Interim Management Statement

RNS Number : 7876X

Henderson Far East Income Limited

27 June 2008

 



HENDERSON FAR EAST INCOME LIMITED

27 June 2008 

HENDERSON FAR EAST INCOME LIMITED

Interim Management Statement 

Review of the period from 1 March 2008 to 31 May 2008 

MATERIAL EVENTS OR TRANSACTIONS DURING THE PERIOD

Portfolio:  during the period there was net disinvestment of £ 9.4m, and the number of holdings in the portfolio decreased from 45 to 42. The stocks that were sold were; Hang Lung Properties, Regal Real Estate Investment, Malayan Banking, Formosa International Hotels, Singapore Telecommunications and Korea Development Corp.

There are 3 new stocks in the portfolio; Babcock & Brown Power, Bank of China and Siam Cement. 

The portfolio is focused on stocks and sectors that have exposure to domestic Asian growth and away from areas that are reliant on the global cycle.

Over the period one call option was opened against stock held in the portfolio and one expired at the end of March 2008.

Dividends:  A Second interim dividend of 3.00p per ordinary Share, in respect of the year ending 31 August 2008, was paid on 30 May 2008 to holders registered on 9 May 2008.

Discount:  the share price discount to net asset value widened over the period to 1.3%.

There are no other material events or transactions to report.

PERFORMANCE AND FINANCIAL HIGHLIGHTS

Performance to 31 May 2008 

	3 months	1 year	3 years*	5 years*
Net Asset Value Total Return per ordinary share	-0.3%	8.5%	61.1%	146.6%

Source: Datastream

* Data prior to December 2006 relates to the previous company, Henderson Far East Income Trust plc. 

  Financial Position 

	at 31 May 2008	at 29 February 2008
Net assets	£218m	£217m
Net asset value	280.6p	280.0p
Ordinary share price	272.75p	276.5p
Discount	-1.3%	-1.2%
Gearing	0.0%	0.0%
Yield	4.22%	4.07%
Total Expense Ratio	1.13%	1.24%

THE PORTFOLIO

Top 10 Investments	Country	% of portfolio	% of portfolio
		at 31 May 2008	at 29 February 2008
Santos	Australia	3.8	2.4
High Tech Computer Corp	Taiwan	3.7	2.8
Telstra	Australia	3.3	3.0
Hang Seng Bank	Hong Kong	3.3	2.9
Keppel	Singapore	3.2	2.6
DBS	Singapore	3.1	2.5
Petrochina	China	3.0	2.5
BOC Hong Kong Holdings	Hong Kong	2.9	2.7
QBE Insurance	Australia	2.8	2.1
China Steel	Taiwan	2.8	2.3

Geographic Breakdown	% at 31 May 2008	% at 29 February 2008
Australia	23.9	21.4
China	5.2	2.5
Hong Kong	14.7	17.4
Indonesia	0.0	0.0
Malaysia	4.6	8.4
Philippines	2.6	3.0
Singapore	10.7	13.1
South Korea	12.3	12.6
Taiwan	16.4	19.2
Thailand	4.1	2.6
Cash	5.5	-0.2

Sector Breakdown	% at 31 May 2008	% at 29 February 2008
Utilities	4.2	2.3
Telecommunications	14.4	17.8
Technology	3.5	2.8
Oil & Gas	6.4	4.9
Industrials	19.0	18.4
Financials	31.6	35.4
Consumer Goods & Services	10.6	14.2
Basic Materials	5.1	4.4
Options	-0.3	0.0
Cash	5.5	-0.2

The objective of Henderson Far East Income Limited is to seek a high level of dividends as well as capital appreciation over the long term, from a diversified portfolio of securities traded on the Pacific, Australasian, Japanese and Indian stock markets (the 'Asia Pacific Region').

Further information on the Company, including an up to date NAV and share price information, can be found at http://www.itshenderson.com/

For further information, please contact:

Jeremy Hamon Company Secretary Telephone: [phone]	James de Sausmarez Head of Investment Trusts Henderson Global Investors Telephone: [phone]
Sarah Gibbons-Cook Investor Relations and PR Manager Henderson Global Investors Telephone: [phone]

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