Interim Management Statement

Invesco Asia Trust plc

                         Interim Management Statement                          

                    for the Three Months ended 31 July 2014    

                 

Objective of the Company

Invesco Asia Trust plc (`the Company') is a UK investment trust listed on the
London Stock Exchange. The Company was launched in July 1995.

The objective of Invesco Asia Trust plc 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 in excess of the MSCI
All Countries Asia Pacific ex-Japan Index (total return), expressed in
sterling.

Material Events

On 7 August 2014 the Company held its Annual General Meeting at which all
resolutions put to shareholders were passed on a show of hands. Resolution 10
was duly passed as a special resolution, authorising the company, subject to
the confirmation of the Court, to cancel its share premium account for the
purposes set out in the shareholder circular published on 8 July 2014.

Dividends

At the Annual General Meeting on 7 August 2014 Shareholders approved the
payment of a final dividend of 3.45p per ordinary share to be paid on 12 August
2014 to shareholders on the register on 18 July 2014. The shares went
ex-dividend on 16 July 2014.

Managers' Review, Outlook and Strategy

Asian equity markets made broad-based gains over the period, led higher by
China which has benefited from better-than-expected economic data and targeted
monetary stimulus measures. India's equity market also made strong gains after
Narenda Modi's BJP achieved a decisive victory in India's parliamentary
elections, raising expectations that they will be able to deliver on economic
and policy reform. Meanwhile, Australia's equity market has underperformed the
region slightly, with iron-ore prices touching two-year lows and further
earnings downgrades for retail stocks. ASEAN equity markets lagged having
outperformed the region in the early part of the year.

Asian economic growth has started to show signs of stabilisation and we expect
it to remain sufficiently high for the rest of 2014 to offer attractive
investment opportunities. A number of Asian countries have seen an improvement
in economic fundamentals, while the continued global economic recovery should
be supportive for Asian exporters. Current valuation levels for the region's
stock markets remain low relative to history and against developed equity
markets. Consensus earnings growth forecasts for Asia Pacific ex Japan are
currently around 9.4% for 2014, which appears reasonable, bringing valuation
levels for the region to 13.1 times 2014 expected earnings.

Meanwhile, reform is a long-term theme that we are structurally positive on. In
India, early decisions from the new Modi government suggest that it is willing
to make use of its strong mandate to make positive changes as promised in the
election campaign, while the election of Joko Widodo in Indonesia has raised
expectations that his presidency can deliver progress. The reform agenda in
China also provides us with grounds for optimism in the medium-term;
particularly the policies and initiatives focused on allowing market forces a
more decisive role in the allocation of resources, improving capital allocation
and shifting income towards households. However, we expect to see some
near-term volatility in equity markets given the authorities' difficult
balancing act in aiming to deliver on both reform and growth. We believe that
these forces for change across the region, if implemented, could potentially
drive Asia's next leg of sustainable growth but they need to be accompanied by
slower economic growth in China's case.

We believe the investment trust remains well-balanced, with exposure to a
variety of businesses that possess what we consider to be strong competitive
advantages and undervalued earnings growth prospects. There have been a few
small changes to the structure of the portfolio over the period, reflecting the
continued adjustments that we are seeing throughout the region. We continue to
have a significant level of exposure in Hong Kong & China, but as in other
areas we have taken some profits from recent outperformers, such as Cheung
Kong, where share prices are now closer to our estimate of fair value. In turn,
we have added back to Chinese internet companies after they underperformed in
Q1. We believe these holdings remain undervalued given their strong
profitability and cash generation. There has also been a gradual shift towards
specific Chinese state-owned enterprises where valuations appear unduly
pessimistic given their ability to benefit from reform.

We remain underweight in Australia and its banks, relative to the benchmark
index, preferring to hold what we consider to be good quality banks that appear
well placed to grow their loan books profitably in countries where credit
penetration is low. However, we have become more constructive on the Australian
equity market as the currency has weakened, and continue to look for stock
specific opportunities such as the recently introduced engineering services
contractor Transfield Services.

Elsewhere, we have taken profits from Indian agrochemical company UPL and
Hyundai Motor preference shares, and sold our holding in Treasury Wine Estates
which is subject to a takeover bid. We have also moved to reduce our exposure
in areas where the outlook for earnings has become less certain, significantly
paring back our overweight position in Samsung Electronics, and moving to
dispose of LT Group and Far Eastern New Century. In turn, we introduced Hyundai
Home Shopping Network and Silicon Motion Technology, and have continued to
build positions in Tata Consultancy Services and Shinsegae.


Performance                     3 Months       1 Year      3 Years      5 Years
                                                                               
Total Return                                                                   
                                                                               
Share Price                        11.6%        14.8%        19.0%        73.0%
                                                                               
Net Asset Value                    13.6%        16.3%        19.8%        76.2%    
                                                                               
MSCI (All Countries) Asia           8.8%         7.3%    13.4%            61.2%
                                                                               
Pacific ex-Japan Index                                                         
(sterling adjusted)                                                            

Source: Thomson Reuters Datastream


Share Price and Discount

                                 As at           For the Three Months Ended    
                              31-Jul-1 4                 31-Jul-14             
                                                                               
                                                High        Low       Average  
                                                                               
Ordinary shares mid-market      179.50       180.50        164.00     171.50   
                                                                               
price (pence)                                                                  
                                                                               
Net Asset Value per share:                                                     
                                                                               
- cum income (pence)            202.21                                         
                                                                               
- ex income (pence)             200.85                                         
                                                                               
Discount per ordinary                                                          
share to NAV:                                                                  
                                                                               
- cum income                     11.2%                                         
                                                                               
- ex income                      10.6%                                         
                                                                               
Discount (ex-income)             9.3%                                          
average 3 months to date                                                       

Source: Thomson Reuters Datastream



Assets and Gearing

                                                31-Jul-14
                                                         
Total Assets less Current                           188.0
                                                         
Liabilities excl. borrowings (£m)                        
                                                         
of which cash (£m)                                    0.3
                                                         
Overdraft (£m)                                        0.7
                                                         
Borrowings (£m)                                       7.6
                                                         
Total Shareholders' Funds (£m)                      179.7
                                                         
Cum Income Net Asset Value (pence)                 202.2*
                                                         
Gross Gearing                                        4.6%
                                                         
Net Gearing                                          4.5%
                                                         
*Ex-dividend                                             


Gross Gearing

This reflects the amount of gross borrowings in use by the Company and takes no
account of any cash balances. It is based on gross borrowings as a percentage
of shareholders' funds.

Net Gearing

This reflects the amount of net borrowings invested i.e. borrowings less cash
and cash equivalents. It is based on net borrowings as a percentage of
shareholders' funds.



Geographical Breakdown of Portfolio

                                           31-Jul-14
                                                    
South Korea                                    22.4%
                                                    
China                                          20.1%
                                                    
Hong Kong                                      13.7%
                                                    
Taiwan                                         11.4%
                                                    
India                                          10.0%
                                                    
Australia                                       9.8%
                                                    
United Kingdom                                  4.1%
                                                    
Philippines                                     3.7%
                                                    
Singapore                                       2.7%
                                                    
Indonesia                                       1.1%
                                                    
Thailand                                        1.0%
                                                    



Top Ten Holdings

     Investments                                           Country         % of
                                                                      Portfolio
                                                                               
1    Hutchison Whampoa                                   Hong Kong         4.5%
                                                                               
2    Baidu - ADR                                             China         4.0%    
                                                                               
3    Samsung Electronics                               South Korea         3.8%
                                                                               
4    NetEase - ADR                                           China         3.1%
                                                                               
5    UPL                                                     India         2.9%
                                                                               
6    Taiwan Semiconductor Manufacturing                     Taiwan         2.9%
                                                                               
7    Shinhan Financial                                 South Korea         2.6%
                                                                               
8    Hon Hai Precision Industry                             Taiwan         2.6%
                                                                               
9    Bank Negara Indonesia Persero                       Indonesia         2.6%
                                                                               
10   Industrial & Commercial Bank of China - H               China         2.6%
     shares                                                                    



Changes to Share Capital

                                  Ordinary Shares of 10p each  

                                        Issued         Treasury    
                                                               
As at 30-Apr-14                     88,859,369        3,277,224
                                                               
Ordinary shares bought back                  -                -
                                                               
Ordinary shares issued                       -                -
                                                               
As at 31-Jul-14                     88,859,369        3,277,224


On 6 August 2014 the Company bought back and cancelled 100,000 ordinary shares.
Therefore, as at the date of this release 88,759,369 shares may be used by
shareholders as the denominator for the calculations by which they will
determine if they are required to notify their interest in, or a change to
their interests in, the Company under the FCA's Disclosure and Transparency
Rules.

The Company has authority to buy back shares for cancellation or placing into
treasury and to issue new shares (disapplying pre-emption rights), in each case
within specified limits. The Company expects to renew these authorities each
year.

Price and Performance

The Company's ordinary shares are listed on the London Stock Exchange and the
price is published in the Financial Times under `Investment Companies' and in
the Daily Telegraph under `Investment Trusts'.

The Company's net asset value is calculated on a daily basis and can be viewed
on the London Stock Exchange website at www.londonstockexchange.com.

Further information can be obtained from Invesco Perpetual as follows:

Free Investor Helpline: 0800 085 8677

Internet address: www.invescoperpetual.co.uk/investmenttrusts

The information provided in this statement should not be considered as a
financial promotion or recommendation.

For and on behalf of
Invesco Asset Management Limited

8 August 2014



Registered Office

Perpetual Park, Perpetual Park Drive,
Henley-on-Thames, Oxfordshire, RG9 1HH
Telephone: [phone]
Facsimile: 020 3753 0123

Registered in England No 3011768
An Investment Company under Section 833
of the Companies Act 2006