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Aberdeen Global Income Fund, Inc. Announces Performance Data And Portfolio Composition

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Aberdeen Global Income Fund, Inc. Announces Performance Data And Portfolio Composition

PR Newswire

PHILADELPHIA, July 30, 2018 /PRNewswire/ -- Aberdeen Global Income Fund, Inc. (the "Fund") (NYSE:FCO), a closed-end bond fund, announced today its performance data and portfolio composition as of June 30, 2018.

Aberdeen Asset Management Inc. At Aberdeen, asset management is our business. We only manage assets for clients, allowing us to focus solely on their needs and deliver independent, objective investment advice. We know global markets from the local level upwards, drawing on more than 1,900 staff, across 32 offices in 23 countries. Investment teams are based in the markets or regions where they invest, delivering local perspective in a global investment environment. (PRNewsFoto/Aberdeen Asset Management Inc.)

The Fund's total returns for various periods through June 30, 2018 are provided below.  (All figures are based on distributions reinvested at the dividend reinvestment price, and are stated net-of-fees):

Period

NAV Total Return %

Market Price Total Return %


Cumulative

Annualized

Cumulative

Annualized

Since Inception

(March 1992)

454.8

6.7

386.7

6.2

10-years

55.0

4.5

64.6

4.8

5-years

11.0

2.1

14.4

2.1

3-years

12.1

3.9

24.2

3.9

1-year

0.3

1.5

The Fund's returns, which are denominated in U.S. dollars, are affected by the performance of the U.S. dollar against the various currencies listed below.

As of June 30, 2018, the portfolio was invested as follows:


Currency Exposure % 

Geographic Exposure %

Australia

5.3

7.2

United Kingdom

-

3.8

Canada

-

1.4

New Zealand

5.5

7.3




United States

66.3*

21.1




Europe

2.0

15.5**

Asia

18.0

21.5

Africa

1.3

8.3

Caribbean

-

0.2

Latin America

1.6

13.7

*Of which 61.1% is invested in US$ denominated bonds issued by foreign issuers.
**Europe is comprised of: Eastern Europe 8.8% and Western Europe 6.7%.

As of June 30, 2018, the top ten holdings of the portfolio based on total assets were as follows:

Holding

Coupon / Maturity

(%)

Treasury Corporation of Victoria

4.75%, 11/20/2030

4.4

New Zealand Government Bond

5.00%, 03/15/2019

4.1

New Zealand Government Bond

4.50%, 04/15/2027

2.9

Queensland Treasury Corporation

3.25%, 07/21/2028

2.6

Romania Government Bond

4.88%, 01/22/2024

1.3

Ukraine Government Bond

7.75%, 09/01/2025

1.2

Sri Lanka Government Bond

10.60%, 09/15/2019

1.1

South Africa Government Bond

4.88%, 04/14/2026

1.0

Argentina Government Bond

6.88%, 01/26/2027

1.0

Indonesia Government Bond

4.13%, 01/15/2025

0.9

TOTAL


20.5

As of June 30, 2018 the holdings of the portfolio represented approximately 47.2% sovereign and state government securities, 49.8% corporates and 3.0% cash. 

As of June 30, 2018 the holdings of the portfolio represented approximately 54.9% invested in Developed Markets, 17.9% in Investment Grade Developing Markets and 27.2% in Sub-Investment Grade Developing Markets.  Developed Markets are those countries contained in the Citigroup World Government Bond Index, New Zealand, Luxembourg and the Hong Kong Special Administrative Region.  Investment Grade Developing Markets are those countries whose sovereign debt is rated not less than Baa3 by Moody's Investors Services Inc. ("Moody's") or BBB- by Standard & Poor's ("S&P") or comparably rated by another appropriate nationally or internationally recognized ratings agency.  Sub-Investment Grade Developing Markets are those countries that are not Developed Markets or Investment Grade Developing Markets.

As of June 30, 2018, the Fund's net assets, including US$31.0 million in bank borrowing, amounted to US$103.9 million with a net asset value per share of common stock of US$8.36.

As of June 30, 2018, 18.7% of the portfolio was invested in securities where either the issue or the issuer was rated "A" or better by multiple rating agencies.  The credit quality and maturity breakdown of the portfolio was as follows:

 

Credit Quality (%)

 

AAA/Aaa

AA/Aa

A

BBB/Baa

BB/Ba

B

CCC

NR

5.1

10.1

3.5

15.1

18.0

32.6

6.1

9.5

 


 

Maturity (%)

 


   <3 Years

   3-5 Years

    5-10 Years

>>10 Years


15.4

19.4

41.5

23.7

As of June 30, 2018, the average maturity of the portfolio was 8.9 years.

The Fund has in place leverage in the form of a loan facility.  The outstanding balance on the loan as of June 30, 2018 is US$31,000,000, which represents a decrease of US$500,000 from the previous month.

The leverage is used with the intent of enhancing returns by borrowing at interest rates that are lower than the relatively higher yields of the emerging market fixed income securities in which the Fund invests.  The Fund has entered into interest rate swap agreements in order to fix the interest payable on a portion of the bank loan facility.  Details regarding the revolving credit loan facility and the interest rate swap agreements are contained in the Fund's annual and semi-annual reports to shareholders. 

Important Information

Aberdeen Asset Management Inc. has prepared this report based on information sources believed to be accurate and reliable. All reasonable care has been taken to ensure accuracy. However, the figures are unaudited and neither the Fund, the Investment Manager, nor any other person guarantees their accuracy. Investors should seek their own professional advice and should consider the investment objectives, risks, charges and expenses before acting on this information.The Investment Manager is a subsidiary of Aberdeen Asset Management PLC ("Aberdeen PLC"). 

Aberdeen Standard Investments is a brand of the investment businesses of Aberdeen Asset Management and Standard Life Investments. In the United States, Aberdeen Standard Investments is the marketing name for the following affiliated, registered investment advisers: Aberdeen Asset Management Inc., Aberdeen Asset Managers Ltd., Aberdeen Asset Management Ltd., Aberdeen Asset Management Asia Ltd., Aberdeen Asset Capital Management, LLC, Standard Life Investments (Corporate Funds) Ltd., and Standard Life Investments (USA) Ltd.

Closed-end funds are traded on the secondary market through one of the stock exchanges. The Fund's investment return and principal value will fluctuate so that an investor's shares may be worth more or less than the original cost. Shares of closed-end funds may trade above (a premium) or below (a discount) the net asset value (NAV) of the fund's portfolio. There is no assurance that the Fund will achieve its investment objective.

Past performance is no guarantee of future results.  Investment returns and principle value will fluctuate and shares, when sold, may be worth more or less than original cost. Current performance may be lower or higher than the performance quoted. NAV return data includes investment management fees, custodial charges and administrative fees (such as Director and legal fees) and assumes the reinvestment of all distributions. Returns for periods less than one year are not annualized. Holdings are subject to change and are provided for informational purposes only and should not be deemed as a recommendation to buy or sell the securities shown.  Inception date March 12, 1992.

If you wish to receive this information electronically, please contact Investor.Relations@aberdeenstandard.com

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SOURCE Aberdeen Global Income Fund, Inc.

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