Interim Management Statement

RNS Number : 5607G

Aberdeen Asian Income Fund Limited

13 May 2011

 



Aberdeen Asian Income Fund Limited

Interim Management Statement - 3 months to 31 March 2011

To the members of Aberdeen Asian Income Fund Limited

This interim management statement has been produced solely to provide additional information to shareholders as a body to meet the relevant requirements of the UK Listing Authority's Disclosure and Transparency Rules. It should not be relied upon by any other party or for any other purpose.

This interim management statement relates to the period from 1 January 2011 to 31 March 2011, and contains information that covers this period, and up to the date of publication of this interim management statement, unless otherwise specified.

Investment objective

To provide investors with a total return primarily through investing in Asian Pacific securities, including those with an above-average yield. The Company does not expect, at least initially, to have any significant Japanese exposure.

Benchmark

The Company's portfolio is constructed without reference to the composition of any stockmarket index or benchmark. It is likely, therefore, that there will be periods when its performance will be quite unlike that of any index or benchmark and there can be no assurance that such divergence will be wholly or even primarily to the Company's advantage. The Company and Manager measures its performance against the MSCI AC Asia Pacific ex Japan Index (in sterling terms).

Material events

On 18 February 2011 the Company paid a fourth interim dividend in respect of the year ended 31 December 2010 of 2.25p.

On 22 March 2011 the Company's bank facility with Scotiabank Europe plc was extended for a further 12 month period.

On 19 April 2011 the Company declared a first quarterly interim dividend of 1.5p in respect of the year ending 31 December 2011 payable on 19 May 2011.

During the period under review, the Company issued for cash at a premium to the prevailing Net Asset Value per Ordinary share 775,000 new Ordinary shares.  There are now 118,810,062 Ordinary shares in issue as at today's date.

On 10 May 2011 Aberdeen Asset Management PLC informed the Company that it had exercised its entire holding of Warrants to subscribe for Ordinary shares of no par value ("Warrants") in Aberdeen Asian Income Fund Limited ("AAIF") amounting to 14,466,640 Warrants.  The resultant 14,466,640 Ordinary shares of no par value were sold by Aberdeen and placed in the market by AAIF's broker Canaccord Genuity Limited.  In total 14,793,009 Warrants were exercised in the period to 10 May 2011 and accordingly 14,793,009 new Ordinary shares of no par value will be issued shortly. 

On 12 May 2011 the Company held its Annual General Meeting at which all resolutions were passed.  The special business included resolutions to allow the Company to buy back shares (up to 14.99% of the issued share capital); to permit the Company to buy back Warrants (up to 14.99% of the Warrants in issue); to permit the Company to hold shares in treasury; and, to increase the limit on aggregate fees payable to Directors contained in the Articles of Association.

Ten largest equity holdings at 31 March 2011

	%
Deutsche Bank AG Indonesian Credit Linked Note*	5.3
Taiwan Semiconductor	5.1
Taiwan Mobile	4.5
Oversea-Chinese Banking Corp.	4.0
QBE Insurance	4.0
Swire Pacific 'A' & 'B'	3.9
United Overseas Bank	3.9
British American Tobacco	3.8
DiGi	3.5
BHP Billiton	3.5
Total	41.5

*Credit linked note issued by Deutsche Bank AG and linked to the Indonesian Government Bond 10% 15/07/17 as the underlying asset.

Country allocation as at 31 March 2011

Country	%
Singapore	21.7
Australia	19.4
Malaysia	16.6
Thailand	9.8
Taiwan	9.6
Hong Kong	8.7
Indonesia	6.4
China	2.9
Philippines	1.9
Japan	1.6
New Zealand	1.2
Cash	0.2
Total	100.0

General description of Company's financial position and performance as at 31 March 2011

	£m
Gross Assets	215.3
Debt	10.7
Actual gearing	5.2%

Cumulative Performance %

	as at 31/03/2011	1 month	3 months	6 months	1 year	3 years	5 years
Share Price	162.3p	4.7	-3.4	3.2	15.6	61.9	85.1
NAV	163.2p	5.3	-0.1	7.7	17.8	54.3	93.5
Warrant 2013 Price	40.5p	5.9	-11.5	10.2	24.6	102.5	76.1
MSCI AC Asia Pacific ex Japan		6.7	-0.3	7.9	12.0	45.7	85.5

Discrete Performance

	31/03/2011	31/03/2010	31/03/2009	31/03/2008	31/03/2007
Share Price	15.6	54.9	-9.6	6.8	7.1
NAV	17.8	53.1	-14.5	10.7	13.3
Warrant 2013 Price	24.6	176.6	-41.3	-31.6	27.2
MSCI AC Asia Pacific ex Japan	12.0	67.5	-22.4	12.9	12.8

Total Return; NAV to NAV, Net Income Reinvested, GBP

Source: Aberdeen Asset Managers Limited, Factset and Morningstar

NAV returns based on NAVs excluding income with debt valued at par

The Board is not aware of any significant events or transactions which have occurred between 1 January 2011 and the date of publication of this interim management statement which would have a material impact on the financial position of the Company. For latest performance information, please refer to the Company's website, www.asian-income.co.uk.*

*Neither the Company's website nor the content of any website accessible from hyperlinks on that website (or any other website) is (or is deemed to be) incorporated into, or forms (or is deemed to form) part of this announcement

Please note that past performance is not necessarily a guide to the future and that the value of investments and the income from them may fall as well as rise.  Investors may not get back the amount they originally invested.

For Aberdeen Asian Income Fund Limited

Aberdeen Private Wealth Management Limited, Secretary

13 May 2011

 

END

 

 

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