk
Unsatisfactory Performance of Third Party Service Providers Failure by any third-party service provider to carry out its obligations to the Company in accordance with the terms of its appointment could have a materially detrimental impact on the operations of the Company and could affect the ability of the Company to successfully pursue its investment policy and expose the Company to reputational risk. Disruption to the accounting, payment systems or custody records could prevent the accurate reporting and monitoring of the Company’s financial position.	Details of how the Board monitors the services provided by the Manager and other third-party service providers, and the key elements designed to provide effective internal control, are included in the internal control and risk management section in the 2021 Annual Financial Report on pages 20 and 21.
Information Technology Resilience and Security The Company’s operational structure means that all cyber risk (information and physical security) arises at its third party service providers (TPPs). This cyber risk includes fraud, sabotage or crime perpetrated against the Company or any of its TPPs.	As well as regular review of TPPs’ audited service organisation control reports by the Audit Committee, the Board receives regular updates on the Manager’s information and cyber security. The Board monitors TPPs’ business continuity plans and testing – including the TPPs and Manager’s regular ‘live’ testing of workplace recovery arrangements.
Operational Resilience The Company’s operational capability relies upon the ability of its TPPs to continue working throughout the disruption caused by a major event such as the Covid-19 pandemic.	The Manager’s business continuity plans are reviewed on an ongoing basis and the Directors are satisfied that the Manager has in place robust plans and infrastructure to minimise the impact on its operations so that the Company can continue to trade, meet regulatory obligations, report and meet shareholder requirements. As the impact of Covid-19 continues, the Manager has mandated work from home arrangements and implemented split team working for those whose work is deemed necessary to be carried out on business premises. Any meetings are held virtually or via conference calls. Other similar working arrangements are in place for the Company’s third-party service providers. The Board receives regular update reports from the Manager and TPPs on business continuity processes.

Twenty-five Largest Holdings

AT 31 OCTOBER 2021

Ordinary shares unless stated otherwise

†The industry group is based on MSCI and Standard & Poor’s Global Industry Classification Standard.

			At Market
			Value	% of
Company	Industry group†	Country	£000	Portfolio
Taiwan Semiconductor Manufacturing	Semiconductors and Semiconductor Equipment	Taiwan	18,012	6.8
TencentR	Media And Entertainment	China	16,516	6.2
Samsung Electronics	Technology Hardware and Equipment	South Korea	15,578	5.9
Alibaba	Retailing	China	11,341	4.3
Invesco Liquidity Funds – US Dollar	Money Market Fund	Ireland	10,371	3.9
Housing Development Finance	Banks	India	9,891	3.7
Corporation
ICICI Bank – ADR	Banks	India	9,451	3.6
MingYang Smart EnergyA	Capital Goods	China	8,331	3.1
JD.com – ADR	Retailing	China	7,868	3.0
AIA	Insurance	Hong Kong	7,784	2.9
Larsen & Toubro	Capital Goods	India	6,472	2.5
NetEase – ADR	Media and Entertainment	China	6,168	2.3
United Overseas Bank	Banks	Singapore	6,109	2.3
Ping An InsuranceH	Insurance	China	5,418	2.1
POSCO	Materials	South Korea	5,366	2.0
Hon Hai Precision Industry	Technology Hardware and Equipment	Taiwan	5,268	2.0
Astra International	Automobiles and Components	Indonesia	5,207	2.0
Shriram Transport Finance	Diversified Financials	India	5,149	1.9
CK Asset	Real Estate	Hong Kong	4,973	1.9
PT Bank Negara Indonesia Persero	Banks	Indonesia	4,966	1.9
QBE Insurance	Insurance	Australia	4,828	1.8
China Overseas Land and Investment	Real Estate	Hong Kong	4,752	1.8
Hyundai Motor – preference shares	Automobiles and Components	South Korea	4,646	1.8
Mahindra & Mahindra	Automobiles and Components	India	4,588	1.7
Dongfeng MotorH	Automobiles and Components	China	3,852	1.5
			192,905	72.9
Other Investments (30)			71,671	27.1
Total Holdings (55)			264,576	100.0

ADR/ADS:  American Depositary Receipts/Shares – are certificates that represent shares in the relevant stock and are issued by a US bank. They are denominated and pay dividends in US dollars.

H:  H-Shares – shares issued by companies incorporated in the People’s Republic of China (PRC) and listed on the Hong Kong Stock Exchange.

R:  Red Chip Holdings – holdings in companies incorporated outside the PRC, listed on the Hong Kong Stock Exchange, and controlled by PRC entities by way of direct or indirect shareholding and/or representation on the board.

A:  A-Shares are shares that denominated in Renminbi and traded on the Shanghai and Shenzhen stock exchanges.

Governance

Going Concern

The financial statements have been prepared on a going concern basis.

The Directors took into consideration the uncertain economic outlook in the wake of the Covid-19 pandemic and the operational implications and consider the preparation of the financial statements on a going concern basis to be the appropriate basis. The Directors have a reasonable expectation that the Company has adequate resources to continue in operational existence for a period of at least 12 months after signing the balance sheet, for the same reasons as set out in the Viability Statement in the Company’s 2021 Annual Financial Report. In considering this, the Directors took into account:

• the diversified portfolio of readily realisable securities which can be used to meet short-term funding commitments;

• the ability of the Company to meet all of its liabilities and ongoing expenses from its assets; and

• revenue forecasts for the forthcoming year.

As discussed in Principal Risks and Uncertainties, the Company’s operations and those of its core service providers have been adapted to deal with the restrictions imposed in the UK as a result of the Covid-19 pandemic.

Related Party Transactions

Under United Kingdom Generally Accepted Accounting Practice (UK Accounting Standards and applicable law), the Company has identified the Directors and their dependents as related parties. No other related parties have been identified. No transactions with related parties have taken place which have materially affected the financial position or the performance of the Company.

Directors’ Responsibility Statement in respect of the preparation of the half-yearly financial report

The Directors are responsible for preparing the half-yearly financial report using accounting policies consistent with applicable law and UK Accounting Standards.

The Directors confirm that to the best of their knowledge:

— the condensed set of financial statements contained within the half-yearly financial report have been prepared in accordance with the FRC’s FRS 104 Interim Financial Reporting;

— the interim management report includes a fair review of the information required by 4.2.7R and 4.2.8R of the FCA’s Disclosure Guidance and Transparency Rules; and

— the interim management report includes a fair review of the information required on related party transactions.

The half-yearly financial report has not been audited or reviewed by the Company’s auditor.

Signed on behalf of the Board of Directors.

Neil Rogan

Chairman

24 January 2022

Condensed Income Statement

FOR THE SIX MONTHS ENDED 31 OCTOBER

	2021			2020
	Revenue	Capital	Total	Revenue	Capital	Total
	return	return	return	return	return	return
	£000	£000	£000	£000	£000	£000
(Losses)/gains on investments held at fair value	—	(17,938)	(17,938)	—	42,366	42,366
(Losses)/gains on foreign exchange	—	(27)	(27)	—	163	163
Income - note 2	3,981	62	4,043	3,753	—	3,753
Investment management fee - note 3	(247)	(740)	(987)	(210)	(629)	(839)
Other expenses	(326)	(3)	(329)	(286)	(3)	(289)
Net return before finance costs and
taxation	3,408	(18,646)	(15,238)	3,257	41,897	45,154
Finance costs – note 3	(5)	(15)	(20)	(13)	(39)	(52)
Return on ordinary activities
before taxation	3,403	(18,661)	(15,258)	3,244	41,858	45,102
Tax on ordinary activities – note 4	(345)	—	(345)	(321)	—	(321)
Return on ordinary activities after
taxation for the financial period	3,058	(18,661)	(15,603)	2,923	41,858	44,781
Return per ordinary share
Basic	4.57p	(27.91)p	(23.34)p	4.37p	62.61p	66.98p
Weighted average number of ordinary shares
in issue during the period			66,853,287			66,853,287

The total column of this statement represents the Company’s profit and loss account, prepared in accordance with UK Accounting Standards. The return on ordinary activities after taxation is the total comprehensive income and therefore no additional statement of other comprehensive income is presented. The supplementary revenue and capital columns are presented for information purposes in accordance with the Statement of Recommended Practice issued by the Association of Investment Companies. All items in the above statement derive from continuing operations of the Company. No operations were acquired or discontinued in the period.

Condensed Statement of Changes in Equity

FOR THE SIX MONTHS ENDED 31 OCTOBER

		Capital
	Share	Redemption	Special	Capital	Revenue
	Capital	Reserve	Reserve	Reserve	Reserve	Total
	£000	£000	£000	£000	£000	£000
For the six months ended 31 October 2021
At 30 April 2021	7,500	5,624	34,827	229,438	3,863	281,252
Return on ordinary activities	—	—	—	(18,661)	3,058	(15,603)
At 31 October 2021	7,500	5,624	34,827	210,777	6,921	265,649
For the six months ended 31 October 2020
At 30 April 2020	7,500	5,624	34,827	134,968	4,029	186,948
Return on ordinary activities	—	—	—	41,858	2,923	44,781
At 31 October 2020	7,500	5,624	34,827	176,826	6,952	231,729

Condensed Balance Sheet

Registered Number 3011768

	At 31 October	At 30 April
	2021	2021
	£000	£000
Fixed assets
Investments held at fair value through profit or loss – note 7	264,576	279,058
Current assets
Tax recoverable	162	237
VAT recoverable	26	21
Prepayments and accrued income	119	292
Cash and cash equivalents	2,373	4,584
	2,680	5,134
Creditors: amounts falling due within one year
Bank facility	—	(2,096)
Amounts due to brokers	(867)	(136)
Accruals	(740)	(708)
	(1,607)	(2,940)
Net current assets	1,073	2,194
Net assets	265,649	281,252
Capital and reserves
Share capital	7,500	7,500
Other reserves:
Capital redemption reserve	5,624	5,624
Special reserve	34,827	34,827
Capital reserve	210,777	229,438
Revenue reserve	6,921	3,863
Total shareholders’ funds	265,649	281,252
Net asset value per ordinary share
Basic	397.36p	420.70p
Number of 10p ordinary shares in issue at the period end – note 6	66,853,287	66,853,287

Notes to the Financial Condensed Statements

1.  Accounting Policies

The condensed financial statements have been prepared in accordance with applicable United Kingdom Accounting Standards and applicable law (UK Generally Accepted Accounting Practice), including FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland, FRS 104 Interim Financial Reporting and the Statement of Recommended Practice Financial Statements of Investment Trust Companies and Venture Capital Trusts, issued by the Association of Investment Companies in April 2021. The financial statements are issued on a going concern basis.

The accounting policies applied to these condensed financial statements are consistent with those applied in the Company’s 2021 Annual Financial Report.

2.  Income

	Six months to	Six months to
	31 October	31 October
	2021	2020
	£000	£000
Income from investments:
Overseas dividends  ordinary	3,689	3,605
– special	292	148
Total income	3,981	3,753

Special dividends of £62,000 were recognised in capital during the period (31 October 2020: £nil)

3.  Management Fee, Performance Fees and Finance Costs

Investment management fee and finance costs on any borrowings are charged 75% to capital and 25% to revenue. A management fee is payable quarterly in arrears and is equal to 0.75% per annum of the value of the Company’s total assets less current liabilities (including any short-term borrowings) under management at the end of the relevant quarter and 0.65% per annum for any net assets over £250 million.

4.  Taxation and Investment Trust Status

It is the intention of the Directors to conduct the affairs of the Company so that it satisfies the conditions for approval as an investment trust company. As such, no tax liability arises on capital gains. The tax charge represents withholding tax suffered on overseas income.

5.  Dividends paid on Ordinary Shares

As noted in the Chairman’s Statement, an interim dividend of 7.70p per share was paid on 25 November 2021 to shareholders on the register on 5 November 2021. Shares were marked ex-dividend on 4 November 2021.

In accordance with accounting standards, dividends payable after the period end have not been recognised as a liability.

6.  Share Capital, including Movements

Share capital represents the total number of shares in issue, including treasury shares.

(a)  Ordinary Shares of 10p each

	Six months to	Year to
	31 October	30 April
	2021	2021
Number of ordinary shares in issue:
Brought forward	66,853,287	66,853,287
Shares bought back into treasury	–	–
Carried forward	66,853,287	66,853,287

(b)  Treasury Shares

	Six months to	Year to
	31 October	30 April
	2021	2021
Number of treasury shares held:
Brought forward	8,146,594	8,146,594
Shares bought back into treasury	–	–
Carried forward	8,146,594	8,146,594
Total ordinary shares	74,999,881	74,999,881

During the period the Company has not bought back or re-issued any shares into or from treasury (30 April 2021: nil).

Subsequent to the period end no ordinary shares were bought back into treasury or cancelled.

7.  Classification Under Fair Value Hierarchy

FRS 102 sets out three fair value levels. These are:

Level 1 – The unadjusted quoted price in an active market for identical assets that the entity can access at the measurement date.

Level 2 – Inputs other than quoted prices included within Level 1 that are observable (i.e. developed using market data) for the asset or liability, either directly or indirectly.

Level 3 – Inputs are unobservable (i.e. for which market data is unavailable) for the asset or liability.

The fair value hierarchy analysis for investments held at fair value at the period end is as follows:

	31 October	30 April
	2021	2021
	£000	£000
Financial assets designated at fair value
Level 1	254,106	278,955
Level 2	10,371	–
Level 3	99	103
Total for financial assets	264,576	279,058

The Level 2 investment consists of one holding in the Invesco Liquidity Funds – US Dollar money market fund (30 April 2021: £nil).

The Level 3 investment consists of one holding in Lime Co. (30 April 2021: Lime Co.).

8.  Status of Half-Yearly Financial Report

The financial information contained in this half-yearly report does not constitute statutory accounts as defined in section 434 of the Companies Act 2006. The financial information for the half years ended 31 October 2021 and 31 October 2020 has not been audited. The figures and financial information for the year ended 30 April 2021 are extracted and abridged from the latest audited accounts and do not constitute the statutory accounts for that year. Those accounts have been delivered to the Registrar of Companies and included the Report of the Independent Auditor, which was unqualified and did not include a statement under section 498 of the Companies Act 2006.

By order of the Board

Invesco Asset Management Limited

Company Secretary

24 January 2022

Glossary of Terms and Alternative Performance Measures

Alternative Performance Measure (APM)

An APM is a measure of performance or financial position that is not defined in applicable accounting standards and cannot be directly derived from the financial statements. The calculations shown in the corresponding tables are for the six months ended 31 October 2021 and the year ended 30 April 2021. The APMs listed here are widely used in reporting within the investment company sector and consequently aid comparability.

Benchmark (or Benchmark Index)

A standard against which performance can be measured, usually an index that averages the performance of companies in a stock market or a segment of the market. The benchmark used in these accounts is the MSCI AC Asia ex Japan Index (total return, net of withholding tax, in sterling terms). This benchmark index does not include Australia and New Zealand.

Discount/Premium (APM)

Discount is a measure of the amount by which the mid-market price of an investment company share is lower than the underlying net asset value (NAV) of that share. Conversely, Premium is a measure of the amount by which the mid-market price of an investment company share is higher than the underlying net asset value of that share. In this interim financial report the discount is expressed as a percentage of the net asset value per share and is calculated according to the formula set out below. If the shares are trading at a premium the result of the below calculation will be positive and if they are trading at a discount it will be negative.

			At 31 October	At 30 April
	Page		2021	2021
Share price	1	a	367.00p	386.00p
Net asset value per share	12	b	397.36p	420.70p
Discount		c = (a-b)/b	(7.6)%	(8.2)%

The average discount for the period/year is the arithmetic average, over a period/year, of the daily discount calculated on the same basis as shown above.

Gearing

The gearing percentage reflects the amount of borrowings that a company has invested. This figure indicates the extra amount by which net assets, or shareholders’ funds, would move if the value of a company’s investments were to rise or fall. A positive percentage indicates the extent to which net assets are geared; a nil gearing percentage, or ‘nil’, shows a company is ungeared. A negative percentage indicates that a company is not fully invested and is holding net cash as described below.

There are several methods of calculating gearing and the following has been used in this report:

Gross Gearing (APM)

This reflects the amount of gross borrowings in use by a company and takes no account of any cash balances. It is based on gross borrowings as a percentage of net assets.

			At 31 October	At 30 April
			2021	2021
	Page		£000	£000
Bank facility	12		–	2,096
Gross borrowings		a	–	2,096
Net asset value	12	b	265,649	281,252
Gross gearing		c = a/b	nil	0.7%

Net Gearing or Net Cash (APM)

Net gearing reflects the amount of net borrowings invested, i.e. borrowings less cash and cash equivalents (incl. investments in money market funds). It is based on net borrowings as a percentage of net assets. Net cash reflects the net exposure to cash and cash equivalents, as a percentage of net assets, after any offset against total borrowings.

			At 31 October	At 30 April
			2021	2021
	Page		£000	£000
Bank facility	12		–	2,096
Less: cash and cash equivalents	12		(2,373)	(4,584)
Less: Invesco Liquidity Fund – US Dollar (money market fund)			(10,371)	–
Net cash		a	(12,744)	(2,488)
Net asset value	12	b	265,649	281,252
Net gearing/(net cash)		c = a/b	(4.8)%	(0.9)%

Net Asset Value (NAV)

Also described as shareholder’s funds the NAV is the value of total assets less liabilities. Liabilities for this purpose include current and long-term liabilities. The NAV per ordinary share is calculated by dividing the net assets by the number of ordinary shares in issue. For accounting purposes assets are valued at fair (usually market) value and liabilities are valued at par (their repayment – often nominal – value).

Total Return

Total return is the theoretical return to shareholders that measures the combined effect of any dividends paid, together with the rise or fall in the share price or NAV. In this half-yearly financial report these return figures have been sourced from Refinitiv who calculate returns on an industry comparative basis.

Net Asset Value Total Return (APM)

Total return on net asset value per share, assuming dividends paid by the Company were reinvested into the shares of the Company at the NAV per share at the time the shares were quoted ex-dividend.

Share Price Total Return (APM)

Total return to shareholders, on a mid-market price basis, assuming all dividends received were reinvested, without transaction costs, into the shares of the Company at the time the shares were quoted ex-dividend.

			Net Asset	Share
Six Months Ended 31 October 2021	Page		Value	Price
As at 31 October 2021	1		397.36p	367.00p
As at 30 April 2021	1		420.70p	386.00p
Change in period		a	–5.5%	–4.9%
Impact of dividend reinvestments(1)		b	0.0%	0.0%
Total return for the period		c = a+b	–5.5%	–4.9%
			Net Asset	Share
Year Ended at 30 April 2021	Page		Value	Price
As at 30 April 2021	1		420.70p	386.00p
As at 30 April 2020	1		279.64p	254.00p
Change in year		a	50.4%	52.0%
Impact of dividend reinvestments(1)		b	6.0%	6.5%
Total return for the year		c = a+b	56.4%	58.5%

(1)  No dividends have been paid during six months to 31 October 2021 (year to 30 April 2021: 15.10p). NAV or share price falls subsequent to the reinvestment date consequently further reduce the returns, vice versa if NAV or share price rises.

Benchmark

Total return on the benchmark is on a mid-market value basis, assuming all dividends received were reinvested, without transaction costs, into the shares of the underlying companies at the time the shares were quoted ex-dividend.

Directors, Investment Manager and Administration

Directors

Neil Rogan (Chairman of the Board, Management Engagement and

 Nomination Committees)

Fleur Meijs (Chairman of the Audit and Remuneration Committees)^†

Owen Jonathan (Senior Independent Director)^†

Vanessa Donegan†

Myriam Madden (appointed 4 November 2021)^†

All Directors are members of the Management Engagement, Remuneration and Nomination Committees

† Member of the Audit Committee

Registered Office and Company Number

Perpetual Park, Perpetual Park Drive, Henley-on-Thames, Oxfordshire RG9 1HH

Registered in England and Wales: No. 3011768

Alternative Investment Fund Manager (Manager)

Invesco Fund Managers Limited

Company Secretary

Invesco Asset Management Limited

Company Secretarial contact: Andrea Davidson

Correspondence Address

43-45 Portman Square, London W1H 6LY

020 3753 1000

Email: [e-mail]

Depositary and Custodian

The Bank of New York Mellon (International) Limited

1 Canada Square, London E14 5AL

Corporate Broker

Investec Bank plc

30 Gresham Street, London EC2V 7QP

General Data Protection Regulation

The Company’s privacy notice can be found at www.invesco.co.uk/invescoasia

Invesco Client Services

Invesco has a Client Services Team, available to assist you from 8.30am to 6pm Monday to Friday (excluding UK Bank Holidays). Please note no investment advice can be given. Phone: [phone].

 www.invesco.co.uk/investmenttrusts

Registrar

Link Group

Central Square, 29 Wellington Street, Leeds, LS1 4DL

If you hold shares directly and have queries relating to your shareholding, you should contact the Registrar on 0371 664 0300. Calls are charged at the standard geographic rate and will vary by provider.

From outside the UK: [phone]. Calls from outside the UK will be charged at the applicable international rate. Lines are open from 9am to 5.30pm, Monday to Friday (excluding Bank Holidays in England and Wales).

Shareholders can also access their holding details via Link’s website www.signalshares.com

Link Group provides on-line and telephone share dealing services to existing shareholders who are not seeking advice on buying or selling. This service is available at www.linksharedeal.com or 0371 664 0445. Calls are charged at the standard geographic rate and will vary by provider. Calls from outside the UK will be charged at the applicable international rate. Lines are open 9.00am to 5.30pm Monday to Friday (excluding Bank Holidays in England and Wales).

Link Group is the business name of Link Market Services Trustees Limited.

Investor Warning

The Company, Invesco and the Registrar would never contact members of the public to offer services or require any type of upfront payment. If you suspect you have been approached by fraudsters, please contact the FCA consumer helpline on 0800 111 6768 and Action Fraud on 0300 123 2040. Further details for reporting frauds, or attempted frauds, can be found on page 79 of the Company’s 2021 Annual Financial Report.

The Association of Investment Companies

The Company is a member of the Association of Investment Companies. Contact details are as follows:

Phone: [phone]

Email: [e-mail]

Website: www.theaic.co.uk

Website

Information relating to the Company can be found on the Company’s section of the Manager’s website at www.invesco.co.uk/invescoasia

The contents of websites referred to in this document, or accessible from links within those websites, are not incorporated into, nor do they form part of, this document.

The Company’s ordinary shares qualify to be considered as a mainstream investment product suitable for promotion to retail investors.