AAIF aims to provide investors with a total return primarily through investing in Asian Pacific securities, including those with an above-average yield. Within its overall investment remit, the company aims to grow its dividends. While the portfolio is constructed without reference to any benchmark, the company measures its performance against the MSCI AC Asia Pacific ex-Japan Index and the MSCI AC Asia Pacific ex-Japan High Dividend Yield Index (both in sterling terms).
Aberdeen Asian Income Fund (AAIF) may appeal to investors interested in income. While perhaps less well known than the UK equity income funds, AAIF yields 4.0%, the second highest of the four Asian income peers, and with a solid performance track record. The team targets the income and growth potential of Asia’s most compelling and sustainable companies. Income seekers might gain core exposure to the Asia consumption-driven growth story complemented by structural dividend growth. The focus on high-quality businesses creates a relatively defensive tilt in regional equities. The manager expects the ‘value’ rotation that began in Q420 across Asia and boosted AAIF’s performance, to continue in 2021.