Interim Management Statement

RNS Number : 2081Y
Henderson Far East Income Limited
17 December 2010
 



HENDERSON FAR EAST INCOME LIMITED

 

17 December 2010

HENDERSON FAR EAST INCOME LIMITED

 

Interim Management Statement

 

Review of the period from 1 September 2010 to 30 November 2010

 

MATERIAL EVENTS OR TRANSACTIONS DURING THE PERIOD

 

Portfolio: During the period there was net investment of £8.3m, and the number of holdings in the portfolio increased to 50. The stocks that were sold were: China Construction Bank, Petrochina, Shimao Property and Mega Financial.

 

There are five new stocks in the portfolio: China Railways Construction, Digital China, Kangwon Land, UMW Holdings and PTT.

 

The portfolio continues to be focused on stocks and sectors that have exposure to domestic Asian growth and away from areas that are reliant on the global cycle with over 60% of the portfolio exposed to three key themes - Financials/Property (undervalued owing to negative sentiment towards the sector), Industrials (beneficiaries of increased government expending) and telecommunications (offer high and sustainable cash flow and dividend). The portfolio remains overweight China.

 

Over the period one put and one call option expired in November 2010.

 

Shares Issues: During the period 1,600,000 shares were issued in 12 tranches. The proceeds of these issues, net of commission, was £5,220,765.00.

 

Dividends: A fourth interim dividend of 3.60p per ordinary Share, in respect of the year ending 31 August 2010, was paid on 30 November 2010 to holders registered on 5 November 2010.

 

Discount/Premium:  the share price premium to net asset value increased over the period to 2.7%.

 

PERFORMANCE AND FINANCIAL HIGHLIGHTS

 

Performance to 30 November 2010


3 months

1 year

3 years

5 years*

Net Asset Value Total Return per ordinary share (%)

 

10.46

19.83

28.83

89.26






 

Source:   Datastream

 

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

 

Financial Position


at 31 August 2010

at 30 November 2010

Net assets

£284.9m

£313.0m

Net asset value cum income

295.0p

318.8p

Net asset value ex income

293.1p

317.0p

Ordinary share price

298.3p

327.5p

Premium

1.1%

2.7%

Gearing

0.0%

0.0%

Yield

4.43%

4.15%

Total Expense Ratio

1.23%

1.23%

 

 

 

THE PORTFOLIO

 

Top 10 Investments

Country

% of portfolio 

% of portfolio



at 31 August 2010

at 30 November 2010

BOC Hong Kong Holdings

Hong Kong

2.9

3.2

Bank of China

China

2.7

3.1

Lonking Holdings

China

2.5

3.0

SK Telecom

South Korea

2.6

2.7

Digital China

China

0.0

2.6

Incitec Pivot

Australia

2.4

2.5

Link Reit

Hong Kong

2.7

2.5

Fraser & Neave

Singapore

2.5

2.5

Advanced Information Services

Thailand

2.7

2.5

Chunghwa Telecom

Taiwan

2.3

2.5

 

Geographic Breakdown

% at 31 August 2010

% at 30 November 2010

China

20.8

20.6

Hong Kong

16.8

17.2

Taiwan

17.7

14.9

Australia

11.7

11.1

Singapore

10.6

10.4

South Korea

8.2

9.3

Thailand

7.3

8.3

Indonesia

4.4

4.4

Philippines

2.5

2.2

Malaysia

0.0

1.6

 

Sector Breakdown

% at 31 August 2010

% at 30 November 2010

Financials

26.4

22.4

Industrials

16.0

17.3

Telecommunications

17.4

16.4

Property

13.5

10.3

Technology

7.3

9.5

Basic Materials

5.8

6.5

Oil & Gas

6.2

6.4

Consumer Services

4.3

5.6

Consumer Goods

1.2

3.2

Utilities

1.9

2.4

 

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 www.hendersonfareastincome.com 

 

For further information, please contact:

 

Jeremy Hamon

Company Secretary

Telephone: 01534 709108

 

James de Sausmarez

Head of Investment Trusts

Henderson Global Investors

Telephone: 020 7818 3349

Sarah Gibbons-Cook

Investor Relations and PR Manager

Henderson Global Investors

Telephone: 020 7818 3198


 

Neither the contents of the Company's website nor the contents of any website accessible from hyperlinks on the Company's website (or any other website) is incorporated into, or forms part of, this announcement.

 

 

- ENDS -


This information is provided by RNS
The company news service from the London Stock Exchange
 
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