Interim Management Statement

RNS Number : 8911T

Henderson Far East Income Limited

19 December 2012

 



HENDERSON FAR EAST INCOME LIMITED

19 December 2012

HENDERSON FAR EAST INCOME LIMITED

Interim Management Statement

Review of the period from 1 September 2012 to 30 November 2012

MATERIAL EVENTS OR TRANSACTIONS DURING THE PERIOD

Portfolio: During the period there was net disinvestment of £6.7m and the number of holdings in the portfolio remained at 52. The stocks that were sold were: Commonwealth Bank of Australia, Bosideng International, Ghangzhou R & F P Note, Mega Financial P Note, Taiwan Mobile and PTT Public.

There are eight new stocks in the portfolio: Australia and NZ Banking, Myer Holdings, Ghangzhou R & F Properties, New World Development, Cairn India P. Note, Hyundai Motor and Singapore Telecommunications.

These transactions reflect a modest move away from specific high yield defensives which have become expensive to income growth which offers greater valuation support. The sector weightings reflect this marginal shift but country allocation remains virtually unchanged.

Over the period three put options were purchased and four put options expired, without take up

Share Issues: During the period no shares were issued.

Dividends: A fourth interim dividend of 4.1p per Ordinary Share, in respect of the year ending 31 August 2012, was paid on 30 November 2012 to holders registered on 9 November 2012. The ex-dividend date was 7 November 2012.

Discount/Premium:  the share price discount to net asset value increased to 2.8% at the end of the period under review.

PERFORMANCE AND FINANCIAL HIGHLIGHTS

Performance to 30 November 2012

	3 months	1 year	3 years	5 years
Net Asset Value Total Return per ordinary share (%)	7.93	23.33	31.62	40.87

Source:   Morningstar Funddata

Financial Position

	at 30 November 2012	at 31 August 2012
Net assets	£320.1m	£300.5m
Net asset value cum income	315.1p	295.8p
Net asset value ex income	312.3p	290.5p
Ordinary share price	306.3p	290.1p
Discount	-2.8%	-1.9%
Gross Gearing	5%	7%
Net Gearing	1%	4%
Yield	5.22%	5.51%

THE PORTFOLIO

Top 10 Investments	Country	% of portfolio	% of portfolio
		at 30 November 2012	at 31 August 2012
Suncorp	Australia	3.1	3.0
Digital China	China	3.0	3.1
Krung Thai Bank	Thailand	2.8	2.1
Charoen Pokphand Food	Thailand	2.8	2.8
Bank of China	China	2.7	1.9
Telecom Corp	New Zealand	2.6	2.7
Shanghai Industrial	China	2.6	2.3
Asustek Computer	China	2.5	3.2
SK Telecom	Korea	2.4	2.0
Capitamall	Singapore	2.4	2.3

Geographic Breakdown	% at 30 November 2012	% at 31 August 2012
China	16.6	16.3
Australia	16.5	16.7
Singapore	14.0	12.1
Hong Kong	11.9	10.8
Taiwan	9.6	14.7
Thailand	9.5	11.2
South Korea	9.5	6.8
Indonesia	4.0	4.0
New Zealand	2.6	2.7
Malaysia	2.0	2.0
The Philippines	1.9	2.7
India	1.9	0.0

Sector Breakdown	% at 30 November 2012	% at 31 August 2012
Telecommunications	17.3	19.0
Property	15.9	14.3
Financials	14.3	16.6
Industrials	16.0	14.1
Consumer Services	9.9	8.4
Technology	5.7	10
Consumer Goods	5.4	6.4
Basic Materials	6.3	5.4
Oil & Gas	9.2	5.8

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: [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]

Henderson Far East Income Limited is a Jersey fund with its registered office at Liberté House, 19-23 La Motte Street, St Helier, Jersey JE2 4SY and is regulated by the Jersey Financial Services Commission.

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 -

 

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