(Alliance News) - Aberdeen Emerging Markets Investment Co Ltd on Thursday maintained its annual dividend even as it outperformed its benchmark for the period.
The investment trust reported a net asset value total return of 14.1% for the year to the end of October, compared to a 10.3% return from the MSCI Emerging Markets Net Total Return Index in sterling terms.
Aberdeen Emerging's net asset value as at October 31 was 633.3 pence per share, up from 600.6p the same date the year before.
The trust's share price was 561.0p, reflecting a 15% discount to net asset value.
Shares in Aberdeen Emerging Markets were down 1.5% on Thursday at 596.00 pence, having improved further since the year-end.
The trust declared an annual dividend of 21.0 pence per share, in-line with the year before.
Aberdeen Emerging Markets said its performance was buoyed by strong fund selection in China, its overweight exposure to Russia and underweight positioning in South Africa, as well as narrowing the discount of several investment trusts.
"Despite concerns over the outlook for global growth, corporate earnings, tensions in the Middle East, and trade-war uncertainties, your Investment Manager remains positive about the prospects for emerging markets," said Chair Mark Hadsley-Chaplin.
"Although there are signs of the global economy weakening, growth forecasts remain respectable, and should be supported by the continued accommodative stance of central banks and progress in the trade dispute between the US and China. At the time of writing, the spread of the Coronavirus is causing same volatility in markets. How long this continues is uncertain, as is the quantum of its potential knock-on impact," Hadsley-Chaplin added.
By Dayo Laniyan; dayolaniyan@alliancenews.com
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